Resale values for some popular hybrid models show owners – often businesses and government departments – are tearing up thousands of dollars more than conventional cars when it comes time to sell.

While a 2005 Prius cost $7100 more than a Corolla Ultima of the same year, it is now worth $300 less than the Corolla, according to industry used car bible Glass’s Guide.

The Honda Insight that was the first hybrid to go on sale here in 2001 for $48,990 plus on-road costs is now worth just $7200, less than a CR-V (which sold for thousands less) of the same era.

The depreciation is also dramatic on the better equipped Prius iTech that arrived in 2003 with a price tag close to $50,000.

A 2003 model sells now for about $10,700 while a 2007 iTech only just out of warranty has more than halved to be now worth about $20,200, representing depreciation of 57 per cent.

Honda’s Civic Hybrid has also struggled in the used-car market, with depreciation outpacing the regular Civic models.

“The used-car market isn’t quite yet sophisticated enough for hybrids,” says Glass’s Guide managing director Santo Amoddio, who believes “unfounded” concerns over battery life could be affecting the appeal of older hybrids. “On the used-car market they [hybrids] haven’t yet found their appeal.

“Over time their appeal will increase.”

Even a 2009 Prius iTech is claimed to be worth about $30,700 now (down a hefty 36 per cent) while a 2009 Prado GX that cost just $2490 more when new sells for about $44,500 (a drop of only 20.5 per cent).

“It’s still a matter of educating the public on hybrids and getting a better understanding of their long term viability,” said Toyota Australia public relations manager Mike Breen.

The most popular hybrid on the road – Toyota’s Prius – has been on sale here since 2001 and has seen sales slump over the past year as the locally produced Hybrid Camry cannibalised its sales.

In January sales are off to a sluggish start, especially with the private buyers who typically pay more than fleets.

Just 95 of the 273 Hybrid Camrys sold in January were to private buyers, while only 12 of the paltry 50 Prius buyers were listed as private buyers by the Federal Chamber of Automotive Industries.

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Source: Glass’s Guide. Resale values based on average trade-in value and can vary according to condition and kilometres travelled