Select Page

The number of electric vehicles on US roads has surged 250% over 5 years with Teslas leading the charge — but are EVs a money saver or a money pit? – Yahoo Finance

by Nov 5, 2022Blog0 comments

Chris Blay had a decision to make in September 2021.
The senior network architect was a longtime Audi driver, but with his latest lease coming up, Blay became interested in the Teslas filling the roads.
“Tesla released the Model 3, and it was meant to appeal to the premium mid-range market,” Blay says. “Since we had another gas car for longer distance trips, I decided we could get an electric vehicle and Tesla was my preferred car.”
Switching over to electric vehicles (EVs) is something more Americans are also considering these days. New registrations of of electric vehicles jumped 60% in the first quarter of 2022 and Teslas made up over half of new EV registrations.
Too many Americans are still missing out on cheaper car insurance
Invest your spare change and turn your pennies into a productive portfolio
You could be the landlord of Walmart, Whole Foods and Kroger
There are currently a total of about 1.7 million EVs on the road in the U.S compared to around 400,000 in Q2 of 2018., and that number is expected to keep growing.
With gas prices climbing higher, it’s clear why some consider an electric vehicle the more economical option. But is it really? Let’s take a look before you ditch the tank and plug in at home.
The costs that drivers are likely to think of first are those of the EV itself, along with charging costs. EVs are known to be pricier than their internal combustion engine counterparts. In some cases, it can be a difference of tens of thousands, says Wilkie Kam, portfolio manager and senior investment advisor for BMO Private Wealth.
“My business partner bought a Tesla Model Y, which is I’d say an equivalent of a gas car to possibly a Mercedes SUV,” Kam says.
For comparison, a Tesla Model Y has a base price of $65,990 and a 2022 Mercedes-Benz GLA250 comes in at a much lower base price of $36,400.
Yet it’s pretty clear that the cost of gas versus electricity to power your car is a lot less. This is true even if you’re using supercharger stations, where a premium is paid to charge your car in less than an hour. This is what Blay found after owning both an electric and gas vehicle over the last year.
“If you’re going to go to superchargers, it’s not as cheap. It’s definitely cheaper at home,” says Blay, speaking from Ontario, Canada.
“The goal isn’t to fill up, it’s to just get to the next destination or home to charge your car and get home.”
At home is where the cost savings really come in. Blay usually charges his car overnight when it’s cheaper, spending $22 (CAD) over the last 30 days on charging his vehicle. The equivalent in gas would have been $178, he says, a savings of $155.
It’s not all good news though. Both Blay and Kam warned that there are some hidden costs to consider before buying an EV. And this could come into play as soon as you drive your car home.
“The car doesn’t come with a charging cable or a charger, and that will cost quite a bit for a model basic charging cable.” says Kam. The price for a wall connector, outlet and 120V adapter is about US$645, according to the Tesla website.
The cost to install a charger ranges from $750 – $1,500.
Read more: How much money do I need to make to be in the top 1%, 5%, and 10% in the US? It might be less than you think
There’s also insurance and maintenance to consider, with insurance companies still wary about EVs. In British Columbia, where Kam lives, there is about a $600 annual difference in deductible between a Tesla Model Y and a comparable Mercedes SUV, according to Kam.
In the U.S., The average insurance rate of a 2022 Tesla Model Y and a 2022 Mercedes-Benz GLA250 is US$3,057 and US$1,838 respectively. However, rates can decrease or increase based on factors such as age, ZIP code and driving history.
Aside from insurance, the EV battery can also result in additional expenses.
“If there’s a problem with the battery, it can be really costly and you may have to wait a long time to fix it, and that’s a higher insurance cost and higher deductible,” Kam says.
Yet Kam also added that maintenance in electric cars on the whole is far lower, because there are fewer parts. This is what Blay found as well with his own vehicle, only having to refill washer fluid and change his tires.
Consumers should certainly consider EVs as the world shifts away from gas models. And right now looks like a great time. While depreciation is likely to be faster for these cars, Kam says right now we’re not seeing that thanks to supply-chain disruptions.
“For a car that is expected to have a higher depreciation, leasing costs will go up so I don’t think car dealers will have a free lunch for everyone if they’re expecting the car will depreciate more in value,” Kam says.
As for Blay, he couldn’t be happier with his choice, and says he’s likely to trade in his other gas vehicle for an electric model when the time comes.
“I’ve had nothing but positives in my experience,” Blay says. “It’s a fun car to drive. It’s a fun experience.”
‘This truck can’t do normal truck things’: YouTube star says towing with Ford’s new electric pickup is a ‘total disaster’ in viral video — but Wall Street still likes these 3 EV stocks
‘I just can’t wait to get out’: Nearly three-quarters of pandemic homebuyers have regrets — here’s what you need to know before you put in that offer
‘Remarkable reversal’: President Biden just (quietly) scaled back student loan forgiveness — and the change could impact up to 1.5M borrowers. Are you one of them?
This article provides information only and should not be construed as advice. It is provided without warranty of any kind.
Tesla stock vs. BYD stock: BYD sales soared to yet another high following skyrocketing earnings. Both BYD and Tesla stock are struggling.
We will take a look at the 15 biggest electric car companies in the world. To skip our analysis of the recent market trends, you can go directly to see the 5 Biggest Electric Car Companies in the World. Adaptation and demand for electric vehicles has picked up in recent years with deteriorating climate conditions […]
These once affordable used cars are now unaffordable for the average consumer
Tomorrow night, the hands of fate will make a decision. They’ll browse through a series of numbers, pluck six from the vine, and use that string to turn one person into a billionaire. That’s right, lottery fever is back, and this time the Powerball jackpot is a cool $1.5 billion — a full year and a half of interest payments on Elon Musk’s Twitter loans!
The above-ground Hyperloop testing tube in Hawthorne had sat idle for several years, drawing complaints about road and pedestrian access, as well as questions of its purpose.
Elon Musk's futuristic Hyperloop prototype tunnel in Hawthorne, California, has reportedly been dismantled in favor of building more SpaceX office parking spaces.
Even if all vehicles somehow did switch to electricity, there's another problem: Electricity isn't very green.
Ford has big EV plans, and it wants dealers to be in on those plans. But those plans require a big investment by dealers. While it looked like a lot of dealers were on board, dealer association groups have other ideas. Automotive News reports that dealer associations in 13 states are coming out against Ford’s EV investment requirements for its dealers, saying that Ford is “unfairly burdening its retail network with costly requirements for electric vehicle sales and breaking some franchise laws.”
Winter is coming. Denver, Colorado recorded its first snowfall of the season yesterday, and frosty hell broke loose on the city’s major thoroughfares. The sudden arrival of icy and wet roads means only one thing. Drivers headed out on their morning commutes, likely unaware and unprepared for the conditions. The crashes were almost inevitable. The most significant incident was a 100-vehicle pileup on West 6th Avenue.
People have been inspired to remake or morph their favorite cars into something new, for better or worse, here are some highlights.
The Impreza is a compact car available in sedan or hatchback form. Its standard all-wheel drive is what puts it ahead of its rivals.
FCA US, a subsidiary of Stellantis , and federal regulators issued a "Do Not Drive" warning for about 276,000 vehicles following the deaths of two people in crashes where the Takata driver's-side air bags exploded. The defective airbags are suspected in the death of a third person. The National Highway Traffic and Safety Administration said the recall covers roughly 276,000 model year 2005 to 2010 Dodge Magnums, Chargers, and Challengers, as well as 2005 to 2010 Chrysler 300s.
A showdown between two rail unions and rail companies could spell big trouble.
(Bloomberg) — Nissan Motor Co. is willing to walk away from a deal with Renault SA to re-balance their alliance amid concerns the French carmaker wants to license hundreds of jointly developed patented technologies to other players, including new Chinese partner Geely, people familiar with the negotiations said.Most Read from BloombergLawyer Suing Twitter Over Layoffs Says Musk Trying to ComplyMusk Plans to Eliminate Half of Twitter Jobs to Cut CostsMusk Eliminates ‘Days of Rest’ From Twitter E
What you need to know about choosing an e-bikeBy Benjamin PrestonSales of pedal-powered bicycles and electric bikes were on the rise even before the coronavirus pandemic left many consumers spend…
The CEO of Boeing-backed Wisk Aero on what it will take to build the market, and what is the loudest part of the trip
Manual transmissions have been on a slow death march for years, with a “will they, won’t they” vibe more intense than an on and off again relationship. Today, about 30 models still offer buyers the ability to row their own gears. While that might sound like a lot, it really isn’t. The fact is that no one wants to drive manuals anymore, and they also don’t know how to operate them. Handy enough to at least stop vehicle thefts. So, Mini has taken it upon itself to try to keep the manual alive. Min
Find out which cars are being sold most in the UK.
Checking out the infotainment on the 2023 Volvo V60 Cross Country.
WASHINGTON (Reuters) -The Federal Aviation Administration (FAA) said on Friday it would partially approve a request by JetBlue Airways to waive minimum flight requirements at New York-area airports John F. Kennedy International and Newark Liberty International. The decision allows JetBlue to hold on to valuable flight rights at some of the most congested U.S. airports. JetBlue sought the waiver in July, saying its "workforce and flight operations are under extraordinary strain, leaving little margin for operational challenges caused by airport construction, (air traffic control) delays and weather," the FAA said.