It’s no secret that the values of many EVs fall off a cliff the moment they leave the showroom. However, the original owner of this 2023 Tesla Model 3 RWD is probably shaking their head and wondering where things went wrong after the car lost more than half of its value in just over 18 months and 35,500 miles (57,100 km).

Read: Tesla’s Latest Model 3 And Y Just Got Slammed

As an entry-level Model 3 RWD, this Tesla is fitted with its relatively small 57.5 kWh battery pack. However, it still gives the EV a respectable driving range of 272 miles (438 km), while sending juice to an electric motor with 271 hp and 310 lb-ft (420 Nm).

For most motorists out there, this is more than enough performance and more than enough range, particularly for a daily driver.

Not the Newest Version, But Still Well Equipped

As this is a 2023 Model 3 having being acquired new in late December of the same year, and not the updated Highland version, it misses out on he upgraded interior, as well as the more attractive new styling. But, that’s not to say it’s short on features, as it includes 18-inch wheels, the standard panoramic glass roof, heated front and rear seats, and the central 15-inch infotainment display.

Cars & Bids

Depreciation Hits Hard

The car was recently listed for sale through Cars & Bids with an original sticker price of $41,890. After attracting well over a dozen bids, it sold for a paltry $20,300. That’s some severe depreciation, particularly since the car is less than two years old.

Admittedly, it does have high mileage for its age, but 35,500 miles (57,100 km) is still relatively low for a used car, particularly one that’s worth just a touch over $20,000.

There’s no doubt that the arrival of the Model 3 refresh has impacted the resale value of original Model 3s. In addition, Elon Musk and the Tesla brand have become more divisive over the past year or so, due in large part to Musk’s deep involvement in politics.

Cars & Bids

Henrik Fisker’s dream of building an EV empire to rival Tesla collapsed last year, but if you browse one dealer’s website, you’d think you imagined the whole thing. It has more than 20 cars in stock with almost no miles, and the website blurb appears to make no mention that Fisker went belly up or that looking after one of the EVs in the years to come could prove tricky.

The dealer is Newport Fisker in Costa Mesa, California, whose inventory – first spotted by Daily Revs – is made up of 36 Teslas and 24 examples of the Ocean, the only model Fisker managed to get to production before financial troubles sank the company. All but one of those 24 is a virtually unused 2023 model, with most having just 50 miles (80 km) on their digital odometers.

Related: Rivian And Chase Rescue Fisker Ocean Owners From Drowning

Prices range from $22,990 to $27,990, down from the Ocean’s original $41-71k MSRP, which could potentially offer some good value for a brand new EV – even one that reviewers found was a bit rough around the edges. But it still might not be low enough to tempt most people to overlook the bankruptcy baggage, specifically concerns over how a buyer might deal with any technical problems down the road as there’s no factory left to support them.

Fifteen of the EVs are in fancy One trim, which delivered up to 564 hp (572 PS / 420 kW) for a sub-4-second zero to 60 mph (97 km/h) time and paired to a big 106 kWh battery for an EPA-rated range of 360 miles (580 km). The minimalist dashboard’s party piece was a 17.1-inch touchscreen that could rotate between portrait and landscape orientations on all but the base ‘Sport’ model.

Based on the huge number of recalls announced so far, anyone who does take the plunge can expect to encounter some problems at some point. But several commenters on Reddit who picked up the story say they’ve bought similar Oceans from Newport Fisker and are very happy with them so far. They also recommend new buyers check out YouTube channels such as Ocean Views by MTN Ranger for tips on keeping the EVs working.

Incredible as it may seem, Newport Fisker isn’t the only dealer with dozens of almost brand-new Oceans waiting for new homes. Lumin Fisker of Folsom, CA, has 26 examples, but they’re considerably more expensive, being priced at between $30,995 and $37,495. Would you take a gamble on a nearly-new Ocean if the price was low enough? And how low would that price have to be?

Newport Fisker

H/t to Daily Revs

Tesla still commands a 40+ percent share of the US EV market, but demand is down 11 percent Jan-June, and it’s not only declining new car sales that are causing alarm. The brand also dominates a list of the used cars whose value is dropping hardest.

Related: Tesla Suddenly Wants You To Buy Now After Years Of Opposing EV Credits

The Elon Musk-headed automaker bagged four spaces in the top 10 list of biggest losers collated by the data crunchers at iSeeCars, and a fourth Tesla also found its way onto the chart.

Including one other brand’s value-shedding model, EVs accounted for five of the 10 cars judged to have shed the biggest percentage of their value in 10 months. And that’s despite electric vehicles only accounting for 3.3 percent of the 1- to 5-year-old used market.

Tesla Tops the List of Falling Used Car Values

The study found the Model S suffered the biggest percentage price drop – though not the biggest dollar drop. The sedan’s average price in June 2025 was $46,700, which is 15.8 percent or $8,800 lower than it was 12 months earlier.

The Model X SUV actually lost more money – $9,500 – but due to its higher initial price, that drop only represented a 15.5 percent fall, putting it in second place. Third spot went to the Model Y, which fell $4,600 or 13.6 percent, probably in part due to the arrival of a facelifted version of the SUV this spring.

TOP 10 USED CAR PRICE DROPS

The Model 3’s value slid 9.4 percent, putting it in sixth spot, behind the fourth-place Ford Explorer hybrid (down 10 percent) and Jeep Gladiator (fifth place, down 9.6 percent). And Porsche’s Taycan lost 7 percent of its value, earning it eighth place, meaning all five of the EVs on the list lost far more than the average EV, whose value fell by 4.8 percent.

Sandwiched between the Model 3 and the Taycan is the Maserati Levante (seventh place, down 7.9 percent), and the top 10 is rounded out by the Chrysler Voyager (ninth, down 6.6 percent) and Lincoln Aviator (tenth, down 5.9 percent).

Used EV Values Lag Behind the Market

All five EVs on the list fell significantly more than the average for used electric vehicles, which dropped just 4.8 percent. By contrast, used internal combustion engine (ICE) vehicles actually gained in value slightly, up 5.2 percent on average over the same 12-month period.

The study appears to show that American consumers are less interested in EVs as used cars, and that sentiment is likely to carry over into future years as this September’s scrapping of EV tax credits begins to take effect and the ripples are felt in the used market.

Everyone shopping for a new car wants a good deal, and right now, there are plenty to be found in the electric vehicle space. That’s partly because new EVs aren’t flying off the shelves as they once were in the States. While sales saw a slight increase from April to May, they’re still down 10.7 percent year over year. As a result, the deals are getting sweeter.

According to data gathered from Cox Automotive, new EV prices are dropping. In May, the average price fell by 2.3 percent to $57,734. On top of that, incentives for these cars jumped 19.4 percent to an average of $8,226. That works out to roughly 14.2 percent of the average transaction price (ATP), which is the highest it’s been since 2019.

Read: 80% Of Car Tariffs Could Be Passed Directly To You

Several notable models, including the Ford Mustang Mach-E, Kia EV6, Nissan Ariya, and Acura ZDX are available for what effectively ends up being less than $40,000, which the study calculated by subtracting the average model-specific incentives from their ATPs.

New and Used EV Sales May 2025

Interestingly, the used electric vehicle market is going in the opposite direction. The average price rose 0.9 percent from April to May and 2.6 percent year over year. In cold, hard numbers that represents an average transaction price of $36,053. Despite that, sales increased 1.1 percent month over month and a substantial 32.1 percent year over year. Of those, Cox estimates that almost half (49.6%) were Teslas.

The price gap between used EVs and traditional ICE+ vehicles is also shrinking, staying under $2,000. Unsurprisingly, The Tesla Model 3 was the top-selling used electric car in May, with an average selling price of $23,160, which represents a 1.6 percent decrease from April.

New and Used EV Prices May 2025

Supply Shortages for Used EVs

Used EVs up for sale are far less than new ones. Data suggests 40 days of supply available in May, 11 percent less than a year previous and the lowest since June of 2022. That figure is the number of days of inventory a company has before it runs out of product.

“As EV adoption accelerates, ensuring a growing supply of affordable models is essential,” said Cox. “For many consumers, price remains one of the most significant barriers to making the switch to electric.”

In contrast, new EV dealers had an average of 111 days of supply in May. That’s 8 percent more than April, but still 11.6 percent less than May 2024.

The EV market is clearly in a bit of a balancing act right now, with more incentives, lower prices on new EVs, and rising costs in the used market. For shoppers, this creates a window of opportunity to grab some solid deals, but the clock might be ticking, especially with the $7,500 tax credit for new EVs and $4,000 for used ones on the chopping block soon.

New and Used EV Days’ Supply May 2025

China’s car market has been riding high, fueled by generous government subsidies. Dealers are taking advantage of this in numerous ways, including some less scrupulous ones selling zero-mileage cars as “used” to pocket trade-in subsidies meant to help consumers. Now, at least six cities and municipalities have hit the brakes on these subsidies, meaning local buyers will soon face higher costs when driving off with a new car.

The pause comes on the heels of concerns over the long-term fallout from the ongoing automotive price war sweeping through the nation.

Read: The Company That Started The EV Price War Now Says It’s Gone Too Far

In cities like Zhengzhou and Luoyang, local governments have announced a break in the program, citing the depletion of the initial round of funding from Beijing. Other cities, including Xinjiang, Chongqing, and Shenyang, to name a few, have hopped on the bandwagon, suspending a subsidy initiative that was originally meant to stimulate consumer spending during China’s ongoing economic struggles.

Reuters reports that subsidies like those in effect for the auto industry, as well as electronics and home appliances, contributed to a 6.4% growth in local retail sales for May. What’s more, data from the Ministry of Commerce reveals that through the first five months of this year, there have been more than 4 million applications for car trade-in subsidies.

Some Are Taking Advantage Of The Subsidies

While the subsidies help make cars more affordable, the program is being abused. For example, there’s a growing trend of new cars being heavily discounted and sold as “zero-mileage used cars” to quickly shift inventory. Additionally, many dealers are describing new cars as used vehicles that can be traded in, making them eligible for the subsidies.

Local reports state that these practices are one of the reasons why the subsidies have been used up quicker than expected, prompting suspensions.

The country’s National Development and Reform Commission and Ministry of Finance say the subsidy program will continue throughout this year, although it’s not known when more funds will be released by Beijing.