To the brave, prudent shoppers trying to cash in on new U.S. incentives to buy an electric vehicle: Good luck.
The $12 billion in EV support written into the Inflation Reduction Act — including rebates of up to $7,500 at the point of purchase — is expected to shift electric-car buying into high gear. But most of the battery-powered whips on the market are likely too expensive, too foreign or too scarce for a purchase to pan out anytime soon. As BloombergNEF analyst Ethan Zindler puts it: “There aren’t many cars available and there aren’t many credits available in 2022.”
That means it’s time to internalize what many Americans already know: A new car often isn’t the best idea — even if it’s electric. For every new car that rolls off the lot, Americans buy three used ones, making for a far more liquid market with a far wider spectrum of prices. Factor in an IRA rebate of up to $4,000 for buying a used EV, and so called “pre-owned vehicles” are arguably the smartest money in subsidized wheels.
