If you own an EV, I hope you're not planning to trade it in anytime soon. A new study by Edmunds shows that nearly a quarter of all new car buyers in America are underwater on their vehicle loans, and the offenders with the highest average loss are electrified. The study shows that the average negative equity in a traded EV nearly doubled in two years, rising from $5,469 in Q2 2022 to a staggering $10,326 just last quarter.
Luxury cars are notorious for losing value much more quickly than their mundane marque counterparts. The Mercedes EQS, for example, is the perfect recipe for this depreciation example—not only is it a luxury car, but it's an EV, too. A study by iSeeCars revealed that the EQS lost a staggering 47% of its value in the first year of ownership. Get the best news, reviews, columns, and more delivered straight to your inbox. Sign up For more information, read ourPrivacy Policy and Terms of Use.