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If they're losing value primarily because better options are becoming available rather than their own functionality decreasing, that's not necessarily a bad thi

If they're losing value primarily because better options are becoming available rather than their own functionality decreasing, that's not necessarily a bad thing.

xienze 1y ago
It is because people are incentivized to just wait for the "better options" that everyone knows are coming soon. Or, let's say you bought one and had an accident that totals the car but oops, the steep depreciation curve means you have to go out of pocket to pay off a total loss. No one wants that.
- rjdj377dhabsn 1y ago
  Always waiting for "better options" is often irrational. You should buy what's best for you today. If the value of your EV has dropped to $10k and you get paid out that much for an accident, then in theory you should be able to buy a similar condition EV on the used car market for $10k. What's the problem with that?
  - xienze 1y ago
    > Always waiting for "better options" is often irrational. You should buy what's best for you today. If you're trying to get people to switch en masse to EVs, it's not good for everyone to be in perpetual "ehh there's gonna be way better ones around the corner" mode. > If the value of your EV has dropped to $10k and you get paid out that much for an accident, then in theory you should be able to buy a similar condition EV on the used car market for $10k. What's the problem with that? The problem is when your loan balance is $20K and you're only getting a $10K payoff...
  - IAmBroom 1y ago
    Again, you're attempting to use logic to convince reality to change. People make irrational decisions. That's a fact. People "should" do things they don't. That's a fact. The question is not, "What would a logically-driven being do?", but "What are people doing?"
- joshuaissac 1y ago
  > you bought one and had an accident that totals the car but oops, the steep depreciation curve means you have to go out of pocket to pay off a total loss That can happen with a conventional car as well, which is why gap insurance exists. The regular insurance should still give you the replacement price (which would be the depreciated value).
  - xienze 1y ago
    Yes but again, the steeper depreciation curve makes it more likely to happen.
  - RhysU 1y ago
    The gap insurance will be more expensive. Resell still matters with gap insurance.

If they're losing value primarily because better options are becoming available rather than their own functionality decreasing, that's not necessarily a bad thing.

xienze 1y ago

It is because people are incentivized to just wait for the "better options" that everyone knows are coming soon. Or, let's say you bought one and had an accident that totals the car but oops, the steep depreciation curve means you have to go out of pocket to pay off a total loss. No one wants that.

rjdj377dhabsn 1y ago
Always waiting for "better options" is often irrational. You should buy what's best for you today. If the value of your EV has dropped to $10k and you get paid out that much for an accident, then in theory you should be able to buy a similar condition EV on the used car market for $10k. What's the problem with that?
- xienze 1y ago
  > Always waiting for "better options" is often irrational. You should buy what's best for you today. If you're trying to get people to switch en masse to EVs, it's not good for everyone to be in perpetual "ehh there's gonna be way better ones around the corner" mode. > If the value of your EV has dropped to $10k and you get paid out that much for an accident, then in theory you should be able to buy a similar condition EV on the used car market for $10k. What's the problem with that? The problem is when your loan balance is $20K and you're only getting a $10K payoff...
- IAmBroom 1y ago
  Again, you're attempting to use logic to convince reality to change. People make irrational decisions. That's a fact. People "should" do things they don't. That's a fact. The question is not, "What would a logically-driven being do?", but "What are people doing?"
joshuaissac 1y ago
> you bought one and had an accident that totals the car but oops, the steep depreciation curve means you have to go out of pocket to pay off a total loss That can happen with a conventional car as well, which is why gap insurance exists. The regular insurance should still give you the replacement price (which would be the depreciated value).
- xienze 1y ago
  Yes but again, the steeper depreciation curve makes it more likely to happen.
- RhysU 1y ago
  The gap insurance will be more expensive. Resell still matters with gap insurance.