The shock of gas prices has many of us thinking twice about a new car. Is this really a good time to buy a car? Do I really need it or can I make do? And the big one: Should I buy an EV?
While we know the price of gas fluctuates and it [probably] won’t be this high forever, the current conditions are a great reminder that paying seven cents a kilowatt hour for electricity can mean savings of more than a thousand dollars a year. And that’s when gas is cheap.
But there are other cost savings that EVs offer: Low used car prices, more built-in luxuries, discounts on new EVs, government incentives—yes, there are incentives!—a lower cost of maintenance over the long haul and a long warranty on the battery system and it sounds pretty good.
There’s a lot to learn about EV ownership. Thankfully, there are a lot of good resources that’ll help you to consider all the caveats.
This story is 100% human-researched and written based on actual first-person knowledge, extensive experience and expertise on the subject of cars and trucks.
EV Calculators Tell All: How Much You Can Save In a Year
Aside of the purchase price of a new car, fueling it is a considerable cost. So a cost calculator is a great place to start your journey.
Not long ago I sat down with Electric For All’s EV savings calculator to find out what I would save driving my gas-powered Infiniti QX50 versus my Hyundai Ioniq 5. Even though I knew an EV costs a lot less to operate, I was sort of surprised to see the math for myself; the savings would be about $1,000 a year for both gas and maintenance.
But now that gas is nearly $4 a gallon, the math is proving out even better; if pricing stays at current levels, an EV will save me $1,700 a year. That’s a significant number: A weekend getaway, a new sofa, a makeover for the guest bathroom. I’ll take it.
Best EV for Around Town Driving: Hyundai Ioniq 5
Is Buying a a Used EV a Crazy Idea?
Since so much of the technology is new(ish) and issues from EVs that just stop working to batteries and electrical systems that have to be replaced early in an EV’s life, it might seem that buying a used EV is a bad idea.
But here’s the thing: They carry long warranties on the battery systems, typically about 10 years, meaning that if you have an issue, it should be covered under the manufacturer’s warranty.
And then, there’s this: Many EVs have either been recalled, repaired or bought back by the carmaker and fixed. Any car can face issues, so EVs are not more or less subject to them.
Best Used EV to Buy: Mustang Mach-E
Used EVs Can Offer Great Savings
Probably the biggest argument for buying a used EV, though, is the lower purchase cost. Most EVs on the used car market were purchased using federal incentives, and those savings are reflected in the resale price. Plus, there’s a glut of EVs, so less competition to buy them and more incentive for sellers to sell them.
For a little guidance, Electric For All has a used EV shopping tool that’ll help you find deals in your area. Just be sure to follow used car shopping advice; it applies to all cars, not just gas-powered cars.
Best Deal on a New EV: Nissan Leaf
New EVs Can Be a Bargain, Too
Car makers are not backing off on producing EVs. That’s because it’s clearly the technology of the future and it’s the technology most in demand in many foreign markets. So selling EVs in the US is important. To help *nudge* car buyers in that direction, there are a lot of incentives and discounts on EVs. For instance, Polestar currently has a $10,000 discount on new Polestar 4 models.
That represents about a 15% discount off the MSRP. VW is offering $7,500 on the ID. Buzz, about a 12% discount. Ford is offering home charge stations, about a $2,000 value, with the purchase of a Mach-E under its Ford Promise program, and the offer includes installation.
The ever-affordable lease option is still a good deal, too; since car makers want to move EVs into driveways they’re offering their best lease deals on EVs.
Even without discounts, EV prices have come down; most are selling for the same price or less than they did when they introduced and many are competitively priced against gas-powered cars.
Best EV For Road Trips: Lucid Gravity
Incentives Are Still a Benefit
Even though our federal government eliminated EV incentives last year, that doesn’t mean they are gone. In fact, many states offer incentives, as do many power companies, private companies and others.
California, for instance, offers up to $12,000 on a new EV, an additional $1,000 for low-income buyers, up to $2,000 for trading in a gas-guzzler, a property credit of up to $1,000 for installing a home charger and power company incentives typically of a few thousand dollars. That Polestar 4 with a MSRP of $62,000? This luxury car could end up costing about $36,000 with just some of the incentives offered.
To find the incentives you might qualify for, Electric For All’s incentive finder will help find incentives and help users understand how to qualify.
Normally, a run-up in gas prices is credited with change in consumer behavior, such as buying smaller cars or foregoing a new car purchase. Add buying an EV to that list.
But the change may be more profound: most EV buyers quickly become converts to the technology and rarely go back to driving a gas-powered car. So to answer your question: Yes, this might just be the best time to shop the best deals on EVs and start saving money.
