Did the Mid-range and Long-range prices dropped $2900??

[gilscales]

I purchased in September 2018 for:

$70,000 + $1,000 in doc/delivery

At the time the PUP was an additional $5,000, and FSD was $3,000. This brings it to $79k (forgot the doc/delivery fees earlier).

Additionally, the Federal Tax Rebate was $7,500, and we were offered $5,000 in exchange for FUSC (not offered now). This brings the total to: $66,500.

Right now, the P3D with AP and FSD is: $67,500+$1200 doc/delivery-$3750 = $64,950.

Making the delta = $1550.

Let's see, My brother-in-law ordered a P3D+ with everything he could get on his birthday 9-7-18 (I mean, no one else was giving him a present like that so....?)

Sep 2018
car 64,000
pup 5,000
autopilot 5,000
fsd 3,000
red 2,000
white seats 1,500
delivery 1,000

sub total 81,500
tax 7.75% 6,316.25
total 87,816.25
refund pup -5,000
Fed credit -7,500
Grand Total $75,316.25

Now
car 58,000
pup 0
autopilot 3,000
fsd 5,000
red 2,500
white seats 1,000
delivery 1,200

sub total 69,500
tax 7.75% 5,386.25
total 74,886.25
refund pup 0
Fed credit 3,750
Grand Total 71,136.25

True Delta for my Brother-in-law $4,180 still not as bad as I thought though.

Then there is mine, an april build RWD with everything except fsd BUT for a fair comparison I am going to add fsd at time of purchase for 3k as autopilot has changed and is no longer EAP and because my city is crazy AF my tax is 10.25% for an April price of $66,701.25 minus 7500 fed credit or $59,201.25

Today same configured car $60,086.25 minus 3750 fed credit or $56,336.25 or only $2,865 less.

Really not bad for all of the price drops, plus I have 18k on the car so that's more than $2,865 worth or enjoyment!

 

[RC2785]

The long range Model S dropped $13,000 today and the performance + ludicrous versions of the Model S and X dropped $18,000.

Tesla delivers big price cuts to Model S and Model X vehicles

 

[gilscales]

The long range Model S dropped $13,000 today and the performance + ludicrous versions of the Model S and X dropped $18,000.

Tesla delivers big price cuts to Model S and Model X vehicles

It really is about time as they were WAY overpriced IMHO.

 

[RC2785]

Umm long range was $49k. It is now $43k!!!!!!!

Seems like a $6k drop to me.

the $43k long range is the rear wheel drive version which Tesla is bringing back. The $49,000 Long range car was dual motor all wheel drive which now costs $47,000.

 

[gilscales]

the $43k long range is the rear wheel drive version which Tesla is bringing back. The $49,000 Long range car was dual motor all wheel drive which now costs $47,000.

No, originally the car launched at $49,000 with the aero wheels in rear wheel drive only and that price was for black paint, at that time all other color options were an extra $1,000, sport wheels $1,500, EAP $5,000 and FSD $3,000, these prices were still the same when I configured in Feb. 2018 and there was an additional $1,000 delivery fee.

 

[Sputnik19]

I bought an Inventory model p3d+ (Built in December) on Jan 17. In addition to January price break I got the Feb price drop as I didn’t pick up until feb 7.

Per Tesla,com, loan payment with same terms and down payment would be 9 dollars lower (per the loan calculator) for a new build ordered today compared to my current car.

I’m not sure how that adds up with interest over 6 years, but 9$x72mo Is not as bad. I have eap, fsd, and get hw3 when available. Now if I could just get my spoiler!

 

[KKman]

No, originally the car launched at $49,000 with the aero wheels in rear wheel drive only and that price was for black paint, at that time all other color options were an extra $1,000, sport wheels $1,500, EAP $5,000 and FSD $3,000, these prices were still the same when I configured in Feb. 2018 and there was an additional $1,000 delivery fee.

This is the correct info. I got my LR RWD last July for 49k starting price. I like the promised 35k is finally available, but really don't like the huge price drop from the original LR version, in such short time. I mean I understand the price adjustment to compensate for tax credit cut, but cutting 6k for 3.75k ?!? Not to mention that they advertise for taking full tax credit before the end of year. Because if you don't take advantage of tax credit, you will actually pay less in 2 month???

I will understand if they price LR RWD at 41-43k without PUP (was 44k in original plan), and 45-47k with PUP (49k before). This way you can offer more affordable options, without upsetting the current owner. Oh well just saying.

 

[TonyT]

When do you ever see the MSRP of a new car go down from one year to another (ie 2019 Model 3 vs 2018 Model 3)? Even if the model didn't change year over year, I've never seen a 2019 Toyota XYZ have a lower MSRP than a 2018 Toyota XYZ.

Ford Fusion Plug-in dropped prices MSRP. I don't remember the exacts but there have been several price drops of $1000 or more since 2014. None of the price drops were due to changes in Federal rebate cut-off's. The reductions were due to lower cost of manufacturing.

 

[gilscales]

This is the correct info. I got my LR RWD last July for 49k starting price. I like the promised 35k is finally available, but really don't like the huge price drop from the original LR version, in such short time. I mean I understand the price adjustment to compensate for tax credit cut, but cutting 6k for 3.75k ?!? Not to mention that they advertise for taking full tax credit before the end of year. Because if you don't take advantage of tax credit, you will actually pay less in 2 month???

I will understand if they price LR RWD at 41-43k without PUP (was 44k in original plan), and 45-47k with PUP (49k before). This way you can offer more affordable options, without upsetting the current owner. Oh well just saying.

it's really not 6k but 4k as EAP is no longer available, only AP AND if you want to add FSD right now then you can go into your account and add it for 3K, also $1,200 for delivery instead of $1,000, all color paints have gone up $500 ea. since then but white seats down $500 so if you wanted both its a wash.

 

[amitmishra4]

Very smartly played by Elon. It’s really a matter of how you look at the numbers, I’m really only seeing a 1k odd difference net in my case which can be negated or even turned around depending on how you see it. Allow me to explain:

I paid $55,000 for my black RWD LR PUP EAP including the $1000 documentation fee.
After tax credit, total was $47,500

Today it’s $46,000 for black RWD LR PUP AP only
Add $2k for the missing EAP features (to compare apples to apples in value) and $1,200 documentation fee and you will be at $49,200
After tax credit, total will be $45,450

Net cost difference is $2050. (Less if you purchased a color that went up in price, the difference can be as low as $1550 I’m hearing. Even less if you believe that it’s worth more than the additional $2k for the partial FSD features we received as part of EAP since current buyers need to buy a full $5k FSD package to get the features we have today and nothing else has really been released but I am not the expert there and I leave that for the beholder to decide.)

Now, some early adopters like me that took delivery before July 1st last year supposedly get the premium internet connectivity for life, that’s about $100 per year and I imagine I’ll keep the car at least 10 years so that’s a potential $900 in savings (I think everyone today gets only one year free) bringing the net difference down to only $1,150.

Now, to make matters even (sort of), FSD was offered to me at $4k post purchase for which I was ok with paying the upcharge later if he could demonstrate the capability in a couple years. It seems Elon MAY work out something for early adopters from his tweet so IF he offers FSD for $3k, I’m only really out $150 more than I had budgeted and some other early adopters from my example above with other colors may actually come out ahead! (Disclaimer: I may not jump on the FSD yet since I don’t think the capability is mature enough yet but I don’t think I’m that far sunken with the $1,150 difference.)

Caveat: if you don’t get the premium connectivity for life, and you still consider the last paragraph and FSD valuable, you may be out to the tune of $1,050. Again, not the worst deal on a $55,000 purchase considering most cars depreciate more the second you leave the lot.

I hope this makes everyone else feel just a little bit better that thought we got screwed a lot more.

 

[Elmexiken]

Sorry to continue:
Total in Dec 2018 $59,500
Total today: $51,500 (only difference is Autopilot vs my enhanced Autopilot)

If include tax incentives:
Dec 2018: $59500 - 7500 (Fed) - 5000 (state) Total: $47000
Today: $51500 - 3750 (Fed) - 5000 (state) = Total $42750
Difference: $4250
This does not include the higher taxes I paid on the car given a higher sale price.

That is a difference of 9% in 60 days, again even accounting for the drop in tax incentives. No substantial consumer product drops this precipitously. I am happy with the car, their business model, and their mission, but I frankly feel betrayed. I suspect most owners will be incensed.

I agree. It just feels pretty slimy to nudge folks to take advantage of the tax credit, only to lower prices literally 2 months later, to a price that is less than before.

 

[EVboyz]

I agree. It just feels pretty slimy to nudge folks to take advantage of the tax credit, only to lower prices literally 2 months later, to a price that is less than before.

exactly and it’s not a little different. It’s a huge difference wtf elon

 

[De - Fre]

My Tesla sales advisor

Thanks i’ll Contact them to ask.

 

[theblindtree]

I've decided that I'm not upset about it, but I do feel like it's too large of a decrease to not qualify as somewhat of a bait-and-switch. They've effectively cut the resale value of the Model 3 across the board, without any sort of revaluation of the prior sales. I could understand if there were some upgraded release that locked in the price difference...but there's only a bottom end decrease. Price to demand, of course, but it sets a bad precedent. Were I an investor, I would be questioning why such a dramatic decrease without allowing whatever difference to just be absorbed as profit.

If they were really striving for some kind of parity, I don't see why they wouldn't, 1) release AP (as it stands) across the board for prior owners at no charge, 2) release FSD to current EAP owners with $2000-$3000 hardware revision upgrade requirement, and 3) allow free hardware upgrade to current FSD owners, as per the plan. At least that way current owners don't feel "the sting" and Tesla doesn't REALLY lose anything, as it's mostly software deployment.

 

[brobinson]

Isn't it a bit egregious to use the availability of the tax credit as a buffer for price fluctuations? If my $50k car purchased in May of last year can now be purchased for $44.5k, what does the tax credit have to do with it? The tax credit is not tied to the car or its value, it was a 3rd party incentive.

I understand that ultimately the price difference is negligible when accounting the benefit of the tax credit, and it's not something that I'm losing sleep over, but there is no denying that the long term value of the car is impacted by a change like this. One of the big benefits of buying a tesla is not dealing with dealership pricing schemes. Poor negotiation on any other brand of car can leave you significantly upside down compared to someone else that bought the same car. In this case, Tesla is the one that may leave people upside down.

In the end, it doesn't change how happy I am with my car, and I'm glad that Tesla is able to move a step closer to their goal. Future me will just be feeling some of the pain when it comes time to sell.

 

[De - Fre]

I've decided that I'm not upset about it, but I do feel like it's too large of a decrease to not qualify as somewhat of a bait-and-switch. They've effectively cut the resale value of the Model 3 across the board, without any sort of revaluation of the prior sales. I could understand if there were some upgraded release that locked in the price difference...but there's only a bottom end decrease. Price to demand, of course, but it sets a bad precedent. Were I an investor, I would be questioning why such a dramatic decrease without allowing whatever difference to just be absorbed as profit.

If they were really striving for some kind of parity, I don't see why they wouldn't, 1) release AP (as it stands) across the board for prior owners at no charge, 2) release FSD to current EAP owners with $2000-$3000 hardware revision upgrade requirement, and 3) allow free hardware upgrade to current FSD owners, as per the plan. At least that way current owners don't feel "the sting" and Tesla doesn't REALLY lose anything, as it's mostly software deployment.

I am with you.

 

[De - Fre]

Here is what I received.

There are 2 options we are offering for those who’ve taken delivery in 2019 already.


1. Since you didn’t have Autopilot configured with your order, you will receive that.

2. You can return the vehicle within 7 days of your purchase or within 1,000 miles and will receive a full refund.


However, the only way to receive the NEW pricing will be to cancel and reorder the vehicle.​

 

[smjbh5]

Yes, CA got $2500 rebate. That is not going away yet.

Not everyone qualifies for the rebate.

 

[gilscales]

Future me will just be feeling some of the pain when it comes time to sell.

Unless you are replacing the sale of your devalued Tesla with another Tesla at a lower price then it will be a wash.

My wife is a Realtor and she tells this to people all the time whether they are saying "my house is worth so much, I can make a huge profit" she will tell them that unless they are downsizing considerably or moving out of the area to a much more affordable area then its a wash as they are going to have to replace the high priced house with another one.

She may be killing a sale but I will say that she is honest with everyone when it comes to her dealings and that is what people appreciate most, that and her knowledge and competence (do I sound biased?, I better if I know what's good for me!)

 

[doehringm93]

I am with you.

I can get behind this. Sure, price cuts suck since they'll affect us one way or another in the future. I certainly didn't buy my 3 expecting it to hold its value, but I at least hoped it would follow a standard depreciation curve, which with $2250 in price cuts so far (LR RWD Blue no EAP), it won't. Not something I'll have to worry about for a while, but its not something that typically happens with other manufacturers. I've always been a hard negotiator when it came to buying/leasing cars, so I have no doubt I would've been paying something competitive for any other particular car.

I do think activating standard AP on Model 3 owners that purchased prior to this cut, the 'early adopters' that didn't originally purchase EAP, would be a good move. It poses minimal/no loss to Tesla directly as it's software only and it brings the car more in line with the competition. TACC is something standard on much much cheaper cars from 2018 and 2019 and autosteer, lets be honest, is very beta like.

I have a hard time asking for 'freebies' from Tesla as 1. that's not I'd normally do from any company just because of pricing adjustments and 2. I worry about Tesla's solvency in the future. Competition from larger and healthier companies is just going to increase in the coming years, I think Model 3 demand is going to stagnate and I think the company is way overextended as it is already. I don't see TSLA becoming the next AAPL unfortunately. At least not in its current form.

I sure hope I'm wrong, because as an owner and stockholder, that would be very bad news.

With that said, I'm happy to take the extra .1 seconds to 60. Likely won't be noticeable, but whatever. The 'increased' range I can almost guarantee is just Tesla altering the display to show 325 since the LR RWDs always performed better than advertised, I don't think it's an actual change in efficiency. Not that it matters for me as going 85 on the highway everyday means I don't even get close to 244 wh/mi.