Why Is the Cadillac Lyriq Losing Value So Quickly?
If you’ve been eyeing the Cadillac Lyriq or already have one in your driveway, you might have noticed something odd: its value is dropping faster than you’d expect for a luxury SUV. So, what’s going on? The Lyriq isn’t alone—many electric vehicles (EVs) are seeing steeper depreciation curves than their gas-powered cousins. But the Lyriq’s case is especially interesting, and a bit concerning for owners and shoppers alike.
How Does the Lyriq’s Depreciation Compare to Other EVs?
Let’s put some numbers on the table. According to recent data from automotive market analysts like iSeeCars and Edmunds, the average EV loses about 48% of its value after three years—compared to 39% for traditional vehicles. The Cadillac Lyriq, however, is outpacing even that, with some used models dropping 30% or more in value within the first year. That’s a tough pill to swallow for anyone who just drove one off the lot.
Why Are Electric Vehicles Depreciating Faster Than Gas Cars?
It’s not just a Cadillac problem. The whole EV market is seeing rapid changes, and that’s making older models less desirable. One big reason? Technology is moving at breakneck speed. Newer EVs come out with longer ranges, faster charging, and better features every year. That makes last year’s model feel outdated in a hurry.
There’s also the matter of incentives. Federal and state tax credits can knock thousands off the price of a new EV, but those deals don’t apply to used cars. So, when a lightly used Lyriq hits the market, buyers expect a hefty discount to make up for the lost incentives.
What’s Unique About the Lyriq’s Situation?
The Lyriq faces some challenges that are specific to Cadillac and its place in the market. For starters, Cadillac is still building its reputation in the EV world. While Tesla has become almost synonymous with electric cars, Cadillac is playing catch-up. That means less brand loyalty and more uncertainty for buyers.
Then there’s the issue of supply. Cadillac ramped up Lyriq production just as the broader EV market started to cool off. More vehicles on dealer lots means more competition—and more pressure to lower prices, both new and used.
How Does Range and Charging Impact Resale Value?
Range anxiety is real. While the Lyriq offers a competitive range (up to 314 miles on a full charge), some buyers still worry about charging infrastructure. If you live in an area with few fast chargers, a used Lyriq might seem less appealing than a gas SUV or even a Tesla, which benefits from its exclusive Supercharger network.
Also, battery technology is improving fast. Newer EVs are coming out with batteries that last longer and charge quicker. That makes older models, even those just a year or two old, feel less cutting-edge—and less valuable.
Are There Other Factors at Play?
Absolutely. Interest rates have climbed, making car loans more expensive and pushing some buyers out of the market altogether. Plus, the flood of new EV models from every major automaker means buyers have more choices than ever. That’s great for consumers, but it puts downward pressure on resale values.
Let’s not forget about software updates and features. Some automakers, including Cadillac, are experimenting with subscription-based features. If a used Lyriq requires a monthly payment to unlock certain functions, that can turn off potential buyers and further drag down prices.
What Can Lyriq Owners and Shoppers Do?
If you already own a Lyriq, don’t panic. Depreciation is just one part of the ownership equation. Focus on enjoying the car’s luxury features and low running costs. If you’re thinking about buying, consider leasing instead—this way, you won’t be on the hook for resale value down the road.
For those set on buying, look for certified pre-owned models with extended warranties. These can offer peace of mind and help offset some of the risks associated with rapid depreciation.
The Big Takeaway for Cadillac Lyriq Buyers
The big takeaway? Lyriq ownership isn’t about perfection—it’s about smarter adjustments. The EV market is evolving fast, and so are the rules of the game. Start with one change this week—maybe research certified pre-owned options or talk to your dealer about lease terms—and you’ll likely spot the difference by month’s end.
