More than half of used dealers (52%) believe electric car prices and values could further worsen this year, according to the March Startline Used Car Tracker which questioned 301 consumers and 61 dealers.
March’s Startline Used Car Tracker shows 49% say consumer demand is not high enough to support values, 42% say there are not enough advantages for consumers choosing an EV, and 39% say more people are opting for hybrids.
Paul Burgess, CEO at Startline Motor Finance, said: “Electric car prices and values are already generally below petrol equivalents but these findings show that the majority of dealers believe they have further still to fall.
“Supply of these vehicles is increasing quite quickly and while consumer enthusiasm is also increasing, there’s a widespread feeling among dealers that a negative imbalance exists which will further drive down prices and values.
“This is bad news for anyone bearing the depreciation on a new electric car but good news for those buying a used one. There are some very real bargains in the market at the moment and, if our research is correct, there could be even bigger ones as the year progresses.”
Also, 36% report that stock supply is rising too quickly and 24% think that EVs are still too expensive.
However, 11% believe EVs are becoming more attractive, 9% believe that current prices are sustainable and 9% say that general enthusiasm for electrification is increasing.
The Startline Used Car Tracker also asked dealers when they expected prices and values for electric cars to align with those of petrol, diesel and hybrid alternatives – with 41% saying within one-two years, 46% in three to five years, and 13% longer than five years.
