Used EV Market Booms as Prices Drop Below $25,000 Threshold

The electric vehicle market is defying expectations with a surge in used EV sales, driven by falling prices and robust battery performance. Tesla's once-elusive $25,000 price point is now a reality in the pre-owned market, with Model 3s frequently listed around $20,000 at dealerships like EV Auto.

Data from Edmunds and Recurrent reveals over a third of used EVs now trade below $25,000, offering relief in an auto market where even basic gas-powered models often exceed $30,000. This pricing shift has flipped the script—used EVs outsold combustion-engine counterparts in five of the last seven months, despite ongoing industry controversies.

The trend coincides with expiring federal tax credits, creating urgency for buyers. 'These cars are holding up better than many expected,' observes one industry analyst, noting the resilience of battery systems in early-generation models. As inventory builds, the secondary market could accelerate mainstream EV adoption.