Photo Credit: iStockUsed electric vehicles are seeing a surge in the United States, even as the broader EV market continues to send mixed signals.As Grist detailed, July sales figures suggest that lower prices may be doing what federal incentives can no longer do: keeping Americans interested in switching to electric.Here's what to knowCox Automotive figures for July show a sharper rise for used EVs than for new ones. Grist noted sales climbed 10.1% from a year earlier and 7.7% from June to July, while new EVs rose just 3.2% month over month and remain 41.5% below 2025 levels.AdvertisementAdvertisementA big reason appears to be affordability.Price helps explain the divide, per the outlet. A new EV still costs about $6,477 more on average than a comparable gas-powered vehicle, but in the used market, the difference between electric and internal-combustion models is much smaller, at $2,967."In today's economy, with high interest and wavering affordability, that's a very material difference," Jimmy Douglas, founder and CEO of Plug, a wholesale marketplace focused on EVs, told Grist. "A lot of it comes down to affordability."Fuel costs may be contributing, too. Scott Case, Recurrent's CEO, told the outlet that dealers he speaks with often point to gas prices as a major reason buyers are considering electric models. AdvertisementAdvertisement"The used market is so hot," Case relayed to Grist. "The used EV market is pretty much uniquely the beneficiary of the war."More backgroundThis strength in the used-EV market comes after the repeal of federal tax credits that had offered buyers up to $7,500 for new EVs and $4,000 for used ones.Sales dropped sharply once those incentives were removed under the "One Big Beautiful Bill Act," but the used segment has stayed more resilient than many expected."There are so many used EVs available at a good price point," Stephanie Valdez Streaty, director of industry insights at Cox Automotive, suggested to Grist.That supply may continue to expand as more leased EVs return to the market.AdvertisementAdvertisementOwning an EV can cut fuel and maintenance expenses, and studies have found that switching can also reduce planet-warming emissions, even when replacing a relatively new gas-powered vehicle.Still, North America continues to lag behind other regions. Benchmark Mineral Intelligence data cited by Grist show that North American EV sales have fallen by 18%, while Europe is up 28%.What can be done?Lower sticker prices can make it easier for households to start saving on gas and routine maintenance, especially at a time when many consumers are grappling with unstable fuel prices and high borrowing costs.There are also signs that the new-EV market may be finding its footing.AdvertisementAdvertisementDouglas told Grist that inventory is moving at about the same pace as gas-powered vehicles. "There is no real problem in selling the new EV inventory that's on the market," he said. "It's no less healthy than the new gas car market right now."The market also appears to have enough supply to give shoppers room to compare options rather than rush into a purchase. Used EVs are getting the nod more."Literally no one would have predicted that after a year with no $4,000 rebates on the table, that we'd now be doing 10 percent more sales," Case told Grist. "That defies expectation."Where can I learn more?Price is a big part of the EV story, whether that means used models showing up for under $25,000 or state rebates trying to ease the loss of federal credits. The stories below show why lower upfront costs continue to draw buyers, even as the broader market remains uneven.AdvertisementAdvertisement• Across U.S. lots, used EVs are still selling under $25,000 as lease returns grow.• In California, offering $3,500 to first-time buyers could cushion the post-credit EV slump.Those trends offer a clearer picture of how pricing, incentives, and a growing supply of used EVs are reshaping EV demand. For shoppers and policymakers alike, what happens next may come down to a simple question: whether the numbers still pencil out.Get TCD's free newsletters for easy tips, smart advice, and a chance to earn $5,000 toward home upgrades. To see more stories like this one, change your Google preferences here.