Hyundai, Tesla pave the way for long-range (+300 mi) EV prices falling below average gas cars

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Buying an electric car with at least 300 miles of range is getting more affordable than ever. Several automakers, including Hyundai, Kia, and Tesla, are now offering long-range EVs (those with at least 300 miles range) that are cheaper to buy than the average gas-powered car in the US.

Electric vehicle prices have fallen significantly in the US after a series of aggressive price cuts led by Tesla over the past few years.

According to the latest Kelley Blue Book data, average transaction prices for a new EV were down 9% in the first quarter compared to Q1 2023. With lower prices, EVs hit a major milestone as several long-range models are now cheaper than the average gas car.

Hyundai, Kia, and Tesla models with at least 300 miles of range cost less than popular gas cars like the Toyota Camry or Rav4.

When leasing, the gap is even more significant, with Hyundai and Tesla EVs as much as 37% lower than similar models from Toyota and BMW.

A new Bloomberg Green analysis shows the 2024 Hyundai IONIQ 6 is the most affordable EV. Hyundai’s IONIQ 6 was the cheapest EV, with a price tag about 25% lower than the national average ($47,000) and up to 361 miles range.

Hyundai IONIQ 5 (left) and IONIQ 6 (right) at Tesla Supercharger (Source: Hyundai)

Long-range EV prices fall below gas cars

The IONIQ 6 starts at $37,500, but that’s for the standard-range (240 mi) model. The SE model, with up to 361 miles range, starts at $42,500.

Hyundai’s IONIQ 6 was found to be the only EV that met potential buyers’ median price, range, and charging targets, according to a recent report from Boston Consulting Group. Buyers are looking for fast charging in under 20 minutes, at least 350 miles range, and an affordable price (under $50K).

(Source: Boston Consulting Group)

At just $243 per month, the IONIQ 6 is significantly cheaper to lease than the Toyota Camry, which costs $346 per month.

Tesla’s Model 3 was the next closest to hitting the marks. The 2024 Tesla Model 3 starts at $38,990, while the Long Range AWD model starts at $47,740 with up to 341 miles range.

Model Type Lease Price Per Month
Hyundai IONIQ 6 EV $243
Toyota Camry Gas $346
Tesla Model 3 EV $399
BMW 3 series Gas $581
Hyundai IONIQ 5 EV $258
Toyota Rav4 Gas $340
Tesla Model Y EV $399
BMW X3 Gas $629
Most affordable long-range EV lease price deals vs gas cars (Source: Bloomberg Green)

At $399 per month, Tesla Model 3 lease prices are well below the BMW 3 series at $581 per month. Tesla’s Model Y, at $399 per month, is also cheaper than BMW’s X3, at $629 per month.

Hyundai’s upgraded 2024 Kona EV is one of the most affordable vehicles on the market, starting under $33,000. Hyundai Kona EV lease prices are even lower than the gas-powered model.

2024 Hyundai Kona electric (Source: Hyundai)

Several new long-range, affordable EVs are also hitting the market. After kicking off deliveries last month, Chevy’s Equinox EV is reaching customers.

GM claims the electric Equinox EV is the “most affordable EV” in its class with over 300 miles range. The Chevy Equinox EV (2LT) starts at $43,295, but the entry-level (1 LT) will be available to order this year starting at $34,995.

2024 Chevrolet Equinox EV 1LT (Source: Chevrolet)

With the $7,500 federal tax credit included, Equinox EV prices could fall to as low as $27,495. Several automakers like Hyundai and Kia are passing the EV tax credit on through leasing until US production begins.

Are you ready to drive off in a new electric car? Now may be the time to start shopping with some of the lowest prices yet. You can use our links below to find deals on Tesla, Hyundai, and Chevy EVs at a dealer near you today.

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