HIGH RESIDUAL VALUE: LEVC TX taxi proving great investment for cabbies who invested early in EV
Updated: May 22, 2023
The second-hand LEVC TX taxi market is continuing to provide vehicle owners with a good return for their investment as residual values peak.
According to industry experts, most of of the second-hand taxis are turned around by LEVC TX main dealers, refinanced, warrantied and back out the door very quickly.
Even more impressive are the resale values of these second-hand taxis. After four years of ownership, the LEVC TX is currently achieving high residuals of between 65 and 75 percent.
The first purpose built electric taxis manufactured by LEVC rolled off the conveyer belt in January 2018. Most of the TX taxis driven out of Coventry’s LEVC Ansty plant made their way to London.
Five-years on and as PCP leasing deals expire, a growing number of vehicles are now making up a new second hand taxi market.
For drivers and fleet owners who took the plunge early, the unit price of a LEVC TX was £55,000. Five years on and dealers are selling 2018 models for upwards of £40,000. That represents a depreciation in value of just £15,000 over four-five years.
Yes of course dealers will pay less for a vehicle on part-exchange or at trade price, but the taxis are way above the balloon payment values for those that were bought in 2018. Many balloon payments sit at around the £17,000 based on a low initial deposit.
A trade commentator appearing in LTDA’s TAXI Newspaper said: “Talking of second-hand TXEs, the market has improved and there are a few more appearing, after March saw another 225 new TXEs join the ranks, adding to the fleet, which is continuing to recover at 15,128 cabs.
“Most of these second-hand cabs are simply turned around by LEVC main dealers, refinanced, warrantied and back out the door very quickly. There are some appearing as private sales and all of them are still achieving great money, with residuals of between 65 and 75 percent, after four years ownership. Those figures are almost unheard of in the second-hand car market and totally unheard of with a commercial vehicle.
“I frequently get asked, and ask myself, if this trend of TXEs retaining so much of their value can continue? The only answer I ever come with, is, probably, yes. Unless there are some major changes in the market or new pandemics, I think the age of cheap second-hand cabs is over.”
