The Expert Podcast

Well, that sounds like an awful lot of money—135 million in EV tax rebates since the beginning of the year. Today's February 14th, Valentine's Day, and it's about 6 weeks since the beginning of the year. According to the Treasury Department, they've given out 135 million for EV sales. This is tax rebates, so they get the credit right on the spot for the dealer. When I first saw this, I was thinking maybe that since January 1st of last year, but if you scroll down, it says since the start of this year through February 6th. So it's not even 6 weeks—it's 5 weeks.

What does that mean? Well, it's 7,500 for new vehicles and 4,000 for used vehicles. So, if you're looking to buy a used EV, that could be the deal of the century. Dealers can't give these cars away; they can't sell them, they can't discount them—they're piling up on lots. Nobody wants these used electric vehicles at the prices that the book says they should sell for. But dealers are starting to panic because a dealer can't keep a car on their lot more than about 30 to 45 days before they start getting curtailments on their floor plan, or they start getting depreciation. So, they have to cut these cars loose.

You may find deals on used EVs. Just, you know, stand your ground—don't let them bluff you into showing you the book value. These cars aren't selling. Plus, if you can get another 4,000 knocked off from the government on the spot, you don't have to wait for a tax return. That could be a really good deal.

Now, for most people, a used electric vehicle is a good second car, not the primary vehicle. But still, if you want a cheap second car that's good on gas, well, no gas—you only use it around town—maybe a used EV is the way to go. But just make sure it matches your lifestyle. Make sure the battery checks out, it's got a good lifespan left on it, and most importantly, that there's no damage history. Any electric vehicle with a damage history is going to be highly risky to buy because that battery could have been damaged as well, and that may not be covered on insurance or warranty if something goes wrong with it later.