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

[ck00027]

With all of the takeaways on the vehicles since I got my M3LR last June that I ordered in March, I'm glad I got mine then. Love every minute I'm in mine.

 

[LDLP]

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!

This is true. Interest right now on new loans are 6 or 7%.

 

[mcb345]

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.

Very true! I won’t personally be under water but Tesla sure won’t be either with the Mo they payment we lessees make!

 

[Palisandr]

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

$9K CAD is the privilege to live in Canada (taxes).

 

[mcb345]

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!!!!

The good news is you didn’t buy a model S or X that will plummet 50% ($50k) in 3 years! It’s those super pricey Tesla models that will be taking a beating in terms of total dollars. You’ll do alright with the cheapest model.

 

[rzn89]

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.

But dealerships do this in secrecy. I could go buy a Lexus RX350 for $500 under msrp and they could sell same car for 2k over 5 min later and no one will know. I'm not loosing $$ as I will probably never sell this car until it has no value in 12-15 years. I do have a cyber truck on order. There is no way I will take delivery on it, it could be 7k cheaper in 3 months. I will eventually cancel and get my $100 back.

I think all the price changes are nonsense including increases. $500 sure but 3k swings is allot and will annoy existing customers. Especially ones who took delivery in the last 7 days.

 

[beewang]

But dealerships do this in secrecy. I could go buy a Lexus RX350 for $500 under msrp and they could sell same car for 2k over 5 min later and no one will know. I'm not loosing $$ as I will probably never sell this car until it has no value in 12-15 years. I do have a cyber truck on order. There is no way I will take delivery on it, it could be 7k cheaper in 3 months. I will eventually cancel and get my $100 back.

I think all the price changes are nonsense including increases. $500 sure but 3k swings is allot and will annoy existing customers. Especially ones who took delivery in the last 7 days.

Don't you think you're feeling this way because Tesla is more transparent whereby the traditional dealer... I suppose what you don't know can't hurt you is that why you're saying?

Cheers
beewang

 

[WhiteOnWhiteMY]

Woot, love my car value dropping faster than anything else I’ve ever owned! Not even going to begin to debate why MSRP changes on cars like this should not already be regulated. What does MSRP even mean at this point?

 

[tewest86]

I've had a Y LR on order since March 6th... with an estimated delivery of April, then May, then June... they lowered the price a couple weeks back and also updated my order with the adjusted prices, I hadn't locked in a loan yet since it wasn't in the 30 day window... once they lowered them, I decided to apply for the loan and my delivery date moved up to May 2nd... now prices have dropped another 3k!! Still showing possible April delivery for brand new orders!! Did anyone who already applied for a loan, get it adjusted when they dropped the prices a couple of weeks ago? Another 3k is worth placing a new order, losing $250 down payment and "maybe" waiting a little longer for the car...

Is it a loan through Tesla? If you were approved for the higher amount then you will be approved for the lower amount. Unless you took delivery, you cost should update. YOur loan will then update.

 

[ArizonaFish]

As someone who bought a Model Y after the first price drop is there a class action lawsuit I can join? (I'm kidding)

 

[Midnightsun]

$9K CAD is the privilege to live in Canada (taxes).

Not sure I follow you an that one as the $72,000 price does include destination changes but not tax. After the provincial and federal sales taxes are added, it comes to $82,000 CAD Which is about what I paid for our 2020 model Y back then.

 

[tewest86]

But dealerships do this in secrecy. I could go buy a Lexus RX350 for $500 under msrp and they could sell same car for 2k over 5 min later and no one will know. I'm not loosing $$ as I will probably never sell this car until it has no value in 12-15 years. I do have a cyber truck on order. There is no way I will take delivery on it, it could be 7k cheaper in 3 months. I will eventually cancel and get my $100 back.

I think all the price changes are nonsense including increases. $500 sure but 3k swings is allot and will annoy existing customers. Especially ones who took delivery in the last 7 days.

Not apples to apples. When I got to sell/trade the RX350, value will be calculated based over depreciation from original sticker. With the price drop with Tesla, the everything will be based out this latest price drop. I guarantee the auction books have updated the used price of the Teslas.

 

[mwestk]

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

why is Canada so much more expensive? couldn't someone buy a couple in the US and drive it over the border and sell to private party to make a quick 20-25k?

 

[mwestk]

This is true. Interest right now on new loans are 6 or 7%.

its 5.49% on 48/60/72 months from tesla

 

[Happy Hippo]

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.

I would never considered a car/ boat as an investment, I guess you did back then but I never did. I purchased multiple BMW and I never lost 50% of my value, ever. I agree with you, ICE cars are in deep trouble!! Now I think the M3 is even cheaper than a should I say the "P" word, Prius? lol

 

[rzn89]

Woot, love my car value dropping faster than anything else I’ve ever owned! Not even going to begin to debate why MSRP changes on cars like this should not already be regulated. What does MSRP even mean at this point?

For most companies MSRP is Manufacturers Suggested Retail Price.

For Tesla MSRP is

Manufacturers Silly Rotating Prices.

 

[Happy Hippo]

Based on the price decreases, it will have no value in 4 -5 years or when the refreshed M3 and MY come out later in the year or next.

But dealerships do this in secrecy. I could go buy a Lexus RX350 for $500 under msrp and they could sell same car for 2k over 5 min later and no one will know. I'm not loosing $$ as I will probably never sell this car until it has no value in 12-15 years. I do have a cyber truck on order. There is no way I will take delivery on it, it could be 7k cheaper in 3 months. I will eventually cancel and get my $100 back.

I think all the price changes are nonsense including increases. $500 sure but 3k swings is allot and will annoy existing customers. Especially ones who took delivery in the last 7 days.

 

[Randy S]

Some rattles?

 

[pipestem]

The good news is you didn’t buy a model S or X that will plummet 50% ($50k) in 3 years! It’s those super pricey Tesla models that will be taking a beating in terms of total dollars. You’ll do alright with the cheapest model.

The grass is always browner on the other side

 

[pipestem]

I would never considered a car/ boat as an investment, I guess you did back then but I never did. I purchased multiple BMW and I never lost 50% of my value, ever. I agree with you, ICE cars are in deep trouble!! Now I think the M3 is even cheaper than a should I say the "P" word, Prius? lol

I've always heard the Model 3 is the new Corolla. Maybe now the new Prius.

The car is an account, an investment. You put money into it and expect some rate of return, in this case negative. You want to maximize your return (minimize your loss) just like you want to maximize your return on a postive investment. Any time you spend money it's an investment, Anything can be bought and sold.