EV Depreciation & Resale Value by Model (2026)
3-year residual values for popular EVs vs gas counterparts. See which electric cars hold value, which depreciate fastest, and how depreciation affects total cost of ownership.
Updated June 2026 · Estimates based on KBB, Edmunds, and iSeeCars 3-year residual data.
Depreciation is the single largest cost of owning a new vehicle — typically more than fuel, insurance, and maintenance combined in the first 3–5 years. For EVs, depreciation has been steeper than gas counterparts due to rapid price cuts, fast technology turnover, and a still-maturing used market. Below we compare 3-year residual values across popular segments so you can fold depreciation into your total cost of ownership.
3-Year Residual Value by Segment
MSRP → estimated private-party value at 3 years / 36,000 miles.
| Segment | Model | Type | MSRP | 3-yr value | Loss |
|---|---|---|---|---|---|
| Compact SUV | Tesla Model Y LR | BEV | $47,490 | $27,500 | −42% |
| Toyota RAV4 | ICE | $30,000 | $22,500 | −25% | |
| Compact sedan | Tesla Model 3 LR | BEV | $42,490 | $24,200 | −43% |
| Toyota Camry | ICE | $28,500 | $20,300 | −29% | |
| Luxury sedan | Tesla Model S | BEV | $79,990 | $38,000 | −52% |
| BMW 5 Series | ICE | $58,000 | $32,500 | −44% | |
| Midsize SUV | Hyundai Ioniq 5 | BEV | $42,500 | $21,700 | −49% |
| Honda Pilot | ICE | $41,000 | $28,000 | −32% | |
| Kia EV6 | BEV | $42,900 | $21,800 | −49% | |
| Crossover | Ford Mustang Mach-E | BEV | $39,995 | $19,500 | −51% |
| Ford Edge | ICE | $38,000 | $24,500 | −36% | |
| Pickup | Ford F-150 Lightning | BEV | $62,995 | $31,000 | −51% |
| Ford F-150 (ICE) | ICE | $45,000 | $32,000 | −29% | |
| Hatchback | Chevy Bolt EV | BEV | $26,500 | $13,500 | −49% |
| Luxury SUV | Rivian R1S | BEV | $75,900 | $41,000 | −46% |
| Audi Q8 e-tron | BEV | $74,400 | $31,000 | −58% |
Best EV value holders (3 yr)
- Tesla Model Y LR−42%
- Tesla Model 3 LR−43%
- Rivian R1S−46%
- Hyundai Ioniq 5−49%
- Chevy Bolt EV−49%
Steepest EV depreciation (3 yr)
- Audi Q8 e-tron−58%
- Tesla Model S−52%
- Ford Mustang Mach-E−51%
- Ford F-150 Lightning−51%
- Kia EV6−49%
How depreciation fits into total cost of ownership
On a $45,000 vehicle, every 10 percentage points of depreciation equals $4,500. That's typically larger than 3 years of fuel savings, so an EV that depreciates 15 points faster than its gas equivalent can still come out behind on TCO even after charging savings. Always model both:
- EV Breakeven Calculator — when fuel savings pay back the price premium.
- EV vs Gas Cost Comparison — fuel cost per mile by model.
- Used EV Battery Health Tool — what to check before buying used.
- Battery Replacement Cost — the bigger long-term risk than depreciation.
FAQ
Why do EVs depreciate faster than gas cars?
Three drivers: aggressive new-model price cuts (Tesla 2023–2024), rapid battery and software improvements that date older trims, and buyer uncertainty about battery longevity. As the used market matures and prices stabilize, the gap is narrowing.
Which EVs hold their value best?
Tesla Model Y, Model S, Ford F-150 Lightning, and Rivian R1S currently lead. Strong demand, recognizable brands, and access to fast-charging networks all support residuals.
Which EVs depreciate the fastest?
Luxury EVs from legacy automakers (Audi Q8 e-tron, Jaguar I-Pace) and early-generation models with shorter range (pre-2022 Bolt, Leaf, i3) have lost the most value. Federal used-EV tax credits accelerate this on the used market.
Does the $4,000 used EV tax credit affect resale value?
Yes — for EVs under $25,000 sold by a dealer, the credit effectively lowers the buyer's price by up to $4,000, which puts downward pressure on private-party asking prices in that bracket.
How does depreciation compare to fuel savings?
On a $45,000 vehicle, a 10-point depreciation gap is $4,500 — typically larger than 3 years of fuel savings (~$3,000–$4,500). Always model both together when comparing TCO.
Methodology: residual estimates synthesized from publicly reported 3-year retention data (KBB, Edmunds, iSeeCars 2023–2026) for vehicles purchased new at MSRP and sold privately at 36 months / 36,000 miles. Actual values vary by trim, region, condition, and incentives applied at purchase.