The future for used car sales is getting a lot of attention.
Signs are things are changing a lot for such purchases throughout 2023 and beyond.
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Cox Automotive, an automotive services and technology provider, writes in an April 7 press release that new electric vehicle (EV) sales in 2023 will be more than 1 million units for the first time.
Cox also writes that used EV sales have lagged the new-vehicle market, but notes importantly that is beginning to change.
"Every new vehicle eventually becomes a used vehicle," said Jonathan Smoke, chief economist of Cox Automotive, in the press release.
"Our data sets indicate used EV sales will begin increasing rapidly from here, following a clear path set by new sales," he adds. "In Q1, our team at Manheim processed a record number of used EVs in the wholesale market."
In the first quarter of 2023, the average price for a used EV was about $43,400, Cox writes. That was down 4% from a year ago, and well below the $59,000 or so for an average new EV.
It's a dramatic change and means the price of used EVs, including Tesla (TSLA), will be a story to watch for used car buyers now and in the future.
"There is no doubt that the shift to electric vehicles is having a profound impact on the larger automotive market," said Joe George, president of Cox Automotive Mobility, in the press release.
"As more EVs become used EVs, we are developing our ability to help the industry accurately value each vehicle and, importantly, provide the industry with the services required for the entire lifecycle of an EV, down to end-of-life battery management."
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