Buying a model 3 in 2022. Is it worth it?

[ahmedshawky82]

Hi,

I placed an order for a model 3 January 2022, however I can’t shake the bitterness that just one year ago that same car was $8000 less. Is there a way to justify this apparently bad bargain to myself? And is there corresponding value to that increase?

Thanks.

 

[Csookhoo]

If you want it you want it. I bought the car just before the price went up and in Canada they took away the EV incentive because it became too expensive. I honestly wouldnt have bought it if I didnt save that money

 

[Jeremy3292]

If you need a new car in today's world, I believe you'll agree Tesla's price increases are far more reasonable than the dealership price increases we have been seeing. Gone are the days of walking up to a car dealership and haggling for a good price. Maybe those days will return in 2023 or 2024 but they are for sure gone currently. I believe you are speaking about the SR+ (RWD) Model 3 in your post, but the Model 3 Long Range variant is a much better "deal" now IMO.

It also helps when buying a Tesla to look at total cost of ownership of the vehicle and not just the cost of the car. Since there are no oil changes, any other fluid changes, spark plugs, etc. or having to pay for gas like an ICE car, you may find like many others have the sticker price becomes much more palatable.

The only thing I have done on the first 10k miles on my M3 LR is get a tire rotation and an alignment. I don't expect to have to do anything else until I need new tires. I'll change the cabin air filter every 1-2 years probably. No wasted time, hassle, and money for maintenance. Just drive the car and enjoy!

 

[ahmedshawky82]

If you need a new car in today's world, I believe you'll agree Tesla's price increases are far more reasonable than the dealership price increases we have been seeing. Gone are the days of walking up to a car dealership and haggling for a good price. Maybe those days will return in 2023 or 2024 but they are for sure gone currently. I believe you are speaking about the SR+ (RWD) Model 3 in your post, but the Model 3 Long Range variant is a much better "deal" now IMO.

It also helps when buying a Tesla to look at total cost of ownership of the vehicle and not just the cost of the car. Since there are no oil changes, any other fluid changes, or new brakes (maybe at 100k miles if that), or having to pay for gas like an ICE car - you may find like many others have the sticker price becomes much more palatable.

Yeah I agree. Total cost should be important. Also, the new battery and new AMD chip to the new 2022 teslas might add to their value. I really would have loved to get a long range model 3, however, I am really stretched as it is for the standard version that any additional cost would be too much.

 

[ahmedshawky82]

If you want it you want it. I bought the car just before the price went up and in Canada they took away the EV incentive because it became too expensive. I honestly wouldnt have bought it if I didnt save that money

I do want it and that's why I made the order even now with the high prices. It is just the bitter feeling that I missed my opportunity on a great deal is what is keeping me up at night so I was just trying to find a way to ease that feeling a bit.

 

[holmgang]

you cant change the past

do you think the prices will be lowered in the future? no? then buy now

 

[mcstravis]

Hi,

I placed an order for a model 3 January 2022, however I can’t shake the bitterness that just one year ago that same car was $8000 less. Is there a way to justify this apparently bad bargain to myself? And is there corresponding value to that increase?

Thanks.

I've had the car a week..it is amazing...I game changer
Paying more now sucks but I think the only difference in my choice might have been to consider the LR instead of RWD. I love the RWD but the price difference with the gov incentive made it too much of a price gap to consider the LR.

 

[HeatproofGenie]

LFP battery SR+ is a better car than the LION SR+ in my opinion, has more functional range, longer functional life, etc. Sure maybe it's a bit slower but most reports of comparisons from people and they find it hard to tell an acceleration difference.

 

[thesmokingman]

Hello the law of supply....?

 

[ahmedshawky82]

you cant change the past

do you think the prices will be lowered in the future? no? then buy now

I like your approach. Pithy and cuts through the chase

 

[SocalM3P]

inflation. everything costs more. food, housing, raw materials, etc. at least w/ Tesla you buy direct. pretty much every dealer for every other car manufacturer is charging markups or dealer add ons. still think w/ the price increases, Tesla offers a fair deal.

 

[ahmedshawky82]

I've had the car a week..it is amazing...I game changer
Paying more now sucks but I think the only difference in my choice might have been to consider the LR instead of RWD. I love the RWD but the price difference with the gov incentive made it too much of a price gap to consider the LR.

Glad to hear about your positive experience. And I totally get it about the LR vs RWD. What makes it even worse is that in my state, sales taxes jump by about 1.5 % for a car that is > $50000, which is where LR is right now.

 

[ahmedshawky82]

LFP battery SR+ is a better car than the LION SR+ in my opinion, has more functional range, longer functional life, etc. Sure maybe it's a bit slower but most reports of comparisons from people and they find it hard to tell an acceleration difference.

Agreed.

 

[ahmedshawky82]

inflation. everything costs more. food, housing, raw materials, etc. at least w/ Tesla you buy direct. pretty much every dealer for every other car manufacturer is charging markups or dealer add ons. still think w/ the price increases, Tesla offers a fair deal.

Thanks @SocalM3P .. Exactly the kind of reassuring I was searching for

 

[jjrandorin]

I do want it and that's why I made the order even now with the high prices. It is just the bitter feeling that I missed my opportunity on a great deal is what is keeping me up at night so I was just trying to find a way to ease that feeling a bit.

Not to pile on, but everyone feels that way when they "miss out". There is some reason you didnt order a year ago when prices were cheaper. If you had the capacity to order but just "didnt, for some reason", then thats on you for procrastinating for some reason.

Again, I am not piling on, just stating fact, that its costing you more because you chose to wait for some reason. If that reason was something you could do nothing about, then you couldnt do anything about it.

People trying to buy houses over the past year and half or so have to spend tens of thousands (in some cases hundreds of thousands) more than they would have had to before. I bought my home in 2013, and with the value of my home right now, there is absolutely NO WAY I could afford to buy the home I live in right now.

This is one of those "this is how life works" type things.

If you continue to wait, you will likely price yourself out (if you havent already) because interest rates have been at historic lows so long that an entire generation of people think that a car loans (and home loans) are "supposed to be less than 3%". Once prices on a item rise, its usually not "fast" for them to come back down.

Car prices may come down "some" in the next couple of years as demand softens a bit, but Car manufacturers have gotten to the point where they have gotten "rid of" all the super affordable cars, and gotten people used to a new car costing 30K+ for even "regular" new cars. The prices of the cars might come down, but interest rates historically run around 5%, so the effective cost to people is going to be the same for a looooongggg time, at least in my opinion.

TL ; DR - The price is higher now, but at least its higher for everyone when you buy a tesla, and its not just "dealer markup". If you want the car, you should buy now, because its unlikely to be cheaper than it is now for a long time. Even if prices drop, interest rates are likely to go up, making your effective cost the same or even more than now.

 

[CheapBastid]

TL ; DR - The price is higher now, but at least its higher for everyone

...and the 'higher priced' M3s of today have significant (and ongoing) improvements that can help soften the blow of increased costs.

 

[MaskedRacerX]

I totally understand, I often go through the same mental gyrations when buying tech products.

I bought last year so I missed the $7500 fed rebate, but I bought before the last few price hikes so saved a few $Ks - I got a '21 so I got the new double pane glass, revised interior, heat pump, but I also missed the '22 updates with the new MCU and rear double pane glass

I guess my point: whenever you buy, your price may better, or worse, you may get X vs. Y equipment, you can't regret something that's already happened or predict something that's yet to occur, you kind of have to just enjoy the moment for what it is, then and there.

 

[3sr+buyer]

I placed an order for a model 3 January 2022, however I can’t shake the bitterness that just one year ago that same car was $8000 less. Is there a way to justify this apparently bad bargain to myself? And is there corresponding value to that increase?

Unfortunately, it is now significantly more expensive to buy almost any car (including many used cars) than it was a year ago. With new Teslas, the MSRP that is what you pay has gone up, while with other brands sold through dealers, actual new car sale prices swung from large discounts from MSRP to additional dealer markups over MSRP.

Notable changes in the Model 3 RWD / SR+ (that should be in a car delivered a few months from now) since a year ago:
* LFP battery replaces L-NCA battery.
* Lithium 12V battery replaces lead-acid 12V battery.
* AMD Ryzen infotainment processor replaces Intel Atom infotainment processor.
* Radar deleted (ADAS / Autopilot / etc. use cameras only now).
* Some USB-C ports that had data are now power-only.
* Software version.

 

[ahmedshawky82]

Not to pile on, but everyone feels that way when they "miss out". There is some reason you didnt order a year ago when prices were cheaper. If you had the capacity to order but just "didnt, for some reason", then thats on you for procrastinating for some reason.

Again, I am not piling on, just stating fact, that its costing you more because you chose to wait for some reason. If that reason was something you could do nothing about, then you couldnt do anything about it.

People trying to buy houses over the past year and half or so have to spend tens of thousands (in some cases hundreds of thousands) more than they would have had to before. I bought my home in 2013, and with the value of my home right now, there is absolutely NO WAY I could afford to buy the home I live in right now.

This is one of those "this is how life works" type things.

If you continue to wait, you will likely price yourself out (if you havent already) because interest rates have been at historic lows so long that an entire generation of people think that a car loans (and home loans) are "supposed to be less than 3%". Once prices on a item rise, its usually not "fast" for them to come back down.

Car prices may come down "some" in the next couple of years as demand softens a bit, but Car manufacturers have gotten to the point where they have gotten "rid of" all the super affordable cars, and gotten people used to a new car costing 30K+ for even "regular" new cars. The prices of the cars might come down, but interest rates historically run around 5%, so the effective cost to people is going to be the same for a looooongggg time, at least in my opinion.

TL ; DR - The price is higher now, but at least its higher for everyone when you buy a tesla, and its not just "dealer markup". If you want the car, you should buy now, because its unlikely to be cheaper than it is now for a long time. Even if prices drop, interest rates are likely to go up, making your effective cost the same or even more than now.

Really helpful. I actually was not considering a Tesla at all last year. I only started considering a Tesla, or any EV for that matter, when I signed my contract earlier this year for installing solar panels on my roof and while doing the calculations, I increased the panel size to account for a "potential" future EV. A couple of domino pieces later, I landed on Tesla after doing a lot of research because it really is the best EV I have seen out there and probably will be stay the best for many years to come. So it is a good pointer going back to why I did not buy earlier and given my thinking at the time, I I can at least drop the regret as a result of too much procrastination.

Another very good point you made was about interest rates and how they relate to prices and the cost effectiveness of making that balance.

 

[DL-21]

Yeah I agree. Total cost should be important. Also, the new battery and new AMD chip to the new 2022 teslas might add to their value. I really would have loved to get a long range model 3, however, I am really stretched as it is for the standard version that any additional cost would be too much.

I am going to need a new car this year, and with now adding in a commute at least twice a week it just flat out makes sense. We were thinking about getting a Nissan Kicks or something like that but then we're looking at a ~$320/mth lease, then with gas pushing $1.6/L we're looking at minimum $350/mth there. So we looked at our current money situation and made the decision to just get a Tesla instead. Sucks that I won't get the Canadian Federal Incentive, but with my delivery not currently scheduled until October there is a chance we see a Provincial Incentive that I could still potentially take advantage of.