Used EV prices rise in 2026 as buyers chase cheaper electric cars

Used EV prices are climbing in 2026, an unusual move in a market where cars normally lose value as they age. For everyday buyers, that can mean fewer bargains. For current electric-vehicle owners, it may mean a stronger resale price than they expected.

Depreciation means a car’s value declines over time, and used electric vehicles have historically been hit hard by it. Andrew Garberson, head of growth and research at Recurrent, told CNBC that the usual drop in used-car values is the “law of used cars.” Ivan Drury, director of insights at Edmunds, said used EVs have been known for weak resale values.

This year has moved the other way. Recurrent said in a July analysis that used EV prices rose 5.1% from January through June 2026, and were up 7% for the year through mid-July. The firm said it compared vehicles across the same make and model year in 108 combinations and weighted the price changes by inventory volume.

Edmunds found a similar pattern in an analysis for CNBC. The average transaction price for 3-year-old EVs, meaning 2023 model-year vehicles, increased 6% in the first half of 2026, rising to $33,303 from $31,429.

Why are used EV prices rising in 2026?

The main force is demand. Recurrent expects more than 500,000 leased EVs to return to the market as used cars this year, with more coming next year, according to Garberson. More supply would usually pressure prices lower if demand stayed flat.

Instead, buyers have kept showing up. Garberson said the move is notable because it followed the end of a federal EV tax credit that had made electric vehicles cheaper for households. The Inflation Reduction Act, signed by President Joe Biden in 2022, had set the credit to run through 2032. Republican legislation under President Donald Trump ended it after Sept. 30, 2025, according to CNBC.

Gasoline prices are one reason shoppers are looking again at electric cars. The Energy Information Administration said average U.S. gas prices were about $4.10 a gallon as of July 27, up from $3.12 a year earlier. Drury said higher fuel costs are lifting EV demand. Edmunds also found prices for 3-year-old hybrids rose 3% in the first half of the year.

Affordability is another factor. Cox Automotive said used EV sales rose 20% in June from a year earlier, while new EV sales fell about 28%. Cox also said new EVs made up 5.4% of total new-vehicle sales in June, while used EVs were 2.4% of the used market.

Drury said shoppers can often find a 3-year-old EV at about the same price as a comparable gas-powered car that is 4½ to 5 years old. Buyers may see value in the newer vehicle if it has lower mileage and more recent technology.

What does it mean for buyers and sellers?

For sellers, the price move improves the odds of getting a better offer than they might have earlier expected. Drury told CNBC that owners nearing the end of their holding period should compare offers rather than assume their EV has lost value in the usual way.

For buyers, the trade-off is clear: used EVs may still look attractive against new cars or older gas vehicles, but the cheapest inventory is getting more expensive. Recurrent found that used EVs under $20,000 rose 9.4% in the first half of 2026. Prices gained 5.6% for EVs between $20,000 and $30,000 and 6.5% for those between $30,000 and $40,000.

Higher-priced used EVs did not follow the same pattern. Recurrent said vehicles priced from $40,000 to $50,000 fell 1.2%, while those above $50,000 dropped 3.3%.

Stephanie Valdez Streaty, director of industry insights at Cox Automotive, said dealers have improved at explaining the total cost of ownership for EVs, including generally lower maintenance costs. Fuel savings can also vary depending on whether a buyer can charge at home and how expensive local electricity is, according to experts cited by CNBC.

This story draws on original reporting from CNBC.