Used EVs may ease affordability pressures for American car buyers

Rising new-car prices and fuel costs have pushed many buyers toward the larger used-car market, and industry data show a growing wave of recent electric vehicles expected to return from leases in 2026–2027 that could add supply to the used EV market.

Americans are facing higher costs to buy and own vehicles as new-car prices, interest rates, and fuel costs have increased. The used-car market remains much larger than the new-car market and has provided many buyers with lower-cost options. Many recent electric vehicles that were leased under past federal incentives are entering the end-of-lease cycle. That change in lease returns has drawn attention because it could affect used EV availability. Key points: - Data site Recurrent projects up to 500,000 EVs may come off lease in 2026, with nearly double that possible in 2027. - Edmunds expects the battery-electric share of lease returns to rise from about 2% in 2025 to about 8% in 2026, and many lessees are returning EVs rather than buying them because lease buyouts are often not economically favorable. - Cargurus reports used EV prices have declined roughly 35% since 2022 to an average near $34,600, and Cox Automotive recorded about 30,879 used EV sales in the U.S. in February, up about 28.8% year over year. - The article mentions that Tesla-led models were the fastest-selling used EVs in recent data and that some models are selling faster than the wider used-car market. Summary: A rising flow of recent EV lease returns is expected in 2026–2027 and is already associated with lower average used EV prices and increased resale activity. Industry data cited in the article show growing used EV sales and faster turnover for some models, and the next notable period for increased used EV supply is 2026.