Used EV prices plummet over 40% as demand skyrockets

CarMax has reported a dramatic increase in consumer interest for used electric vehicles (EVs).

Searches filtered by “electric vehicle” have nearly doubled since January 2022, following a surge in demand that aligns with significant events such as the spike in gas prices after Russia’s invasion of Ukraine and the recent rollout of a $4,000 federal tax credit for used EVs by the Biden administration.

The latest Electric Vehicle Consumer Report from CarMax reveals a staggering decline in used EV prices, which have plummeted over 40% between January 2022 and February 2025.

Tesla Dominates Used EV Market as Prices Plummet Over 40%

In contrast, prices for gasoline cars, hybrids, and plug-in hybrids have only dropped about 12% during the same period. This trend not only highlights the growing affordability of used EVs but signifies a shift in market dynamics.

In terms of sales, Tesla continues to dominate the used EV market, with the Model 3 and Model Y securing the first two spots in sales rankings from September 2024 through February 2025.

Remarkably, the Chevy Bolt has climbed to third place, while newer entries like the Ford F-150 Lightning and Rivian R1T have also made their debut in the top 10. This year marks the first time that more consumers are trading in sedans and coupes for EVs rather than SUVs, with these vehicles comprising 44% of all EV trade-ins.

Geographically, Oregon has overtaken California to become the state with the highest percentage of EV sales compared to total sales. Meanwhile, California and Washington hold the second and third spots, respectively, with Nevada and Arizona also consistently ranking among the top six states for used EV sales.

As used EV prices continue to fall, the landscape of vehicle ownership is evolving, demonstrating the increasing viability of electric cars for a broader range of consumers.