Some EVs are now more affordable than the average gas-powered vehicle

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DragonSlayer101

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In a nutshell: EVs have historically been priced at a premium over traditional gas vehicles, but that is changing with automakers like Hyundai, Kia, and Tesla offering new electric cars at relatively affordable prices. According to a new report, long-range EVs with at least a 300-mile range are now cheaper to buy and lease than the average gas-powered car in the US.

The 2024 Hyundai IONIQ 6 is currently among the most affordable EVs on sale in the US according to Bloomberg, with a starting price of $37,500 for the standard-range (240 mi) model. However, the long-range SE model, which can go up to 361 miles on a single charge, starts at $42,500. While these prices are still on the higher side, they are lower than the national average price for new cars, which is around $47,000.

The IONIQ 6 is also significantly cheaper to lease than other best-selling cars like the Toyota RAV4, the Toyota Camry, and the Tesla Model Y. While the Hyundai EV costs $243 per month to lease, the other three cost $340, $346, and $399, respectively. The wallet-friendly prices for EVs result from tax credits received by dealers, many of whom are passing these savings along to buyers in the form of discounted monthly lease payments.

The IONIQ 6 is not the only affordable EV on the market. The Chevy Equinox SUV offers an impressive 319 miles of range and costs around $42,000 before federal tax credits, which reduce its effective price by $7,500. The Equinox will also soon have a base model expected to cost below $28,000 after federal rebates, making it one of the cheapest EVs in the country when it launches later this year. Stellantis is also planning to launch a $25,000 electric Jeep "very soon."

EV prices have been trending downward for some time, and the introduction of new affordable models is making them easier to buy than ever. According to Kelley Blue Book, average transaction prices for new EVs were down nine percent in the first quarter of 2024 compared to the same period last year. The lower prices are largely due to aggressive price cuts by EV manufacturers over the past year, resulting in several electric cars being sold at prices lower than those of average gas cars.

Despite the falling prices, EVs remain more expensive to buy than traditional gas-powered cars.

According to data from Cox Automotive, new EV prices are typically about 15 percent higher than internal combustion engine vehicles, partly because early EVs were aimed at the luxury market. While upfront affordability remains an obstacle to the more widespread adoption of EVs, the International Energy Agency claims that electric cars will become cheap enough to achieve price parity with ICE vehicles by 2030.

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Some EVs are now more affordable than the average gas-powered vehicle

 
Cheaper as for their inital cost, but maintenance, etc. ends up being more expensive. Some things like tires won't last as long and cost even more because of the added weight of the car. They really need to figure all of this in before making such a statement .....
 
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" While these prices are still on the higher side, they are lower than the national average price for new cars, which is around $47,000."

So we're comparing the average price of all cars to the price of specific EVs? Seems a little disingenuous. It's pretty obvious WHY this was written this way. I'd even go so far as to say this is misinformation, which only works with multiple asterisks. Yes, some EVs are now cheaper then the average new car price. Which doesnt mean diddly squat, you can get TONS of gas cars for less then half the average price.

"The Chevy Equinox SUV offers an impressive 319 miles of range and costs around $42,000" doesnt sound NEARLY as impressive when you tack on that the GAS model of the equinox starts at $26,600. That $42,000 EV equinox? Yeah, that's a base model, nowhere near comparable to the "average" $47000 vehicle. Same applies to the ioniq 6, which you compare to the average vehicle price, and not its direct gas competitor, the sonata, which starts at $27,500. OOPS. So, if you are looking for an EV, you are STILL paying at least $15-20k over the gas model for the electric equivalent. The electric models are NOT more affordable then their gas counterparts. If you have to compare an equinox EV base model to a suburban to make the equinox look affordable, you're doing it wrong.

And dont forget, hyundai/kia charge you retail price for a newer battery, in canada two different owners were quoted over $60K to replace the battery. Which yes, is more then the vehicle costs. just over 100k miles in both cases BTW. Disposable, expensive car. Replacing the engine in my Jetta is a $5k job, and they go a lot longer then 100k miles.

It's good that EVs are not as expensive as they used to be, but maybe we shouldnt be using snake oil salesman language to make them seem more affordable then they really are? 🙂
 
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VitalyT said:
Any garage can look into sorting engine issues. Nobody will look into fixing battery issues, it is almost always a write-off, as they cost so much to replace, the car isn't worth the money. Most EV-s are unfixable garbage.

Factor that into the cost!
Click to expand...

Let's see

My daughter has a 2006 Toyota Matrix. That's 22 years old. Aside from plugs, belt, fluids, motor mounts and tensioner (I do all of the work). It's been flawless. CHEAP to maintain.

Wife's 2012 Honda CR-V. 12 years old. Aside from plugs, belt, tensioner, alternator, been flawless (I do all of the work). CHEAP to maintain.

Other daughter's car is too new to judge... 2015 Hyunda Elantra. Been a good car.

My car is too new to judge, 2017 CR-v.

You can't beat an ICE automobile. Just don't buy one manufactured from 2020 or later. Post COVID cars have serious quality issues.
 
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Uncle Al said:
Cheaper as for their inital cost, but maintenance, etc. ends up being more expensive. Some things like tires won't last as long and cost even more because of the added weight of the car. They really need to figure all of this in before making such a statement .....
Click to expand...

My Model 3 weighs less than the slower Audi S4 it replaced. Maintenance has been less expensive than any of my previous cars, including for tires.
 
VitalyT said:
Any garage can look into sorting engine issues. Nobody will look into fixing battery issues, it is almost always a write-off, as they cost so much to replace, the car isn't worth the money. Most EV-s are unfixable garbage.

Factor that into the cost!
Click to expand...

It is simply not true that "nobody" will look into fixing battery issues. There are numerous locations that will replace faulty cells/modules.

EVs tend to have battery/drivetrain warranties that are in the neighborhood of 8 years / 100k-150K miles. So there is no cost to the owner within this window.

Battery issues tend to be hyper-rare on EVs made in the past 5 years or so.

Even failed battery packs or those nearing end of life (after maybe 300k-400k miles) fetch quite a bit of money. No Ebay auction for any battery in any condition goes unsold. Used packs with low miles from wrecked cars tend to be a few thousand $, so they can be had affordably, but are *very* rarely needed.

The "unfixable garbage" comments typically come from people who want them to be just that for whatever odd reason. Not from people who understand what actually happens or bothers to look into it.
 
WhoCaresAnymore said:
Let's see

My daughter has a 2006 Toyota Matrix. That's 22 years old. Aside from plugs, belt, fluids, motor mounts and tensioner (I do all of the work). It's been flawless. CHEAP to maintain.

Wife's 2012 Honda CR-V. 12 years old. Aside from plugs, belt, tensioner, alternator, been flawless (I do all of the work). CHEAP to maintain.

Other daughter's car is too new to judge... 2015 Hyunda Elantra. Been a good car.

My car is too new to judge, 2017 CR-v.

You can't beat an ICE automobile. Just don't buy one manufactured from 2020 or later. Post COVID cars have serious quality issues.
Click to expand...


Funny how the pro EV crowd strongly tends to compare EVs to ICE cars that are known to be impractical, unreliable, and expensive to repair (German). It’s never a 30K EV vs a Prius or a Camry Hybrid or an Accord Hybrid.
 
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If you want an EV, then get one. If you want an ICE, then get one. It should not be FORCED onto consumers.
Equal out the playing field and let the market make the decision.
For me, too old school. I stick with an ICE. Not only that, one with a manual transmission.
 
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opckieran said:
Funny how the pro EV crowd strongly tends to compare EVs to ICE cars that are known to be impractical, unreliable, and expensive to repair (German). It’s never a 30K EV vs a Prius or a Camry Hybrid or an Accord Hybrid.
Click to expand...

That's partly because those cars are a lot less comparable in terms of performance. ICE vehicles with similar off-the-line acceleration tend not to be as reliable/practical.
 
p51d007 said:
If you want an EV, then get one. If you want an ICE, then get one. It should not be FORCED onto consumers.
Equal out the playing field and let the market make the decision.
For me, too old school. I stick with an ICE. Not only that, one with a manual transmission.
Click to expand...

Let's stop subsidizing oil and EVs and then see what happens. This coming from a guy who has 4 ICE vehicles, all with manual transmissions.
 
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toooooot said:
I would be ashamed to call a car something with only 240 miles range (presumably).
I would be twice ashamed if that something also cost 37k+
Not cars, not affordable.
Click to expand...

If you own a home, an EV oftentimes leaves the house with quite a bit more range than an ICE vehicle does. I own 4 ICE vehicles and 1 EV. My EV visits a refueling station almost never. I spend a lot more time per year actively refueling my gas cars.
 
sreams said:
If you own a home, an EV oftentimes leaves the house with quite a bit more range than an ICE vehicle does. I own 4 ICE vehicles and 1 EV. My EV visits a refueling station almost never. I spend a lot more time per year actively refueling my gas cars.
Click to expand...
No… your EV visits a refuelling station every night…. Is the electricity your home is charging it with free? If so, sign me up for your electric bill please!

sreams said:
It is simply not true that "nobody" will look into fixing battery issues. There are numerous locations that will replace faulty cells/modules.

EVs tend to have battery/drivetrain warranties that are in the neighborhood of 8 years / 100k-150K miles. So there is no cost to the owner within this window.

Battery issues tend to be hyper-rare on EVs made in the past 5 years or so.
Click to expand...
Well duh…. The warranties are for 8 years! Since the cars are at most, 5 years old, this doesn’t apply!
How about the EVs that are 10+ years old? THOSE have battery issues - whereas ICE cars can last 20+ years and a new engine is cheaper than a new battery.
WhoCaresAnymore said:
Let's see

My daughter has a 2006 Toyota Matrix. That's 22 years old. Aside from plugs, belt, fluids, motor mounts and tensioner (I do all of the work). It's been flawless. CHEAP to maintain.
Click to expand...
Think you might want to check your math…. 2024-2006 = 18 years….
 
Squid Surprise said:
No… your EV visits a refuelling station every night…. Is the electricity your home is charging it with free? If so, sign me up for your electric bill please!
Click to expand...
That's why I specifically mentioned *actively* refueling. My gas cars take *far* more of *my* time to do this over the course of a year. There is never any need to take extra time to "visit" a station if that station is my home. I'm already here. 5 minutes once a week for 52 weeks is significantly more time than 10 seconds per day.
Squid Surprise said:
How about the EVs that are 10+ years old? THOSE have battery issues - whereas ICE cars can last 20+ years and a new engine is cheaper than a new battery.
Click to expand...
I think you are conflating two different things. This latest surge of EVs is relatively new, and EVs from 10 years ago have battery packs that have been proven to not be as reliable as what has been made over the last 5 years or so. You have far, far more EVs being built than you did 10 years ago, but far, far fewer early pack failures. To the point that they are comparatively unheard of now, percentage-wise.

Batteries that have lost capacity after a few hundred thousand miles are still very valuable for stationary storage and eventual recycling of the raw materials. They sell for quite a bit. Used packs with very few miles on them from, say, a wrecked Model 3, can be had for about $5K. It costs nowhere near what you might imply.
 
Uncle Al said:
Cheaper as for their inital cost, but maintenance, etc. ends up being more expensive. Some things like tires won't last as long and cost even more because of the added weight of the car. They really need to figure all of this in before making such a statement .....
Click to expand...

According to these numbers, electric cars are cheaper for maintenance and running costs.

According the Michelin, if the EV platform is designed with EV first, and not on a retrofitted platform, tyre wear is similar to an ICE
www.michelin.com.au

Do you need specific EV tyres for your electric car? | Michelin

If you're looking for EV tyres, it's probably because you've realised that your electric car operates in a way that requires suitable tyres. Let us help you make the right choice.
www.michelin.com.au www.michelin.com.au

They also produces few carbon emissions than an ICE car over their life cycle.
www.abc.net.au

Are electric cars really greener than petrol cars? We've lined up two SUVs and put them to the test

Whether you drive an electric car or are considering making the switch, you've probably been drawn into a discussion about whether they are really better for the climate. To save you from your next barbecue encounter, we have put two cars to the test.
www.abc.net.au www.abc.net.au
 
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sreams said:
That's why I specifically mentioned *actively* refueling. My gas cars take *far* more of *my* time to do this over the course of a year. There is never any need to take extra time to "visit" a station if that station is my home. I'm already here. 5 minutes once a week for 52 weeks is significantly more time than 10 seconds per day.
Click to expand...
Fair enough - but it seemed like you were implying that "refuelling" an EV was free if you do it at home.
sreams said:
I think you are conflating two different things. This latest surge of EVs is relatively new, and EVs from 10 years ago have battery packs that have been proven to not be as reliable as what has been made over the last 5 years or so. You have far, far more EVs being built than you did 10 years ago, but far, far fewer early pack failures. To the point that they are comparatively unheard of now, percentage-wise.
Click to expand...
My point is that no one can prove how long the batteries on new EVs will last - as they are only 5 years old or newer! We have far more data on ICE cars, as we've been driving them for 100 years.

When EVs have a range as long (or longer) than ICE vehicles - all year round, not just in ideal conditions within the first couple of years - and charging at a station takes the same time as refilling a gas tank on an ICE car, for the same price (or cheaper), AND there are just as many (or more) charging stations as gas stations... I'm all in

I believe that they WILL get there one day - they just aren't there yet. I'm patient :)
 
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sreams said:
Let's stop subsidizing oil and EVs and then see what happens. This coming from a guy who has 4 ICE vehicles, all with manual transmissions.
Click to expand...
I've been driving since the 70's. I've had nothing but stick transmissions since 82. I even talked my employer, who gives us company vehicles to drive, to get me an manual transmission.
 
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Squid Surprise said:
Fair enough - but it seemed like you were implying that "refuelling" an EV was free if you do it at home.
Click to expand...
Definitely not free... but very affordable. It costs me about $10 to fill to 100% from 0% at home (about $0.10/kWh).
Squid Surprise said:
My point is that no one can prove how long the batteries on new EVs will last - as they are only 5 years old or newer! We have far more data on ICE cars, as we've been driving them for 100 years.
Click to expand...
Most battery wear is measured in cycles, not time. There have been a number of 5 year old EVs that have been used extensively with a few hundred thousand miles on the original battery with about 10% capacity loss. Sure, not a ton of data yet, but the much improved early failure rate suggests to me that things may actually go well for these cars.
Squid Surprise said:
When EVs have a range as long (or longer) than ICE vehicles - all year round, not just in ideal conditions within the first couple of years - and charging at a station takes the same time as refilling a gas tank on an ICE car, for the same price (or cheaper), AND there are just as many (or more) charging stations as gas stations... I'm all in

I believe that they WILL get there one day - they just aren't there yet. I'm patient :)
Click to expand...
Nothing wrong with that. Each person has their own threshold. Personally, I'm totally fine with the existing experience for long journeys. I've taken mine from Sacramento to LA and back numerous times, and from Sacramento to the southern tip of Texas and back once, and was completely fine with how it all worked. No issues whatsoever and no charging stop ever felt like it was eating into driving time. I am glad I took the EV and not my Mini (which I absolutely love).
 
Affordable? Perhaps in terms of individual purchase. Certainly not in terms of the environment, every single EV creates more CO2 than any ICE vehicle. EVs should be banned until we have electricity supplies that are 100% renewable.
 
Badvok said:
Affordable? Perhaps in terms of individual purchase. Certainly not in terms of the environment, every single EV creates more CO2 than any ICE vehicle. EVs should be banned until we have electricity supplies that are 100% renewable.
Click to expand...
One can conclude just about anything they would like to by selectively searching the internet for data that seems to support their position.

The very first Google result disagrees with your conclusion:

www.cotes.com

Life-cycle GHG emissions of an EV compared to an ICEV

Arguments for EVs far outweigh any arguments against, yet some continue to argue EVs have higher GHG emissions than ICE vehicles, Cotes investigates.
www.cotes.com www.cotes.com

Stating that "every single EV creates more CO2 than any ICE vehicle" hardly makes it true.
 
Squid Surprise said:
No… your EV visits a refuelling station every night…. Is the electricity your home is charging it with free? If so, sign me up for your electric bill please!
Click to expand...

Lots of people do who have solar on their roofs. I havent paid a penny to the electric company since I turned mine on.

Time to start moving to the modern way of doing things. Its very viable for a lot of folks. And a majority of folks dont need to travel 300+ mile range to go grocery shopping and daily activities.
 
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