Why DC ranks No. 2 for EVs (and why leasing one may be better)

When compared to states, the District ranks No. 2 for sales of electrified vehicles in the second quarter, including pure EVs, hybrids and hybrid plug-ins, according to .

Its quarterly report said 20.6% of new vehicles purchased by D.C. residents in the second quarter were electric vehicles, behind only California at 23.7%. By metro, the D.C. metro ranks No. 5 for EV sales.

One reason for strong EV sales in the District may be incentives.

鈥淒.C. offers up to $1,000 for the cost of installing a charger for private residences, but also a larger tax credit for those who are installing nonresidential chargers that contribute to the infrastructure,鈥� said Brian Moody, executive editor at Kelley Blue Book. “And in some cases, you can get a reduced registration fee.”

Incentives for public charging stations in the District are up to $10,000. Registration fees for EVs are reduced for the first two years in addition

Moody has another theory as to why EV sales in the District are so strong. It does not apply to most residents, but D.C. is home to a lot of policy wonks.

鈥淭hink of Washington, D.C. as a little bit like Hollywood in some ways because how you appear matters,” he said. “So I think a lot of people are buying electric cars because you couldn鈥檛 be a person advocating for something and then not be backing it up with your own personal choices.”

Electric vehicle sales have slowed, particularly for pure EV models, and that is dragging resale value for used EVs lower. Used EV buyers benefit, with prices that are 40% to 60% less on a two- to five-year-old EV sold, according to Kelly Blue Book. It is not good for EV owners selling or trading in.

For drivers who want a new EV, Moody suggests leasing one is a better option than buying one.

鈥淚f you don鈥檛 like the way it works, and the end of your lease period comes up, just turn it back in and that鈥檚 it,鈥� he said. 鈥淪ame with the depreciation. That鈥檚 already baked in. You’re going to make that payment until the last month and the you are going to walk away. You might not like the way it charges. You may not like the way it drives. If there are issues with the charging station near your home. All of the things, you are not long-term obligated.鈥�

There are other considerations for drivers new to owning or leasing an electric vehicle. Where to charge is at the top of the list. Moody said home charging stations are best, but if charging will be done away from home at a public charging station or charger in an office garage, drivers should do a little homework first.

鈥淚 would look into the frequency with which it is operating properly,鈥� he said. 鈥淪ometimes they are broken or vandalized. And check out the location. Is the location of the electric charging station that you think you are going to go to seem like a safe place to spend a half an hour? That is something that each person has to judge for themselves.鈥�

By metro, the top markets for EV sale as a percentage of all sales in the second quarter are San Jose, San Francisco and Seattle.

By state, after California and D.C., are Washington, Colorado and Oregon. Oklahoma has the lowest EV penetration, with less than 1% of new vehicle sales in the second quarter.

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