Rivian being committed to using proven part could mean depreciation better than Tesla.
How will the value of Rivians hold over time?
I know I'm getting a bit ahead of myself since the R1S and the R1T aren't for sale yet, but I saw this report from iSeeCars.com and it got me thinking about how Rivian's value will hold compared to the competition.
According to their research, on average new electric vehicles loses 56.6 percent of its original value in three years. While the average for all vehicles 38.2 percent in that same span.
Some of the EVs with the most depreciation in three years include the Fiat 500e (69.7%), BMW i3 (63.3%), Nissan Leaf (59.6%), Volkswagen e-Golf (58.1%), and the Ford Fusion Energi (57.7%).
The only exception seems to be Tesla, where the Model S only depreciates 17.1 percent after three years.
My guess is that the Rivians will buck the trend and hold their value like Tesla, but with the EV landscape always changing, who knows maybe you'll get a great deal on Rivians down the road. For anyone interested in buying a R1T and R1S, is this going to be a big factor for you?
According to their research, on average new electric vehicles loses 56.6 percent of its original value in three years. While the average for all vehicles 38.2 percent in that same span.
Some of the EVs with the most depreciation in three years include the Fiat 500e (69.7%), BMW i3 (63.3%), Nissan Leaf (59.6%), Volkswagen e-Golf (58.1%), and the Ford Fusion Energi (57.7%).
The only exception seems to be Tesla, where the Model S only depreciates 17.1 percent after three years.
My guess is that the Rivians will buck the trend and hold their value like Tesla, but with the EV landscape always changing, who knows maybe you'll get a great deal on Rivians down the road. For anyone interested in buying a R1T and R1S, is this going to be a big factor for you?
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No. I won't be buying it as an investment. I keep my cars 10 to 20 years. 3 year depreciation is not a factor (unless I want to pick up a 2nd one cheap).For anyone interested in buying a R1T and R1S, is this going to be a big factor for you?
I think a few people here are in the same boat as you. It would be incredible if the R1T and R1S can last 20 years.No. I won't be buying it as an investment. I keep my cars 10 to 20 years. 3 year depreciation is not a factor (unless I want to pick up a 2nd one cheap).
I do expect to replace the batteries at some point, hopefully with next gen, whatever that might be. At this point I don't know if I will last twenty years, so the point may be moot. 
That's fair, 20 years is a long way away for all of us haha. I imagine that you're planning on getting the 180 kWh battery then?I do expect to replace the batteries at some point, hopefully with next gen, whatever that might be. At this point I don't know if I will last twenty years, so the point may be moot.
No, I prefer the higher performance of the 135 kWh pack. Neither of my 2 prior EVs had over 110 mile range, so I'll be spoiled even with 300 miles.I imagine that you're planning on getting the 180 kWh battery then?
Ideally Rivian should have these built so the first 3-4, even 5 years require next to nothing. Beyond that, people buying them used or holding onto a new one they bought should have no problem with bigger maintenance jobs.I do expect to replace the batteries at some point, hopefully with next gen, whatever that might be. At this point I don't know if I will last twenty years, so the point may be moot.
I'm in the former
I like your style with wanting more power! hahahaNo, I prefer the higher performance of the 135 kWh pack. Neither of my 2 prior EVs had over 110 mile range, so I'll be spoiled even with 300 miles.
II know I'm getting a bit ahead of myself since the R1S and the R1T aren't for sale yet, but I saw this report from iSeeCars.com and it got me thinking about how Rivian's value will hold compared to the competition.
According to their research, on average new electric vehicles loses 56.6 percent of its original value in three years. While the average for all vehicles 38.2 percent in that same span.
Some of the EVs with the most depreciation in three years include the Fiat 500e (69.7%), BMW i3 (63.3%), Nissan Leaf (59.6%), Volkswagen e-Golf (58.1%), and the Ford Fusion Energi (57.7%).
The only exception seems to be Tesla, where the Model S only depreciates 17.1 percent after three years.
My guess is that the Rivians will buck the trend and hold their value like Tesla, but with the EV landscape always changing, who knows maybe you'll get a great deal on Rivians down the road. For anyone interested in buying a R1T and R1S, is this going to be a big factor for you?
This is very data. I would think that RIVIAN would make a good lease option. Maybe COX will consider a Lease agreement program for RIVIAN. But I'm sure that purchase financing will bring very attractive rates!I know I'm getting a bit ahead of myself since the R1S and the R1T aren't for sale yet, but I saw this report from iSeeCars.com and it got me thinking about how Rivian's value will hold compared to the competition.
According to their research, on average new electric vehicles loses 56.6 percent of its original value in three years. While the average for all vehicles 38.2 percent in that same span.
Some of the EVs with the most depreciation in three years include the Fiat 500e (69.7%), BMW i3 (63.3%), Nissan Leaf (59.6%), Volkswagen e-Golf (58.1%), and the Ford Fusion Energi (57.7%).
The only exception seems to be Tesla, where the Model S only depreciates 17.1 percent after three years.
My guess is that the Rivians will buck the trend and hold their value like Tesla, but with the EV landscape always changing, who knows maybe you'll get a great deal on Rivians down the road. For anyone interested in buying a R1T and R1S, is this going to be a big factor for you?
I think we’ll see the depreciation of EV’s increase as they gain more market share. The reason the Tesla S has low depreciation is because there really isn’t any competition for it. How quickly the Hummer, F150 EV and other come to market and how well they do will directly impact Rivian depreciation IMO. The other thing keeping depreciation low is over the air updates. No longer is your vehicle necessarily at its best the day you drive it off the lot. OTA updates allows your vehicle to actually get new and improved features as it ages. That can be true for both ICE and EV, but EV’s seem to have put more emphasis on it than ICE.
Depreciation has little to do with market share or competition. Tesla has low depreciation because they’ve had supply constraints for most of their production run and very little actually changes with the vehicles — so a 3 year old Tesla is almost the same as a brand new one.
Traditional auto manufactures have more to differentiate vehicles of different model years. This encourages people to upgrade, but also increases depreciation.
I’d love for Rivian reslae value to remain high. But it’s far too soon to tell. It may even be volatile for a few years before it settles down.
Traditional auto manufactures have more to differentiate vehicles of different model years. This encourages people to upgrade, but also increases depreciation.
I’d love for Rivian reslae value to remain high. But it’s far too soon to tell. It may even be volatile for a few years before it settles down.
Depreciation has crossed my mind. I also tend to hold cars longer than 3 years - but not as long as 20. I look at what my current vehicles are worth now compared to what I paid for them - one new, the other used - and realize that no matter what, a car is NOT an investment. It's a tool to be used. However, I would like to be able to get a reasonable amount back when the day comes that I will sell my (future) Rivian. I would hope that with active OTA updates the Rivian would hold value similar to a Tesla. I would agree with another comment that part of Tesla's ability to hold value is in the scarcity and the lack of regular model updates. I also think that having less to wear out over time and OTA updates keeping older vehicles current with the best and newest features of the brand also help.My guess is that the Rivians will buck the trend and hold their value like Tesla, but with the EV landscape always changing, who knows maybe you'll get a great deal on Rivians down the road. For anyone interested in buying a R1T and R1S, is this going to be a big factor for you?
All that being said, I fully expect to see some volatility in resale values and depreciation over time.
You are so correct! As my accountant wisely says; "If your ass sat on it, it's not an asset!" And as I mentioned previously, if lease options become available, the greater residual value will effect the cost to lease!
OTAs will be huge for holding value for Rivian, and other new EVs. Especially if it can help with improving range at all.Depreciation has crossed my mind. I also tend to hold cars longer than 3 years - but not as long as 20. I look at what my current vehicles are worth now compared to what I paid for them - one new, the other used - and realize that no matter what, a car is NOT an investment. It's a tool to be used. However, I would like to be able to get a reasonable amount back when the day comes that I will sell my (future) Rivian. I would hope that with active OTA updates the Rivian would hold value similar to a Tesla. I would agree with another comment that part of Tesla's ability to hold value is in the scarcity and the lack of regular model updates. I also think that having less to wear out over time and OTA updates keeping older vehicles current with the best and newest features of the brand also help.
All that being said, I fully expect to see some volatility in resale values and depreciation over time.
The only real asset from this brand will be its stock if/when an IPO happens.
But that won't happen any time soon.
But that won't happen any time soon.
With the amount of private funding they keep getting I don't see it happening any time soon either.The only real asset from this brand will be its stock if/when an IPO happens.
But that won't happen any time soon.
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