(iSeeCars) — The latest iSeeCars.com analysis found used car prices were down 4.7 percent in the last 6 months, and down 8.7 percent from a year ago. The used car with the biggest price drop is the Tesla Model 3, with a 21.5 percent drop since September 2022.
Summary:
- While overall prices are down 8.7 percent, 10 models have price drops of 16-plus percent
- Infiniti QX80, Nissan Armada, Land Rover Discovery, and Tesla Model 3 prices are all down more than 19 percent from a year ago
- Electric vehicles have fallen dramatically, off 13.9 percent compared to a year ago
In September, used car prices were up 7.8 percent compared to a year earlier, but by November they were 2.1 percent below November 2021. The iSeeCars study analyzed 1.8 million used car sales between February 2022 and February 2023 to identify used car pricing trends and which models have seen the biggest price increase and biggest decrease over the past 6 and 12 months.
“The used car market has been fragmented over the past year,” said iSeeCars’ executive analyst Karl Brauer. “While prices are still higher than before the pandemic, they have consistently dropped over the past year, and at an accelerated rate in the past 6 months.”
| Year-over-Year Change in 1-5 Year Old Used Car Prices – iSeeCars Study | |||
| month | Average Used Car Price | Year-over-Year $ Price Difference | Year-over-Year % Price Difference |
| Feb 2023 | $31,815 | -$3,024 | -8.7% |
| Jan 2023 | $32,052 | -$3,104 | -8.8% |
| Dec 2022 | $33,582 | -$1,043 | -3.0% |
| November 2022 | $31,823 | -$697 | -2.1% |
| Oct 2022 | $32,740 | $1,133 | 3.6% |
| Sept 2022 | $33,368 | $2,414 | 7.8% |
10 Models with the Biggest Price Drops, September 2022 – February 2023
While overall prices are down 8.7 percent compared to a year ago, and 4.7 percent since September, some models have fallen farther.
“The Tesla Model 3 has lost over 20 percent of its value in the last six months, and while multiple hybrids and the Nissan Leaf are also down between 11 and 22 percent over the same period, the Model 3’s loss of value is close to double that of the next model, the Nissan Kicks,” said Brauer.
These are the cars with the biggest price drops over the past 6 months:
| Top 10 Used Cars with the Greatest 6-Month Price Drops (Sep 2022 vs. Feb 2023) – iSeeCars Study | ||||
| rank | Used Vehicles | Average Price (Feb 2023) | $ Price Change from Sept 2022 | % Price Change from Sept 2022 |
| 1 | Tesla Model 3 | $41,337 | -$11,302 | -21.5% |
| 2 | Nissan Kicks | $19,713 | -$3,050 | -13.4% |
| 3 | Nissan LEAF | $25,734 | -$3,502 | -12.0% |
| 4 | Toyota C-HR | $22,844 | -$3,072 | -11.9% |
| 5 | Jaguar E-PACE | $33,836 | -$4,437 | -11.6% |
| 6 | Toyota Prius Prime | $29,856 | -$3,875 | -11.5% |
| 7 | Chevrolet Malibu | $19,082 | -$2,463 | -11.4% |
| 8 | Toyota RAV4 | $27,612 | -$3,537 | -11.4% |
| 9 | Toyota Camry | $24,384 | -$3,050 | -11.1% |
| 10 | Hyundai Ioniq Hybrid | $20,528 | -$2,540 | -11.0% |
| National Average | $31,815 | $33,368 | -4.7% |
10 Models with the Biggest Price Drops
Looking back a full year, the Tesla Model 3 and Jaguar E-Pace continue to rank among the cars with the largest price declines, but the list also has mostly higher-priced luxury models, including two Audis, two Land Rovers and another Jaguar. The only non-luxury models are the Tesla and the Nissan Armada, which is a mechanical twin to the Infiniti QX80, both of which are down more than 20 percent.
Here are the cars with the biggest price drops over the past year:
| Top 10 Used Cars with the Greatest Year-over-Year Price Drops (Feb 2022 vs. Feb 2023) – iSeeCars Study | ||||
| rank | Used Vehicles | Average Price (Feb 2023) | $ Price Change from Feb 2022 | % Price Change from Feb 2022 |
| 1 | Infiniti QX80 | $41,094 | -$11,780 | -22.3% |
| 2 | Nissan Fleet | $33,300 | -$8,471 | -20.3% |
| 3 | Land Rover Discovery | $40,841 | -$10,132 | -19.9% |
| 4 | Tesla Model 3 | $41,337 | -$9,914 | -19.3% |
| 5 | Land Rover Range Rover Velar | $47,255 | -$11,263 | -19.2% |
| 6 | Jaguar E-PACE | $33,836 | -$7,377 | -17.9% |
| 7 | Audi S5 Sportback | $44,528 | -$9,498 | -17.6% |
| 8 | Audi SQ5 | $43,092 | -$8,928 | -17.2% |
| 9 | Jaguar F-PACE | $37,497 | -$7,561 | -16.8% |
| 10 | Mercedes-Benz CLS | $57,454 | -$11,173 | -16.3% |
| National Average | $31,815 | -$3,024 | -8.7% |
10 Models with the Biggest Price Hikes
While the average used car is down in price, some models are fighting the trend, with prices higher than 6 and 12 months ago.
All the cars that have gone up in price over the past 6 months are luxury models, confirming the willingness of wealthier consumers to still spend over MSRP to get the vehicle they want.
Here are the cars with the biggest price hikes over the past 6 months:
| Top 10 Used Cars with the Greatest 6-Month Price Increases (Sep 2022 vs. Feb 2023) – iSeeCars Study | ||||
| rank | Used Vehicles | Average Price (Feb 2023) | $ Price Change from Sept 2022 | % Price Change from Sept 2022 |
| 1 | Mercedes-Benz S-Class | $87,981 | $9,314 | 11.8% |
| 2 | Mercedes-Benz GLS | $67,700 | $6,828 | 11.2% |
| 3 | Porsche 911 | $190,770 | $18,272 | 10.6% |
| 4 | Cadillac Escalade/Escalade ESV | $71,743 | $6,012 | 9.1% |
| 5 | Porsche 718 Cayman | $86,319 | $6,884 | 8.7% |
| 6 | Mercedes-Benz E-Class | $46,808 | $3,615 | 8.4% |
| 7 | BMW 7 Series | $60,821 | $4,585 | 8.2% |
| 8 | BMW X6 | $60,911 | $4,369 | 7.7% |
| 9 | Maserati Levante | $58,046 | $3,977 | 7.4% |
| 10 | Maserati Ghibli | $47,604 | $2,877 | 6.4% |
| National Average | $31,815 | $33,368 | -4.7% |
When looking back a year, the model with the larger price hikes includes two electric vehicles, two hybrids, and three fuel-efficient hatchbacks, reflecting the increase in fuel prices over the past year and how that has elevated interest in fuel-efficient vehicles.
“It’s worth noting that even the vehicle with the greatest price increase over the past year, Porsche’s 911, is still only up 13 percent,” said Brauer. “This compares to the Tesla Model 3’s 21.5 percent drop over that same period, further illustrating the overall used car market’s downward movement.”
| Top 10 Used Cars with the Greatest Year-over-Year Price Increases (Feb 2022 vs. Feb 2023) – iSeeCars Study | ||||
| rank | Used Vehicles | Average Price (Feb 2023) | $ Price Change from Feb 2022 | % Price Change from Feb 2022 |
| 1 | Porsche 911 | $190,770 | $21,913 | 13.0% |
| 2 | Hyundai Sonata Hybrid | $26,870 | $1,702 | 6.8% |
| 3 | Chevrolet Bolt EV | $25,819 | $1,439 | 5.9% |
| 4 | Nissan LEAF | $25,734 | $1,325 | 5.4% |
| 5 | Mini Clubman | $27,722 | $1,339 | 5.1% |
| 6 | Volkswagen Golf GTI | $29,597 | $1,221 | 4.3% |
| 7 | BMW M4 | $70,541 | $2,110 | 3.1% |
| 8 | Toyota Prius Prime | $29,856 | $888 | 3.1% |
| 9 | Porsche 718 Cayman | $86,319 | $1,767 | 2.1% |
| 10 | Hyundai Accent | $16,725 | $339 | 2.1% |
| National Average | $31,815 | -$3,024 | -8.7% |
Used Hybrid Models Holding Up, Electric Vehicles Dropping Fast
As a group, hybrid vehicles are doing quite well, with prices only down about 2.1 percent compared to the market’s overall drop of 8.7 percent in the past 12 months.
“The price of fuel increased drastically between February 2022 and February 2023, increasing the value of, and demand for, fuel-sipping hybrids,” said Brauer. “Conversely, electric vehicles have fallen 13.9 percent in the past year, possibly reflecting the average consumer’s unwillingness to pay the higher price for a used EV as inflation and interest rates dampen consumer confidence.”
| Electric and Hybrid Vehicle Pricing (Feb 2022 – Feb 2023) – iSeeCars Study | |||
| Fuel Type | Average Used Price (Feb 2023) | $ Price Change from Feb 2022 | % Price Change from Feb 2022 |
| Hybrid | $33,065 | -$702 | -2.1% |
| Average Across All Cars | $31,815 | -$3,024 | -8.7% |
| Non-Hybrid/Electric | $31,645 | -$3,035 | -8.8% |
| Electric | $46,353 | -$7,490 | -13.9% |
Coupes and Hatchbacks Are Hot, SUVs and Minivans Are Not
When broken out by vehicle type, coupes are actually worth more than they were a year ago, likely reflecting strength in the luxury market and models like the 911; hatchbacks and pickup trucks have dropped in price at least. Minivans and SUVs are at the opposite end of the pricing spectrum, losing about 10 percent of their value over the past year.
| Average Price Changes by Body Type (Feb 2022 – Feb 2023) – iSeeCars Study | |||
| BodyType | Average Used Price (Feb 2023) | $ Price Change from Feb 2022 | % Price Change from Feb 2022 |
| Coupes | $49,745 | $2,525 | 5.3% |
| Hatchbacks | $24,188 | -$1,096 | -4.3% |
| Pickups | $39,920 | -$2,337 | -5.5% |
| Wagons | $19,959 | -$1,265 | -6.0% |
| Sedan | $26,128 | -$2,151 | -7.6% |
| Average Across All Cars | $31,815 | -$3,024 | -8.7% |
| Convertibles | $46,695 | -$4,457 | -8.7% |
| SUVs | $32,083 | -$3,519 | -9.9% |
| Minivans | $30,865 | -$3,566 | -10.4% |
“As the pandemic fades and the supply chain improves we’re seeing prices for new cars fall,” said Brauer. “Most models are still priced above the manufacturer’s suggested retail, but the margins between list price and MSRP are shrinking, and should keep contracting for the rest of the year.”
Brauer also noted, “We know dealers are paying more for used cars at the wholesale level, but we’re not seeing that in the retail pricing space, suggesting the profit margin on used cars is being compressed.”
Methodology
iSeeCars.com analyzed over 1.8 million 1-5-year-old used car sales in February 2022 and 2023. The average listing prices of each car model were compared between the two time periods, and the differences were expressed as a percentage difference from the 2022 price as well as a dollar difference. Heavy-duty vehicles, low-volume vehicles, vehicles discontinued as of the 2022 model year, and vehicles with fewer than 4 of the 5 model years for each period were excluded from further analysis.
About iSeeCars
iSeeCars.com is a data-driven car search and research company that helps shoppers find the best car deals by providing key insights and valuable resources, like the iSeeCars VIN check report and Best Cars rankings. iSeeCars.com has saved users over $377 million so far by applying big data analytics powered by over 25 billion (and growing) data points and using proprietary algorithms to objectively analyze, score and rank millions of new cars and used cars.
this article, Used Car Prices Continue to Fall, Led by Tesla’s Model 3, originally appeared on iSeeCars.com.