Can a used Model 3 be more expensive than brand new?

[Yang_H]

Before I placed order for SR+ I searched pretty hard for used Model 3s and found their prices are totally absurd. MY SR+ essentially is like $36k after tax rebates but, for instance, cheapest M3 SR in Carvana are over $40k.

How could this be? Are those used M3 buyers nuts?

Sorry for the typo in the title, don't know how to edit it and also couldn't figure out how to delete and repost.. New to the forum. My apology

 

[Pkmmte]

Yeah, almost all used Model 3s I've ever seen have been listed at more than the cost of a brand new one. No idea why but it is what it is.

 

[holmgang]

Yeah, almost all used Model 3s I've ever seen have been listed at more than the cost of a brand new one. No idea why but it is what it is.

I've seen the same thing in my market too. And the sellers don't budge. They're banking on people not being able to wait for delivery.

Some of these cars had original MSRP higher than today's MSRP, so they think the pre-owned depreciation is already built-in. It doesn't make sense from a market perspective (i.e. vs street price), but its how some sellers justify to themselves.

Some listings come off the market pretty quick. Others, not surprisingly, still linger around

 

[happyzod]

Before I placed order for SR+ I searched pretty hard for used Model 3s and found their prices are totally absurd. MY SR+ essentially is like $36k after tax rebates but, for instance, cheapest M3 SR in Carvana are over $40k.

How could this be? Are those used M3 buyers nuts?

Sorry for the typo in the title, don't know how to edit it and also couldn't figure out how to delete and repost.. New to the forum. My apology

What are your rebates? Base SR+ starts at 39450+1200 delivery fee.

 

[640k]

Before I placed order for SR+ I searched pretty hard for used Model 3s and found their prices are totally absurd. MY SR+ essentially is like $36k after tax rebates but, for instance, cheapest M3 SR in Carvana are over $40k.

How could this be? Are those used M3 buyers nuts?

Sorry for the typo in the title, don't know how to edit it and also couldn't figure out how to delete and repost.. New to the forum. My apology

Yeah, almost all used Model 3s I've ever seen have been listed at more than the cost of a brand new one. No idea why but it is what it is.

I've seen the same thing in my market too. And the sellers don't budge. They're banking on people not being able to wait for delivery.

Some of these cars had original MSRP higher than today's MSRP, so they think the pre-owned depreciation is already built-in. It doesn't make sense from a market perspective (i.e. vs street price), but its how some sellers justify to themselves.

Some listings come off the market pretty quick. Others, not surprisingly, still linger around

i questioned a couple of these sellers and the general response i got was that they were trying to recoup what they paid for in tax, title, fees, etc. I told them that's not how used cars work and they all pretty much told me to pound sand.

so i ended up buying new.

 

[ecarfan]

Before I placed order for SR+ I searched pretty hard for used Model 3s and found their prices are totally absurd. MY SR+ essentially is like $36k after tax rebates but, for instance, cheapest M3 SR in Carvana are over $40k.

How could this be? Are those used M3 buyers nuts?

Private sellers can ask whatever they want for what they are selling.

Now that the Model 3 is in high volume production few people are likely to pay more for a used 3 than a new one.

Sorry for the typo in the title, don't know how to edit it and also couldn't figure out how to delete and repost.. New to the forum. My apology

I fixed that for you. No big deal, don’t worry about it.

 

[holmgang]

the general response i got was that they were trying to recoup what they paid for in tax, title, fees, etc.

people with logic like that, it'll be a waste of time advancing the dialogue....

 

[DeanP]

Some used cars may have AP and FSD. This is an option that does not come with the car. Paint, rims, tint and films will also drive the cost.

 

[tashtibet]

owning an EV is an asset-owning Tesla is an appreciating asset as Elon said so. Do your home work and get on the Tesla band wagon-procrastinating will pain you.

 

[CyberTruckNuts]

Likely trying to recuperate the total financing and out the door costs they paid. If you finance a $40k vehicle, you're likely going to end up paying $45K+ in total costs depending on the state you live in.

 

[arghx7]

they can ask whatever they want; the market will determine the price they get.

 

[cucubits]

owning Tesla is an appreciating asset

No, it's not.

I hope you were making a funny, but just throwing this out here in case you were half serious.

 

[JBT66]

Could be that they have FSD, or the seller is delirious.

 

[Uncle Paul]

Guess there are new car buyers and used car buyers. While most would think the two are closly linked, some people only buy used cars and others only new.
There is a long standing preception that used cars are the better buy, and for some reason many will only look at used cars when they buy...strange.

For many, the tax credits/rebate are not something they are elegible to recieve, so only the price they pay for the car is meaningful.

Some used might be priced higher because that specific configuration is no longer available, or that the buyer values immediate availablity, instead of waiting for an undertermined time to take delivery.

Buyer can often get an inspection and test drive in their car prior to paying or pay in cash.

 

[arghx7]

To me the earlier model 3's are more likely to have had build quality problems, and come with HW2.5 , so I don't see the advantage of an earlier one unless you really want say LR RWD and can get a good deal on them. Yeah there have been some slight cost cutting on new Model 3's (Homelink) but overall it doesn't make up for rolling the dice on something that may have been built during the ramp up.

 

[AdamVIP]

Model 3 owners seem to forget all about the rebates they received back in the day and think that original ones carried a true value of 50-70k or so. It will eventually taper out as the rebates are ending soon.

 

[Yang_H]

I'm actually a typical used car buyer. This SR+ is the second new car we ever bought. The first one was a Honda Accord LX bought new exactly 20 years ago. I don't want to spend too much money on cars which only depreciate, would rather put the extra money to invest etc. If used Model 3s are similarly priced as gas cars, I'd almost definitely buy a used one. Our current cars are 2012 X5 and 2010 G37x, both bought used on 2014.

Anyway, I understand seller can ask whatever price they want, but what I'm puzzling is what kind of person would buy a used M3 at the price higher than new. Maybe those people who for whatever reason just must get the car immediately.

What are your rebates? Base SR+ starts at 39450+1200 delivery fee.

There are $1875 fed tax rebate + $1500 PA state rebate, so the SR+ price after rebate is $39450 - $1875 - $1500 = $36075.

Of course not including destination fees, sale tax etc as I have to pay such fees and sale taxes for buying any new car. It was said the average paid new car price in US is now around $36k -$37k. If true my SR+ price after rebate is exactly the average, hardly a luxury item at all. Tesla seems to charge a bit high on $1200 for delivery fee though.

Thanks #ecarfan for fixing the title for me.

 

[texas_star_TM3]

To me the earlier model 3's are more likely to have had build quality problems, and come with HW2.5 , so I don't see the advantage of an earlier one unless you really want say LR RWD and can get a good deal on them. Yeah there have been some slight cost cutting on new Model 3's (Homelink) but overall it doesn't make up for rolling the dice on something that may have been built during the ramp up.

exactly this. I've seen listings for clearly HW 2.5 and late 2018/ very early 2019 builds, between 5k- 8k miles on them - but with asking prices of very close to what a brand new Model 3 after incentives would cost. LOL.

scariest thing about very low mileage used cars remains - WHY is the seller ditching a virtually brand new car?

 

[640k]

exactly this. I've seen listings for clearly HW 2.5 and late 2018/ very early 2019 builds, between 5k- 8k miles on them - but with asking prices of very close to what a brand new Model 3 after incentives would cost. LOL.

scariest thing about very low mileage used cars remains - WHY is the seller ditching a virtually brand new car?

mostly because they can't afford it. sometimes because they bought a more expensive car. occasionally because of some random excuse like "moving to an area where a car isn't needed" or "leaving country" or "wife left me, please help".

 

[MXWing]

Gotta remember that people expect negotiation.

Even if they listed below market value, people are STILL going to haggle.

eBay motors might show the value of completed transactions.

Buying new ensures the battery wasn’t mistreated and you are getting better/density batteries, hw3 installed etc.