Values of battery electric vehicles (BEVs) rose in September after 24 months of consecutive cuts, resulting in a reduction of values by approximately 60%.
That’s the finding of cap hpi which said BEVs showed a positive average movement of 1% at the three-year mark.
Nearly half of the models valued at this age have seen their values increase this month, compared to just 11% last month.
Of the rest, 29% of models have seen no change at all, while 19% have experienced a reduction in value. Despite the average improvement in values, the BEV market remains nuanced.
“Some examples of BEV models that have seen value increases include the BMW I3 with a 5% increase, the Peugeot 208 with 4.5%, the Kia E-Niro with 4% and the Nissan Leaf also with 4%.
“For several months now, we have been highlighting the excellent value-for-money that used BEVs offer to both consumers and retailers. Interestingly, the best-performing sector of electric cars in September was the lower medium or C Sector, which saw values increase by over 2%,” said Chris Plumb, senior valuations editor at cap hpi.
The overall market saw a strong trade and retail performance, with average used car values at three years 60,000 miles increasing by 0.2% in September.
Plumb said: “The decrease in prices during the last quarter of 2023 helped alleviate some of the excessive inflation during the price increases of 2021.
“However, prices did not completely return to their previous levels, remaining some 15% above where they were at the start of 2021.
“It appears that used car prices reached a reasonable point for both retailers and consumers at the beginning of 2024, leading to a period of overall stability since then.
“It is important to note that there are certain nuances within this trend, and in cases where supply exceeds demand for specific models and fuel types, values have certainly declined. Nevertheless, on average, used car prices in 2024 have remained stable.”