Will R2 launch lower R1S resale value / market?

[B_Wagon136]

It seems R1S models are holding their resale value incredibly well. Hard for me to find one below $70-75k.

We have an R2 reservation we are very excited about - but I’m starting to wonder if there will be too much redundancy in terms of size and capability between the R2 and 4 door Bronco we already own. After a recent test drive it seems the R1S would give us an option that seats larger groups VERY comfortably for future family road trips. Our Bronco feels surprisingly tight when there are 4 people + cargo and the R2 is roughly the same size.

The issue is we don’t really have the budget to get to $65k+ for a used R1S, let alone the $75+ most are priced at currently.

For the scholars among us… Any chance the lower price point of the R2 ends up impacting the market for used R1S?

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[ironpig]

You won't be able to get an R2 for another 1.5-2 years. So by then there will be plenty of used R2s in the 50k range if you want one. Depreciation on EVs is extreme.

 

[Donald Stanfield]

I can't believe there aren't any 2022s with 50-60K miles on for 60's already. Unless the S is holding value much better than the T did.

I just realized there might not be any 2022s for the S because they were only making Ts then. That would be the price differential. Just wait a year, and the price will be within range. They depreciate pretty quick.

 

[R1TS]

Where do you live?

Out here on the West, any 2022 or even some 2023 with up to 30k miles are usually all under $70K.

 

[Southern R1S]

I suspect the R2 launch will have little to no impact on the R1S used (or new, for that matter) market.

R1S and R2 seem to be very different vehicles (and significantly different in size) so I would imagine most R1S owners who plan to buy an R2 (myself included) will likely be supplementing their existing R1 rather than replacing it.

That's not to say a few people won't be trading out as I'm sure that will happen regardless, but overall don't think there will be a rush of R1 owners looking to switch out of the R1 and into the R2 (and going from a full-size, 7-seater SUV to a mid-sized, 5 seater SUV).

 

[Ecupip]

I don't see the release of the R2 impacting the resale value of the R1. The most significant drop in value for R1 is after the warranty period ends LOL.

 

[UnsungZero_OldTimeAdMan]

Why would there be any correlation? two different segments, sizes and new vehicle price levels. R1 will depreciate independently simply due to age.

 

[barrelproof]

Lots of factors that could impact used R1 prices in the future:
Improved battery tech/range - is there a big breakthrough in tech that results in more range for cheaper?
Charging infrastructure - Does charging infrastructure get better or stagnate
Post warranty repair costs - Do post warranty repairs remain high or will there be cheaper parts + third party repair options?
Insurance costs - Do R1 insurance rates continue to grow across the board?
Federal and state rebates for EV - No idea where this is going but on a long enough timeline these go away
R2 release - Do people like the higher quality appointments in an R1 or can they live with the stripped down interiors, audio, etc in an R2? Does the R2 have better range due to better battery tech (doubtful but maybe). We know they're trying to hit a price point and have a margin.
R1 long term quality - Biggest driver for use values IMO, especially for offroaders. Is the R1S a Land Cruiser or a Land Rover in 10 years? Do the batteries end up lasting longer than expected, does the air suspension holds up, etc

 

[B_Wagon136]

Why would there be any correlation? two different segments, sizes and new vehicle price levels. R1 will depreciate independently simply due to age.

It's less about R1S owners trading in for R2's and more about sellers of R1S having to contend with the fact that buyers would then have a cheaper Rivian SUV alternative to buy instead.

 

[UnsungZero_OldTimeAdMan]

It's less about R1S owners trading in for R2's and more about sellers of R1S having to contend with the fact that buyers would then have a cheaper Rivian SUV alternative to buy instead.

If anything, for the same money, some shoppers mind find the larger, more premium, used R1s enticing. But I doubt that slight increase in demand would have an effect on resale values (because insurance and registration fees will remain high).

 

[RoadRunner]

Used R1S prices will likely come down significantly when the first batch of leases term out and hit the used market. Not sure when that will be exactly though, maybe sometime in 2027?

 

[meshugy]

It seems R1S models are holding their resale value incredibly well. Hard for me to find one below $70-75k.

We have an R2 reservation we are very excited about - but I’m starting to wonder if there will be too much redundancy in terms of size and capability between the R2 and 4 door Bronco we already own. After a recent test drive it seems the R1S would give us an option that seats larger groups VERY comfortably for future family road trips. Our Bronco feels surprisingly tight when there are 4 people + cargo and the R2 is roughly the same size.

The issue is we don’t really have the budget to get to $65k+ for a used R1S, let alone the $75+ most are priced at currently.

For the scholars among us… Any chance the lower price point of the R2 ends up impacting the market for used R1S?

here’s your chance for the deal of a lifetime, CarMax misidentified this Quad as a Dual and is only asking $64K for it!

https://www.carmax.com/car/26727798

 

[SANZC02]

here your chance for the deal of a lifetime, CarMax misidentified this Quad as a Dual and is only asking $64K for it!

https://www.carmax.com/car/26727798

That is where KBB has the trade in value. Between 61k and 66k

 

[usulio]

Our Bronco feels surprisingly tight when there are 4 people + cargo and the R2 is roughly the same size.

Don't forget R2 will have a sizable frunk plus rear under-floor storage as well.

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