Quick answer

The federal Used Clean Vehicle Credit, worth up to $4,000, ended for vehicles acquired after Sept. 30, 2025. A year later, used-EV sales are up, not down: after one slower quarter, they've beaten the prior year every month since, and August 2026 sales rose 14.7%. Prices rose too, with the average used-EV listing at $37,441 in August, up 8.2%, as gas prices climbed. Colorado buyers still have a bigger incentive than the old federal credit: income-qualified shoppers can get $6,000 off a used EV priced up to $50,000 through Vehicle Exchange Colorado (VXC).

Updated Sept. 29, 2026, with Cox Automotive, Recurrent, IRS and Colorado Energy Office data.

Sept. 30 marks one year since the federal used-EV tax credit disappeared. Many shoppers expected the used-EV market to stall without it. It didn't. Here's what actually happened to used-EV sales, prices and battery health, and what Colorado buyers can still claim.

Key takeaways

The $4,000 federal used-EV credit ended Sept. 30, 2025, and has not come back.

Used-EV sales dipped in late 2025, then rose year over year every month in 2026.

Average used-EV prices were up 8.2% in August 2026, helped by gas at $4.47 a gallon nationally.

Colorado's VXC rebate pays $6,000 on a used EV up to $50,000 for income-qualified buyers.

What the federal credit was, and what replaced it in Colorado

The Used Clean Vehicle Credit paid 30% of a used EV's price, up to $4,000, on vehicles priced at $25,000 or less. The One Big Beautiful Bill Act ended it for any vehicle acquired after Sept. 30, 2025. Colorado didn't follow. On Nov. 3, 2025, the state raised its Vehicle Exchange Colorado rebates to $6,000 for a used EV and $9,000 for a new one, applied at the point of sale by authorized dealers like all four Emich stores.

The old federal credit vs. Colorado's VXC rebate

Maximum incentive and price cap on a used EV

Federal credit (ended)VXC (available now)

Maximum incentive: federal used-EV credit$4,000

Maximum incentive: VXC used-EV rebate$6,000

Price cap: federal used-EV credit$25,000

Price cap: VXC used-EV rebate$50,000

The federal credit was 30% of the price, up to $4,000, with income limits. VXC requires household income below 80% of area median income (or enrollment in programs like SNAP or Medicaid) and a qualifying older or high-emitting trade-in. Sources: IRS; Colorado Energy Office.

Used-EV sales didn't collapse

Buyers rushed to beat the deadline in the summer of 2025, so the fourth quarter looked weak by comparison. But each month from October 2025 on was still higher than the same month a year earlier, and by the second quarter of 2026 used-EV sales had topped the pre-deadline rush.

U.S. used-EV sales by quarter

Thousands of vehicles

118K

Q3 2025

rush before the deadline

88K

Q4 2025

first quarter without the credit

105K

Q1 2026

120K

Q2 2026

topped the pre-deadline rush

Sums of Cox Automotive's initial monthly estimates, which Cox later revises. August 2026 sales were 44,350, up 14.7% from a year earlier, 2.8% of all used sales.

Prices went up, and gas is a big reason

Used-EV prices jumped 8.6% in October 2025, right after the deadline, eased through the winter, then climbed again as gas prices rose. U.S. regular averaged $4.465 a gallon on Sept. 28, 2026, compared with $3.118 a year earlier; Denver was at $4.033. In wholesale auctions, EVs have gained value while gas vehicles have lost it.

Average used-EV listing price

U.S., thousands of dollars

$34.7K

Aug 2025

$34.6K

Sep 2025

$37.5K

Oct 2025

$36.4K

Dec 2025

$34.7K

Mar 2026

$38.3K

Jun 2026

$37.4K

Aug 2026

Source: Cox Automotive EV Market Monitor.

Wholesale price change vs. a year earlier

Manheim index, EVs vs. everything else

EVs, August 2026+4.5%

Non-EVs, August 2026-0.9%

EVs, mid-September 2026+2.3%

Non-EVs, mid-September 2026-1.3%

Source: Cox Automotive.

Recurrent found the cheapest used EVs gained the most: EVs under $20,000 rose 9.4% from January to June 2026, compared with 5.1% for used EVs overall.

Bargains still exist, especially with VXC

Even after the run-up, Recurrent reports 44% of used EVs sold in March 2026 went for under $25,000, with examples like a 2023 Chevrolet Bolt EV around $21,200 and a 2022 Tesla Model 3 around $26,900 in June. Across our four Denver-area stores, we had 69 used EVs on Sept. 29, 2026, with a median price of about $28,800, and 66 of them were priced under VXC's $50,000 cap.

A $28,800 used EV, with and without VXC

What you payVXC rebate

Without VXC$28,800

With a $6,000 VXC rebate$22,800

Before taxes and fees, for an income-qualified buyer with a qualifying trade-in. See our Colorado EV incentives guide.

Battery worries, by the numbers

Battery health is the top question we hear about used EVs. The data is reassuring for newer models. Recurrent's tracking of more than 30,000 cars shows modest range loss over time and very few battery replacements for 2022-and-newer EVs. Winter still matters in Colorado: EVs keep about 70% of their range at 20°F on average.

EV battery replacements outside major recalls

Share of vehicles, by generation

Replacement rate

Early EVs (first generation)~8.5%

Second generation2%

2022 and newer0.3%

Across 30,000+ vehicles. Recurrent also found EVs keep about 97% of their range after 3 years and 95% after 5. Source: Recurrent.

What could change next

A federal EV fee is only a proposal. The BUILD America 250 Act would charge $130 a year for EVs and $35 for plug-in hybrids. It passed the House Transportation and Infrastructure Committee 62–2 on May 22, 2026, but it is not law.

Colorado already charges EV fees. For July 2026 through June 2027, Colorado EV registrations include a $63.05 plug-in electric vehicle fee plus a $26 road usage fee ($13 for plug-in hybrids).

VXC depends on funding. The Colorado Energy Office says rebates are subject to available funds and can change without notice, so qualified buyers shouldn't wait too long.

Should you buy a used EV now?

If you can charge at home, a used EV still makes a strong financial case in Colorado. In our estimate, charging at home at the state's average electricity rate costs about $537 a year for 12,000 miles, compared with about $1,662 for a 30-mpg gas car at $4.155 a gallon. Here's how to shop smart:

Check whether you qualify for VXC and apply before you buy.

Ask about battery health and the remaining battery warranty; most makers cover 8 years or 100,000 miles, and some longer.

Plan for winter range, about 70% at 20°F on average.

Compare certified pre-owned EVs, which add a manufacturer inspection and extra coverage.

Use a dealer that handles VXC at signing. All four Emich stores are authorized.

Shop 69 used EVs across four Emich stores

Compare range, price and VXC eligibility, and let our EV team handle the rebate paperwork.

Shop used EVs See EV incentives

Frequently asked questions

Is there still a federal tax credit for used EVs?

No. The federal Used Clean Vehicle Credit, worth up to $4,000, is not available for vehicles acquired after Sept. 30, 2025, under the One Big Beautiful Bill Act.

What used EV incentives are available in Colorado?

Vehicle Exchange Colorado (VXC) pays $6,000 toward a used EV or plug-in hybrid priced at $50,000 or less for income-qualified households that trade in an older or high-emitting gas or diesel vehicle. The Colorado EV tax credit applies only to new EVs.

Did used EV prices drop after the tax credit ended?

No. Cox Automotive's average used-EV listing price was $37,441 in August 2026, up 8.2% from a year earlier, as higher gas prices lifted demand. Wholesale EV values rose 4.5% year over year in August while non-EVs fell 0.9%.

Are used EV batteries reliable?

For newer models, yes. Recurrent found EVs keep about 97% of their range after three years and 95% after five, and battery replacements outside major recalls are about 0.3% for 2022-and-newer EVs.

Will EV owners pay a new federal fee?

Not yet. The BUILD America 250 Act proposes a $130 annual federal EV fee and $35 for plug-in hybrids. It passed committee in May 2026 but had not become law as of Sept. 29, 2026.