Electric Vehicle Prices Still High Despite Rising Sales

The car world is charging full speed toward an electric future, but let’s be real—prices are still a major buzzkill. Automakers keep saying EVs will take over the market eventually, but as long as they’re more expensive than gas guzzlers, a lot of folks will keep rolling with what they know.

Yeah, EV prices are coming down, but they're still not quite wallet-friendly. Cox Automotive has recently calculated the average price for a new EV for December 2024, which stands at $55,544. This represents a slight increase from the previous month and remains approximately $6,200 higher than the average gas-powered car. Not exactly a budget win.

Used EVs? Same deal. Prices are down nearly 9% from last year, but they're still averaging $36,976 compared to $32,712 for used gas cars. So, yeah, some progress, but it’s not like they’re handing out deals left and right.

To be fair, comparing EVs to gas cars isn’t totally apples to apples. EVs are generally loaded with premium features, and right now there just aren’t enough affordable electric options to level the playing field. Think comparing a steakhouse burger to a drive-thru cheeseburger—they’re both tasty but in different price leagues.

Positively, December witnessed a significant increase in EV sales, likely due to customers attempting to take advantage of the $7,500 federal tax credit. New EV sales hit 132,392, while used sales jumped 62.6% from last year. Unsurprisingly, Tesla dominated the charts, with the Model Y and Model 3 leading the way.

Bottom line? EVs are gaining traction, and prices are starting to dip. But until automakers figure out how to bring those prices down to something more relatable, a lot of drivers will just keep cruising in their trusty gas rides.