EV Prices Are Crashing: The Tsunami of Used Teslas Coming in 2026-2027
Electric vehicle (EV) prices—especially Tesla—are plummeting this year, and it's only going to get worse. With fierce competition, oversupply, and a massive wave of leased EVs hitting the used market, both new and used prices are set to dive. If you're thinking about buying or selling, now's the time to pay attention.
The Lease Tsunami: 1.1 Million EVs Flooding the Market
Value analyst data paints a stark picture: 1.1 million EVs are coming off lease soon—20 times the current used EV supply. This flood is inevitable, and resale values will plunge in 2026 and 2027.
Why? For years, manufacturers like Tesla, BMW, and Kia offered dirt-cheap leases ($99, $299, even $499/month) to boost sales. Those vehicles now return to the dealers and flood the used market. Buyers will ask: "Why pay $40k-$50k for new when a 3-year-old one is $20k-$30k?"
This competition will drag new EV prices down even further. We're already seeing 0% to 0.99% financing on new Teslas. If you're locking in a deal, use my Tesla referral link for 3 months of Full Self-Driving (FSD) free.
Deals Across the Board—and Headwinds for Tesla
Expect EV incentives everywhere, not just Tesla. But Tesla faces unique challenges:
- FSD Recall Probe: The NHTSA is investigating if Tesla's Full Self-Driving alerts drivers in time to avoid crashes. Lawsuits are piling up—watch this space.
Meanwhile, new EVs are ramping up:
- Rivian R2: Production starts soon (Q3/Q4 for customers).
- Lucid, BMW i3 (440-mile range), and SUV.
- Tesla Cybercab: Spotted on the production line at ~$25k-$30k.
Used Tesla Prices: Peaking Now, Crashing Soon
Check CarGurus trends: Used Tesla prices have surged over the past 3-6 months (black line on their chart). What goes up...
Advice:
- Selling? Do it NOW. Values are sky-high. Try Plug for an offer in 15 minutes—they beat trade-ins by $3k-$6k, even with tax credits.
- Buying used? DON'T. Wait for the crash.
- Need a car now? Buy NEW and hold off on used.
Must-Have Accessory for Your New Tesla
New Teslas don't come with great floor mats. My top pick: 3W Liners—best I've tested (Model X, 3, Y, Cybertruck). Use code DENNIS25 for 25% off (under $100) and support the channel.
Final Thoughts
EV prices are on a downward trajectory. Sell high, buy low later. What's your move? Drop a comment below!
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