It still stands to reason that the Tesla Model 3 holds value better than other vehicles. While having the highest number of preorders of any car ever made, it has proven to be the vehicle that loses the smallest amount of its initial value after a year. “The Tesla Model 3 had the highest numbers of preorders of any car ever produced and its backlog of orders helped further drive the high demand for the vehicle,” said Ly Phong of iSeeCars in an email sent to CleanTechnica earlier this year. iSeeCars had found that the Model 3 had — by far — the lowest depreciation of any model on the US market after one year. How much lower? Check it out:
Yes, its value depreciated, on average, 5.5% after one year, according to iSeeCars, whereas the second best Ford Ranger had seen its value drop by 11.4%
The BMW 3 Series saw depreciation of 38.2%. Thirty-eight point two percent! Is there any wonder the Model 3 dominates midsized luxury car sales?
In addition to depreciating more slowly, several CleanTechnica analyses have shown that used Tesla Model 3s are on the market for a much shorter time than their competition, which surely contributes to their lower depreciation in general.
The Model 3 Isn’t Tesla’s Only Valuable Product
Tesla is known for making EVs that are durable, stylish, beautiful, and that last. Last year I wrote an article that covered a Reddit chat about a Model S. The owner shared that his battery was at 98% capacity 7 years after he got his car. It is true that Tesla vehicles, like all cars, lose some of their value over time, but there is a chance that changes for a short period of time. Once Full Self Driving is implemented, and in a world where regulations allow robotaxi services, Elon Musk and many others think that Tesla vehicles could appreciate in value (a great deal even) compared to their initial purchase price.
What keeps these cars from losing value as their competitors do is an array of things that range from how they are made to the software installed in them. The latter is an ocean of wonders for anyone to dive into. It enables a car to do more than regular cars do. For example, I don’t see a BMW making fart sounds and you can’t sing karaoke in them. For many, these are features that have been added since their purchases their cars — as well as the ability to watch Netflix, Hulu, or YouTube in the car; several video games; and much more advanced Autopilot. The biggie, though, is going to be if Full Self Driving is achieved and your car can suddenly moonlight as a robotaxi.
“I’m extremely confident that Level 5 or essentially complete autonomy will happen, and I think will happen very quickly. I think, at Tesla, I feel like we are very close to Level 5 autonomy. I think — I remain confident that we will have the basic functionality for Level 5 autonomy complete this year,” Elon Musk said in his video presentation at the virtual World AI Conference held last month.
Just think, 50 years from now, the value of these cars will increase due to just how historical they are. The Model 3, especially the older ones, will be considered “OG” by the newer generations. Other automakers will most likely build their own versions of electric vehicles based on the roadmaps that Tesla has set up for them. Tesla has already set the bar high — when it comes to not just electric cars, but cars in general. Many associate Tesla with luxury, and even a used Tesla would be appreciated over new models from brands such as Mercedes-Benz or Audi.
Have a tip for CleanTechnica? Want to advertise? Want to suggest a guest for our CleanTech Talk podcast? Contact us here.
Latest CleanTechnica.TV Video
Advertisement
CleanTechnica uses affiliate links. See our policy here.