What is Hybrid Depreciation?
Hybrid depreciation refers to the gradual decrease in value that hybrid vehicles experience over time. Unlike traditional vehicles, hybrids, especially those powered by both gasoline and electricity, have unique depreciation trends. This article explores what hybrid depreciation looks like, particularly in comparison to plug-in hybrid electric vehicles (PHEVs).
The Financial Benefits of Non-Plug-In Hybrids
If you don’t have access to charging stations, opting for a non-plug-in hybrid may be the more reasonable choice. These models typically cost less when new, averaging around $44,240 compared to $69,124 for PHEVs. They are also more widely available, with budget-friendly options like the Toyota RAV4 Hybrid and Honda Accord Hybrid offering practical choices.
Savings Potential in the Used Market
Transitioning from a new 2025 hybrid to a used one can yield average savings of $6,118. Similarly, used 2024 hybrids remain slightly more expensive, yet still provide an average saving of $2,839 over their new counterparts. In general, hybrids tend to retain their value more effectively than PHEVs, with the exception of model years 2013 and 2017.
Used hybrids offer substantial savings compared to new models. For instance, a three-year-old hybrid averages about 71% of its new counterpart’s value. By the time you consider 10-year-old hybrids, you might be paying just 32% of the price of a new hybrid.
Among the examples of hybrids holding their value well is the Ford Maverick hybrid, which has maintained 77% of its value over three years, outperforming the average hybrid. This exemplifies the trend of modern hybrids, despite their age, continuing to be a sound financial investment.
