Interesting - dealers turning away from EVs.

Ws6 said:
If the car is totalled, the bank eats the loan without impact to my finances or credit. If I paid cash, and had full coverage, Id just get a check for appraised value.
Click to expand...
Gap insurance pays for the difference. However, if you consider that a replacement car of the same model and quality is the market price, your loss is already there when you buy a car that reduces its value faster than your loan payment. You lose value in per month depreciation even if you pay cash. That's regardless of loan or not.

I think the moral of the story, to me, is to buy a car that depreciate less, if possible. It is how it should be done unless the manufacturer lease you a car with fake residual value and they have to eat it, or they mess with the residual to give you a good loan.

Every car depreciate differently, and it is not just EV. For EV we know battery depreciate and therefore the car depreciate, and therefore we need to remember it is the real cost for EV (the battery depreciation must be factored in along with electricity cost, like a gasoline car with a known problematic transmission must factor in the tranny rebuild cost).

Those who buy an EV and rarely drives it will not save money because battery still depreciate, therefore the EV depreciate.
 
PandaBear said:
Gap insurance pays for the difference. However, if you consider that a replacement car of the same model and quality is the market price, your loss is already there when you buy a car that reduces its value faster than your loan payment. You lose value in per month depreciation even if you pay cash. That's regardless of loan or not.

I think the moral of the story, to me, is to buy a car that depreciate less, if possible. It is how it should be done unless the manufacturer lease you a car with fake residual value and they have to eat it, or they mess with the residual to give you a good loan.

Every car depreciate differently, and it is not just EV. For EV we know battery depreciate and therefore the car depreciate, and therefore we need to remember it is the real cost for EV (the battery depreciation must be factored in along with electricity cost, like a gasoline car with a known problematic transmission must factor in the tranny rebuild cost).

Those who buy an EV and rarely drives it will not save money because battery still depreciate, therefore the EV depreciate.
Click to expand...
I agree, but I happen to enjoy fun cars, and those tend to depreciate faster. Just the nature of the beast. GAP insurance + driving it until the wheels fall off = best value/no risk. I have 14K miles on my GT. Bought it in mid Feb. Valentine's day, actually!
 
Ive said this a long time ago regarding the OP.
My prediction,
There will be an oversupply of EVs in at most, 4 years. It happens with every consumer product. But in this case most EVs are an emotional purchase without properly evaluating specific needs. EVs will, without question be a viable purchase for many but not for everyone who will buy one.
It's a media darling right now but sooner or later the media will need a new story and that story will be the "other side" of an EV purchase. Ev's compromise less than or 1% of vehicles on the road, there is no way in heck to know what the outcome will be until we get to 10% or more.
Just wait for the mai to jump on the lines at charge points or crime. It's too soon for that.
 
alarmguy said:
Ive said this a long time ago regarding the OP.
My prediction,
There will be an oversupply of EVs in at most, 4 years. It happens with every consumer product. But in this case most EVs are an emotional purchase without properly evaluating specific needs. EVs will, without question be a viable purchase for many but not for everyone who will buy one.
It's a media darling right now but sooner or later the media will need a new story and that story will be the "other side" of an EV purchase. Ev's compromise less than or 1% of vehicles on the road, there is no way in heck to know what the outcome will be until we get to 10% or more.
Just wait for the mai to jump on the lines at charge points or crime. It's too soon for that.
Click to expand...

We already export almost all 24kwhr used Leaf’s out of the country.

The reason is less oversupply and more a case that EVs are sold like computers were back in the megahertz war.

Buying A 2011 Leaf is like buying an Intel 286 -6mhz today, its range and features are no longer compelling or competitive at all.
This is much more exaggerated and different than buying a gas car, it’s not like old cars had non-upgradable 3 gallon gas tanks compared to 10 gallon ones today .

Add to this our society forces certain extremely high fixed costs onto EVs that don’t change with its age, unless these costs are addressed it makes it so you basically can’t own an antique EV even if it works for you because the gas for a gas economy car is cheaper than the increased fixed costs for an EV.


What’s worse is we export all of our <10 year old used cars overseas, if its environmentally friendlier for people to not be buying and driving old cars they should make sure the newer ones stay in this country, otherwise the age of used cars will continue to grow because they are the only ones available, it’s almost like Cuba the last 10 years except we build new cars but don’t keep any
 
Last edited:
Rmay635703 said:
We already export almost all 24kwhr used Leaf’s out of the country.

The reason is less oversupply and more a case that EVs are sold like computers were back in the megahertz war.

Buying A 2011 Leaf is like buying an Intel 286 -6mhz today, its range and features are no longer compelling or competitive at all.
This is much more exaggerated and different than buying a gas car, it’s not like old cars had non-upgradable 3 gallon gas tanks compared to 10 gallon ones today .

Add to this our society forces certain extremely high fixed costs onto EVs that don’t change with its age, unless these costs are addressed it makes it so you basically can’t own an antique EV even if it works for you because the gas for a gas economy car is cheaper than the increased fixed costs for an EV.


What’s worse is we export all of our
Click to expand...
I think you are over thinking this a bit. The higher income nations have been exporting older cars for many reasons, and it is not really an EV only thing. Look at how much labor cost these days to fix something that can be made in the factory faster by robots, why in the world would people pay $150/hr to rebuild a transmission or engine when you can get a new one, ship the broken car to 3rd world, and let their $10/hr labor fix it for the local people to drive? Anything they hack together would be an upgrade to a scooter and they don't drive 100 miles commute in them daily (gas is too expensive) like the US (because homes are even more expensive).

Why would we export 10 year old EV is even more obvious. In the US we have some of the most ridiculous "requirement" for daily driver: 3 row 7 seater SUVs that can tow a boat, crew cab pickup truck that can put a full size plywood in the back, EVs that can drive 300 miles with a single charge and recharge 60% of that in 20 mins, 0-60 in 6 seconds, "self driving", etc. If you look at other countries that take used car from US, they probably only drives 20 miles a day and a worn out EV would be ok for them even if the range is only 40 miles. They can probably afford to buy 2 EVs and swap a collision salvage battery to another with a good body but worn battery and get a decent one afterward.

I don't see the point of "make sure newer cars stay in this country" is something that we should mandate. We do want to export our products so why can't we export used cars? It is like telling people you cannot drive new cars and you must drive a worn out old one because the new ones are destined for export. Makes no sense.
 
The trouble is we are exporting normal no. Branded repo cars that are under 5 years old in bulk out of the country.

This a much different problem than the 15 years of exporting all the spare parts so you have nothing to repair your car with.
 
Rmay635703 said:
The trouble is we are exporting normal no. Branded repo cars that are under 5 years old in bulk out of the country.

This a much different problem than the 15 years of exporting all the spare parts so you have nothing to repair your car with.
Click to expand...
You can blame inflation and devaluation of USD for that. Smuggling happens even in Soviet Union, you can't avoid export. To "fix" that you have to reduce inflation.
 
Given recent developments by Putin and the Saudis regarding oil production and our own government cancelling oil drilling leases in Anwar the obvious results are going to be increased costs for gasoline. How many times have we seen this in the past ?

Those dealers who are turning away from EV's are going to be regretting their decisions shortly when residents of large population states that also have the highest gas prices decide that a new EV makes sense for them.
 
PimTac said:
I think there is more to it than that.
Click to expand...
It’s insurance. If the car is totaled GAP pays out the amount above what the insurance pays out in value to finish off the loan. It’s the gamble the financier is willing to make selling you a product they hope you don’t need to cash in on, much like any other insurance.
 
You must log in or register to reply here.
Back
Top Bottom