The Tesla Model S Loses Value Like It’s Getting Paid To
When it comes to vehicles with the worst depreciation rates on the market, electric vehicles (EVs) lead the way. It’s an unfortunate reality that EVs typically ditch initial value faster than hybrids and gas-powered rides. At the top of the list, the Tesla Model S leads the segment for five-year deprecation. So, just how much value does the electric luxury car shrug off in its first half-decade?
The Tesla Model S depreciates more than any other popular EV model
The Tesla Model S takes the No. 1 spot among popular EVs with the highest average depreciation rate in a five-year period.
|Make and model
|Average five-year depreciation
|Tesla Model S
|Chevrolet Bolt EV
The latest depreciation data from iSeeCars suggests that the Tesla Model S loses around 6.4% more of its initial value than the national average for EVs. What’s more, the Model S depreciates more than its pricier SUV sibling, the Model X. Specifically, the Model X loses around 49.9% of its value in the first five years. While that figure still puts the Model X above the EV average, it’s 5.6% behind the Model S.
However, even with EV segment averages above the rest of the market, the Model S doesn’t come anywhere near the top of the list of popular vehicles. In iSeeCars’ study, the vehicle with the most value lost in five years was the Maserati Quattroporte, a luxury sedan with a staggering 64.5% depreciation rate.
The news isn’t all bad for the Model S
Still, even with the bleak news for the Model S, the segment as a whole has enjoyed a rebound since 2019. Specifically, EVs exhibited an 18% improvement in four years, higher than every other segment, save for hybrids.
However, even with the improvement, the 49.1% average puts the EVs above every other popular segment.