Discussion: Model 3 and Y price drop Jan 2023 / April 2023 / Oct 2023 and All other Pricing Speculation going forward

[derriX]

Got the price reduction and a VIN all in one morning. Assuming price reduction is partially due to Tesla Vision, although I know removing sensor cost is significantly less than that.

MYP | Black Ext | Black Int | 21" | No Tow | No FSD
San Antonio

OD: 3/11
EDD: Mar - Apr 2023
EDD2: April 19 - May 24 (3/20)
EDD3: April 19 - May 3 (4/11)
VIN & $3k Reduction: (4/19)
EDD3: April 29 - May 8 (4/19)

Where the EDD normally appears, it says this:

Tesla is making changes that impact your order. Review details in your Tesla Account before proceeding.

When kicking through to my account, it takes me to this message with a prompt below to "Proceed with Delivery". Then I clicked that, and the app gave me a new EDD (above).

Tesla Vision
We have taken the next step in Tesla vision. Your vehicle now fully relies on camera vision to measure distance to nearby objects, deliver active safety features, and provide Autopilot and Full-Self Driving capability. This new approach will enable improved visibility, better object detection, and greater abilities for Autopilot in the future. With this move, your Model Y is no longer equipped with ultrasonic sensors, which will temporarily impact the availability of some features like Park Assist, Autopark, Summon and Smart Summon. In the future, these features will be restored via over-the-air software updates.

 

[Pandamoanium]

Taking delivery on Saturday, this round of price cuts, like the previous, were reflected in the updated order agreement they sent to me this morning. Very kind of them to do that for people who haven't taken delivery. From order date to day, delta is around 6k. Nice little discount for not being able to utilize the fed tax credit.

 

[Happy Hippo]

YES, All our Teslas are worth less now. I love it! Tesla please keep dropping prices. Forget about driving off the lot for 20% hit, Tesla says we can do 40 or 50% less drop! Go Tesla!

 

[dafish]

Or they are about to announce the new version and are clearing inventory..

 

[dafish]

There is also an Australian EV policy due today I think….

 

[mcb345]

Smart move for sure. Mercedes, BMW, Audi, etc, have vehicles that are priced WAY above

I love my Tesla, but the constant price changes makes it unlikely I will buy another one. It’s now $2500 cheaper than I paid 5 weeks ago. Real world it’s less because you can’t get a 2.75% 60 month now and my trade in lost a few hundred in value. This is going to drive away customers. They have to hope they get enough new people and don’t piss off the old as competition will get stronger.

I don’t think they can be too concerned about customers that have already purchased. They need to continuously sell hundreds of thousands / millions of cars in order to keep shareholders happy. At the end of the day, of course it’s going to piss some people off, but imagine how many new potential customers they’re able to reach now that prices are down about 25%.

Also, if you’re leasing it’s great! I dont have to worry about residual value in 3 years or a trade in. It’s always been my biggest fear with purchasing a new EV, with every manufacturer entering the EV game, resale values I imagine, will really plummet in years to come.

 

[Mateo83]

YES, All our Teslas are worth less now. I love it! Tesla please keep dropping prices. Forget about driving off the lot for 20% hit, Tesla says we can do 40 or 50% less drop! Go Tesla!

Right!, I wish they cared more about 12 months ago. When MYP was $72k out the door

 

[ABQP3D]

I love my Tesla, but the constant price changes makes it unlikely I will buy another one. It’s now $2500 cheaper than I paid 5 weeks ago. Real world it’s less because you can’t get a 2.75% 60 month now and my trade in lost a few hundred in value. This is going to drive away customers. They have to hope they get enough new people and don’t piss off the old as competition will get stronger.

I'm sure you'd feel the same if the price went up $2500 from what your paid 5 weeks ago? Dealerships pull worse price shenanigans all the time, they just do it in secret. There are whole industries built around getting you "the best price" for some random ICE vehicle.

 

[Wattsisname]

Smart move for sure. Mercedes, BMW, Audi, etc, have vehicles that are priced WAY above

I don’t think they can be too concerned about customers that have already purchased. They need to continuously sell hundreds of thousands / millions of cars in order to keep shareholders happy. At the end of the day, of course it’s going to piss some people off, but imagine how many new potential customers they’re able to reach now that prices are down about 25%.

Also, if you’re leasing it’s great! I dont have to worry about residual value in 3 years or a trade in. It’s always been my biggest fear with purchasing a new EV, with every manufacturer entering the EV game, resale values I imagine, will really plummet in years

Surely lease payments will reflect any residual value uncertainty. One way or another, we take the hit not the finance companies. However, you are, as you say, freed from that uncertainty by paying monthly for the eventual worst case scenario.

 

[brkaus]

I thought you have 3 days to return a Tesla. Maybe that's not true anymore. I remembered Elon had said, you can return the car within 3 days.

Not true anymore.

 

[vickh]

Taking delivery on Saturday, this round of price cuts, like the previous, were reflected in the updated order agreement they sent to me this morning. Very kind of them to do that for people who haven't taken delivery. From order date to day, delta is around 6k. Nice little discount for not being able to utilize the fed tax credit.

same here, except I switched to MYAWD which was not avail on menu in Jan. so delta is over $9k!
even better with the fed tax credit.

 

[pipestem]

Modely Y AWD is now the same price as my Model 3 RWD was back in September. If this had been the price I woudl have bought the Y ! I do hate seeing the resale plummet. I did the buy vs lease math based on assuming 15% yearly depreciation but these price drops will kill that equation!!!!

 

[Randy S]

Wow is right. They tried to get me to p/u yesterday. Bullet dodged... again. I wonder how long should I wait now

This does put MYAWD at below release price of $39K once you factor in tax credit

Good move. I got the car on March 17. Lost $5k so far.

 

[zpaul]

YES, All our Teslas are worth less now. I love it! Tesla please keep dropping prices. Forget about driving off the lot for 20% hit, Tesla says we can do 40 or 50% less drop! Go Tesla!

I never consider any car/boat as investment.
If you buy brand new BMW 5 series, in 3 years it looses 50% of it's value and has only 40k miles on it.
From what I see with Teslas even first year Model S hold their value.

Covid created a perfect storm, whatever the reason is - more expensive components or Elon capturing the hype where people paid $65k for MY LR.

Although, during those days I considered MY as Investment. Paid $49 and dealers were offering me $70k for it Should've sold it, but my family voted NO.

$54k for MYP is a steal right now, and with $7.5k credit ICE vehicles are in trouble.

 

[vickh]

Good move. I got the car on March 17. Lost $5k so far.

just luck and still cross shopping PH+EVs is why. But TSLA just made it very hard to beat MYAWD to any PH+EV SUVs, even used pricing.

 

[LDLP]

I just took delivery of my new MYLR on Saturday which was a pretty quick turn around time. i wonder if that was because they knew prices were going to drop again. i wish they would at least provide something to customers that purchased within a time window. i look at is as a 2k loss

 

[Midnightsun]

I have had several expensive brands over the years and none of them ever held much value, usually half or less after 3 years. Only thing that seems to actually hold value are pickup trucks nowadays.

Come sell your used one up here in Canada because they still go for $72,000 CAD on line with Tesla. In the US after conversion they come out to around $63,000 CAD

 

[zoomer0056]

Looks like yet another just happened. US: Tesla Reduced Model 3/Model Y Prices Again By $2,000-$3,000

That's $42000 with incentive ... really affordable.

 

[vickh]

I know it hurts, but another factor is interest rates almost doubling since peak pricing. A lot of people are paying half monthly who bought during low rates.

I had the same thing happen when I bought a new house in 2007. My neighbor paid half for exact same model 2 years after!

 

[Marcus 207]

Elon just making sure it qualifies for $7500.
So it took 2 years for people who waited for $7500 to get it.
Now it is definitely better price then $49k I paid 2 years ago.
BUT I put 30k on MY and enjoyed every single days of it, except for some rattles

Good point!