Are Hybrid Vehicles Less Expensive to Drive?

With soaring inflation and gas prices, many people are considering switching to electric power when shopping for their next new or pre-owned vehicle. However, they are still determining whether abandoning the internal combustion engine will really save them money. Hybrid cars, SUVs, and crossovers have gasoline engines and electric motors, offering drivers the best of both worlds. To determine whether buying a hybrid vehicle is a smart long-term decision, you’ll need to determine the purchase cost, running costs, and potential resale value.

The Cost of Buying a Hybrid

According to an analysis of new vehicle MSRPs, the average electric vehicle’s $66,997 sticker price makes it more than twice as expensive as the average gasoline-powered vehicle. Hybrid vehicles have much smaller battery packs than EVs, costing about the same as gasoline-powered cars. You will have to pay more to drive a hybrid than a conventional vehicle, but it will not be much more. For example, the 2024 Toyota Camry Hybrid’s starting price is only $2,435 higher than the standard Camry’s base MSRP.

The Cost of Driving a Hybrid

Hybrid vehicles have electric motors that are perfect for stop-and-start driving. This means they use far less fuel in towns and cities than cars that rely on gasoline engines. If you encounter slow-moving traffic on your daily commute, driving a hybrid could lower your monthly gasoline bill considerably. An EV does not consume gasoline, but it may cost as much or more to run as an efficient hybrid. That is because an EV’s electricity comes from the grid at an average cost of .17 cents per kilowatt-hour. Most hybrids get their electrical power from their gasoline engines or regenerative braking systems. According to the U.S. Department of Energy, driving a mile in a 2024 Toyota Camry hybrid only costs about 6.6 cents.

Maintenance and Insurance

Electric motors and battery packs have few moving parts, so running a hybrid should not cost much more than maintaining a gasoline-powered vehicle. Hybrids also cost about the same to insure as gasoline-powered cars.

Hybrid Trade-In Values

Pre-owned vehicle buyers often steer clear of EVs because they know battery packs wear out eventually and can cost more to replace, but hybrids are looked upon more favorably. Used hybrid vehicles are sometimes worth as much as used gasoline-powered vehicles, and hybrids made by companies known for quality and durability may be worth more. When a car sales website ranked hybrid vehicles based on their running costs and resale values, five of their top six picks were Toyotas.

Toyota Hybrids Are a Smart Choice

Driving a hybrid could lower the amount you spend on fuel without increasing your insurance and maintenance costs, but not all hybrid vehicles offer the same benefits. The Toyota Corolla, Camry, Prius, Highlander, and RAV4 are all available with hybrid technology, and they all provide the quality, dependability, and durability that Toyota is famous for. Stop by Peter Boulware Toyota today to see and test drive some of the best hybrid vehicles available.