Model 3P resale prices

[Turknhoff]

Hi all, I have an out of curiosity question that I was wondering if someone has a crystal ball to answer for me please
I have a model3P, its on a 21 plate with the white seats in excellent condition and has been ceramic coated with 25 thousand miles on the clock, I bought the car outright and I've loved every mile driven, no issues she's been a fantastic car, my question is in two parts though.
Part 1; I find myself at 58 years old about to be made unemployed and therefore I'm thinking of taking early retirement and calling the whole working nonsense a day, I'm not wealthy but through some small investments and a private pension I'll get by as they say. My future mileage will probably drop to less than 3k a year as I won't necessarily need a car anymore but I would like to keep it as I like it so much, I don't know about everyone else who owns an EV but I've lost a small fortune on this car, what I've saved on fuel I have lost ten times over on depreciation, I think it's currently priced between 31-33k or around there somewhere, being the performance model and Tesla now don't currently make the P version of the model 3 will this particular car hold it's price better than say a rwd or long range?
And with the continuing trend for Tesla's resale prices in the uk are we going to continue to see these price drops?
Part 2; Here's my biggest dilemma, this June it has one year left on the bumper to bumper warranty, this would be the best time to sell whilst still in a good warranty period or do I just keep her for the next five years, take an extended warranty from Tesla when it becomes available and hope that in 4-5 years time it wouldn't be worth a miserly third of what she's worth now.
Thanks for reading and any thoughts would be appreciated

 

[WannabeOwner]

I have lost ten times over on depreciation

Market has been like that for many models, so likely you would have lost as much with other marques. But ...

with the continuing trend for Tesla's resale prices in the uk are we going to continue to see these price drop

Yes (my crystal ball), Tesla has big margins (more than other EV makers) and it is building a new factory each year, so needs to sell another 0.5M cars a year, each year - I think they are likely to use their higher margin for a price war. Also battery prices are falling (or new tech will mean same capacity from a smaller battery)

one year left on the bumper to bumper warranty

Tricky. It might live on and run fine. EVs don't need much in the way of maintenance ... but if something breaks it might be an expensive repair.

I think 3rd party EV mechanics will come along (they have in Norway). Only one whose name I see come up here is Cleevely Motors ... so we are a few years away from that being a widespread solution.

If it was me (retiring, needing to contain my costs) I would be balancing the risk of owning an aging M3 with "If I sold it, what would I replace it with"

 

[GlynG]

Very very similar to my circumstances. I bought my 2020 M3p outright, white interior and my warranty runs out in March, but no intention of having any extended warranty, the car has been faultless and still only covered 9800miles. car is immaculate - no scratches dinks or dents. I'm 68, retired at 55 and depreciation hasn't been kind but I do love the way my car drives. At 4 years old the depreciation rate will slow down, its just about lost as much as its likely to do until the battery warranty runs out - but i certainly wont be loosing any sleep over that.

The car has 5 years warranty on the restraints systems and 8 years on the battery and drivetrain so in my view I'm prepared to take the risk of something going wrong and may have to pay to get it fixed - but - I've not had to pay a single penny out for the car so far, No VED, No maintenance, charge from solar for 9 months of the year completely free.
If I buy another car I will take another depreciation hit, and run similar risks within a few years, I'm sure I will stick with EV and to be honest even though Electric Jesus is completely bonkers, Tesla for me is still the best overall EV package available - though the BYD Seal is tempting. (and could be a real consideration if all Tesla's superchargers open up to all EVs)

Extended warranties may be useful providing the small print doesn't exclude wear and tear or semantics that exclude a part until it completely fails and even so - premiums are calculated to provide a profit for the company who have completed detailed research to know what the average cost of repair is on the average car travelling average miles - so the odds are stacked in my favour but ultimately its me absorbing the risk and betting I will spend less on repairs than a policy would cost me.

I'm also very prone to using the Consumer Act on any business and presenting a case to the small claims court - so in the event of a failure of an expensive - but out of warranty part, I'm happy and comfortable to make a case that under the consumer act the failed part has failed to last a reasonable amount of time and was not fit for purpose or of adequate strength and composition - which should cover those items for at least until the car is 6 or 7 years old - you know those parts that are known to fail prematurely like suspension joints.

On leaving school i was an apprentice motor mechanic - so am competent at tackling most jobs and indeed parts for the model 3 are a bit easier to get hold of nowadays and the Tesla is just a car.

I have of course personalised the car, fitted power boot and bonnet kits, sequential indicators, illuminated sill plates, and a whole host of minor additions, car still looks stock but I've spent maybe £3K adding functions and trim that enhance my enjoyment of the car, I'm not at all tempted by the Highland either - so I'm sticking with what i have.

I, like you (will be) don't need a car - I just want one, as I've always loved cars, My wife has a car so access to transport would always be available and this provides a hidden benefit. If my M3P develops a fault that puts it off the road it wont create a panic or catastrophic issue because I don't need to go to work or be anywhere regularly - so repair can be at my leisure to source parts when i want to.
The way I'm looking at it - If the sh1te hit the fan tomorrow and I had to drop £2-3K on the car immediately to have it back on the road then its no big deal. The depreciation doesn't hurt me either because I've only really lost money when the car gets sold, the car is as good today as it was when i bought it and the money spent years ago is old dead money - money I've long forgotten about years ago.

Your decision is indeed personal and how risk averse you are, the choices are taking a big depreciation hit, sell the car now and buy a new one - and be in a similar position in 3 years time (cars typically loose 50% in 3 years) - so every three years you pay an additional £25K to keep a car with a warranty - so £8300 per year - do you really think your current car will cost that per year paying for fault rectification?
Retirement is about enjoying life, doing the things you always wanted to - the wage slave days are behind you, irrespective of if your wealthy or fairly comfortable £8.3K per year is a big commitment just to have a car you will drive a couple of K miles per year.
You would be better off spending £8K on a solar system with a battery and enjoy free charging of the car for 9 months per year and at 20MPH in Wales you'll get 5 miles per Kwhr.

Good luck with your dilemma and your decision

 

[SR-Plus]

I paid for mine outright, if I sell now, it would cost me £10k per annum depreciation. If I kept it until it was 10 years old and assume a zero residual value then my annual depreciation drops to £4k per annum on average. So this is alot more palatable, assuming maintenance continues to be at a minimum…..all cars need maintenance.

Yes I could sell now and buy another. And then do the same in another 3 years but I’d be losing another 20k-30k each time. I have no doubt a Model 3 will easily last 10 years it’s not as complicated as the S or X. After all, the S is now approaching this 10year anniversary in the UK this year and they still look in good shape.

 

[Turknhoff]

Very very similar to my circumstances. I bought my 2020 M3p outright, white interior and my warranty runs out in March, but no intention of having any extended warranty, the car has been faultless and still only covered 9800miles. car is immaculate - no scratches dinks or dents. I'm 68, retired at 55 and depreciation hasn't been kind but I do love the way my car drives. At 4 years old the depreciation rate will slow down, its just about lost as much as its likely to do until the battery warranty runs out - but i certainly wont be loosing any sleep over that.

The car has 5 years warranty on the restraints systems and 8 years on the battery and drivetrain so in my view I'm prepared to take the risk of something going wrong and may have to pay to get it fixed - but - I've not had to pay a single penny out for the car so far, No VED, No maintenance, charge from solar for 9 months of the year completely free.
If I buy another car I will take another depreciation hit, and run similar risks within a few years, I'm sure I will stick with EV and to be honest even though Electric Jesus is completely bonkers, Tesla for me is still the best overall EV package available - though the BYD Seal is tempting. (and could be a real consideration if all Tesla's superchargers open up to all EVs)

Extended warranties may be useful providing the small print doesn't exclude wear and tear or semantics that exclude a part until it completely fails and even so - premiums are calculated to provide a profit for the company who have completed detailed research to know what the average cost of repair is on the average car travelling average miles - so the odds are stacked in my favour but ultimately its me absorbing the risk and betting I will spend less on repairs than a policy would cost me.

I'm also very prone to using the Consumer Act on any business and presenting a case to the small claims court - so in the event of a failure of an expensive - but out of warranty part, I'm happy and comfortable to make a case that under the consumer act the failed part has failed to last a reasonable amount of time and was not fit for purpose or of adequate strength and composition - which should cover those items for at least until the car is 6 or 7 years old - you know those parts that are known to fail prematurely like suspension joints.

On leaving school i was an apprentice motor mechanic - so am competent at tackling most jobs and indeed parts for the model 3 are a bit easier to get hold of nowadays and the Tesla is just a car.

I have of course personalised the car, fitted power boot and bonnet kits, sequential indicators, illuminated sill plates, and a whole host of minor additions, car still looks stock but I've spent maybe £3K adding functions and trim that enhance my enjoyment of the car, I'm not at all tempted by the Highland either - so I'm sticking with what i have.

I, like you (will be) don't need a car - I just want one, as I've always loved cars, My wife has a car so access to transport would always be available and this provides a hidden benefit. If my M3P develops a fault that puts it off the road it wont create a panic or catastrophic issue because I don't need to go to work or be anywhere regularly - so repair can be at my leisure to source parts when i want to.
The way I'm looking at it - If the sh1te hit the fan tomorrow and I had to drop £2-3K on the car immediately to have it back on the road then its no big deal. The depreciation doesn't hurt me either because I've only really lost money when the car gets sold, the car is as good today as it was when i bought it and the money spent years ago is old dead money - money I've long forgotten about years ago.

Your decision is indeed personal and how risk averse you are, the choices are taking a big depreciation hit, sell the car now and buy a new one - and be in a similar position in 3 years time (cars typically loose 50% in 3 years) - so every three years you pay an additional £25K to keep a car with a warranty - so £8300 per year - do you really think your current car will cost that per year paying for fault rectification?
Retirement is about enjoying life, doing the things you always wanted to - the wage slave days are behind you, irrespective of if your wealthy or fairly comfortable £8.3K per year is a big commitment just to have a car you will drive a couple of K miles per year.
You would be better off spending £8K on a solar system with a battery and enjoy free charging of the car for 9 months per year and at 20MPH in Wales you'll get 5 miles per Kwhr.

Good luck with your dilemma and your decision

Thanks GlynG, nice to hear from someone in a similar situation to mine, we have the solar and battery system at home and like you benefit from practically free summer months driving, really on the fence about about keeping it, I always said I’d never have one of these out of warranty as the options for any parts that are needed to repair if things went wrong are non existent outside of Tesla, it would be nice to see the depreciation slowing down a bit as I’d expect after that initial three year period, on the flip side they are damn great cars, took ours to the French alps for a week and it performed perfectly, cheap even at supercharging rates. Fantastic to drive and so nice not having an engine and all the faff that comes with an ice car.
Lots to think about and thanks again for the reply

 

[Pagemakers]

Hi all, I have an out of curiosity question that I was wondering if someone has a crystal ball to answer for me please
I have a model3P, its on a 21 plate with the white seats in excellent condition and has been ceramic coated with 25 thousand miles on the clock, I bought the car outright and I've loved every mile driven, no issues she's been a fantastic car, my question is in two parts though.
Part 1; I find myself at 58 years old about to be made unemployed and therefore I'm thinking of taking early retirement and calling the whole working nonsense a day, I'm not wealthy but through some small investments and a private pension I'll get by as they say. My future mileage will probably drop to less than 3k a year as I won't necessarily need a car anymore but I would like to keep it as I like it so much, I don't know about everyone else who owns an EV but I've lost a small fortune on this car, what I've saved on fuel I have lost ten times over on depreciation, I think it's currently priced between 31-33k or around there somewhere, being the performance model and Tesla now don't currently make the P version of the model 3 will this particular car hold it's price better than say a rwd or long range?
And with the continuing trend for Tesla's resale prices in the uk are we going to continue to see these price drops?
Part 2; Here's my biggest dilemma, this June it has one year left on the bumper to bumper warranty, this would be the best time to sell whilst still in a good warranty period or do I just keep her for the next five years, take an extended warranty from Tesla when it becomes available and hope that in 4-5 years time it wouldn't be worth a miserly third of what she's worth now.
Thanks for reading and any thoughts would be appreciated

I’ve got a 2019 3P. Immaculate. FSD. 39,000 miles.

Late October Tesla offered me £29,900. 8 weeks later they offered me £19,000.

Good luck!

 

[Turknhoff]

Very very similar to my circumstances. I bought my 2020 M3p outright, white interior and my warranty runs out in March, but no intention of having any extended warranty, the car has been faultless and still only covered 9800miles. car is immaculate - no scratches dinks or dents. I'm 68, retired at 55 and depreciation hasn't been kind but I do love the way my car drives. At 4 years old the depreciation rate will slow down, its just about lost as much as its likely to do until the battery warranty runs out - but i certainly wont be loosing any sleep over that.

The car has 5 years warranty on the restraints systems and 8 years on the battery and drivetrain so in my view I'm prepared to take the risk of something going wrong and may have to pay to get it fixed - but - I've not had to pay a single penny out for the car so far, No VED, No maintenance, charge from solar for 9 months of the year completely free.
If I buy another car I will take another depreciation hit, and run similar risks within a few years, I'm sure I will stick with EV and to be honest even though Electric Jesus is completely bonkers, Tesla for me is still the best overall EV package available - though the BYD Seal is tempting. (and could be a real consideration if all Tesla's superchargers open up to all EVs)

Extended warranties may be useful providing the small print doesn't exclude wear and tear or semantics that exclude a part until it completely fails and even so - premiums are calculated to provide a profit for the company who have completed detailed research to know what the average cost of repair is on the average car travelling average miles - so the odds are stacked in my favour but ultimately its me absorbing the risk and betting I will spend less on repairs than a policy would cost me.

I'm also very prone to using the Consumer Act on any business and presenting a case to the small claims court - so in the event of a failure of an expensive - but out of warranty part, I'm happy and comfortable to make a case that under the consumer act the failed part has failed to last a reasonable amount of time and was not fit for purpose or of adequate strength and composition - which should cover those items for at least until the car is 6 or 7 years old - you know those parts that are known to fail prematurely like suspension joints.

On leaving school i was an apprentice motor mechanic - so am competent at tackling most jobs and indeed parts for the model 3 are a bit easier to get hold of nowadays and the Tesla is just a car.

I have of course personalised the car, fitted power boot and bonnet kits, sequential indicators, illuminated sill plates, and a whole host of minor additions, car still looks stock but I've spent maybe £3K adding functions and trim that enhance my enjoyment of the car, I'm not at all tempted by the Highland either - so I'm sticking with what i have.

I, like you (will be) don't need a car - I just want one, as I've always loved cars, My wife has a car so access to transport would always be available and this provides a hidden benefit. If my M3P develops a fault that puts it off the road it wont create a panic or catastrophic issue because I don't need to go to work or be anywhere regularly - so repair can be at my leisure to source parts when i want to.
The way I'm looking at it - If the sh1te hit the fan tomorrow and I had to drop £2-3K on the car immediately to have it back on the road then its no big deal. The depreciation doesn't hurt me either because I've only really lost money when the car gets sold, the car is as good today as it was when i bought it and the money spent years ago is old dead money - money I've long forgotten about years ago.

Your decision is indeed personal and how risk averse you are, the choices are taking a big depreciation hit, sell the car now and buy a new one - and be in a similar position in 3 years time (cars typically loose 50% in 3 years) - so every three years you pay an additional £25K to keep a car with a warranty - so £8300 per year - do you really think your current car will cost that per year paying for fault rectification?
Retirement is about enjoying life, doing the things you always wanted to - the wage slave days are behind you, irrespective of if your wealthy or fairly comfortable £8.3K per year is a big commitment just to have a car you will drive a couple of K miles per year.
You would be better off spending £8K on a solar system with a battery and enjoy free charging of the car for 9 months per year and at 20MPH in Wales you'll get 5 miles per Kwhr.

Good luck with your dilemma and your decision

I’ve got a 2019 3P. Immaculate. FSD. 39,000 miles.

Late October Tesla offered me £29,900. 8 weeks later they offered me £19,000.

Good luck!

That’s a crazy price drop, personally I’d sell on autotrader privately as-trade in has always been a rip off. I’ve had some great cars over the years, lots of top end mercs and always lost money on them, the newer they are the more we lose and like GlynG says the only way to is to keep it and enjoy as it’ll hit a certain depreciation point then just stay there till the eight year warranty expires. Maybe sell at seven years and re-buy a used three year old model, perhaps that’s the way to minimise losses.

 

[WannabeOwner]

in my view I'm prepared to take the risk of something going wrong and may have to pay to get it fixed

'Tis a good point. If additional maintenance costs no more than depreciation (if a new car had been bought) then its evens. THat's quite a big budget, even for the more expensive Tesla parts failing

Put the depreciation, of a new car, in a rainy-day ISA?

Like @GlynG I have access to second car, so if my car was off the road it wouldn't be a problem.

 

[GRiLLA]

The depreciation comes predominantly in the first year of ownership, so to step from an older Tesla into a 1 year old doesn't have the same sting. Plus if you fancy a change a 1 year old of other brands are even more depreciated.

Also note that at the moment Tesla don't have an extended warranty option, you'll need to look for a third party (e.g. Cleevley).

 

[UrbanSplash]

Hi all, I have an out of curiosity question that I was wondering if someone has a crystal ball to answer for me please
I have a model3P, its on a 21 plate with the white seats in excellent condition and has been ceramic coated with 25 thousand miles on the clock, I bought the car outright and I've loved every mile driven, no issues she's been a fantastic car, my question is in two parts though.
Part 1; I find myself at 58 years old about to be made unemployed and therefore I'm thinking of taking early retirement and calling the whole working nonsense a day, I'm not wealthy but through some small investments and a private pension I'll get by as they say. My future mileage will probably drop to less than 3k a year as I won't necessarily need a car anymore but I would like to keep it as I like it so much, I don't know about everyone else who owns an EV but I've lost a small fortune on this car, what I've saved on fuel I have lost ten times over on depreciation, I think it's currently priced between 31-33k or around there somewhere, being the performance model and Tesla now don't currently make the P version of the model 3 will this particular car hold it's price better than say a rwd or long range?
And with the continuing trend for Tesla's resale prices in the uk are we going to continue to see these price drops?
Part 2; Here's my biggest dilemma, this June it has one year left on the bumper to bumper warranty, this would be the best time to sell whilst still in a good warranty period or do I just keep her for the next five years, take an extended warranty from Tesla when it becomes available and hope that in 4-5 years time it wouldn't be worth a miserly third of what she's worth now.
Thanks for reading and any thoughts would be appreciated

You’re expecting £33k for it?!

 

[Durzel]

Was going to say the same, OP is not going to be offered 31-33k for it. There’s a decent chance people with late 2022, maybe even early 2023 cars will be offered that kind of money.

I’d suggest a lot depends on how much mileage you plan to do, what your risk profile is, and how impactful it being off the road would be. @GlynG probably a bit of an outlier even as a retiree having only done ~9800 miles. Clearly he doesn’t need the car so can live with it being off the road for extended periods of time and/or prepared to put the work in to minimise costs (small claims isn’t a fast process either).

 

[rincewind]

Tesla for me is still the best overall EV package available - though the BYD Seal is tempting

I drove a Seal recently - see my post here. Imo, the Tesla is still the best overall package. I liked the Seal, but the software needs sorting. Tesla Alternative?

 

[ringi]

I'm not wealthy but through some small investments and a private pension I'll get by as they say. My future mileage will probably drop to less than 3k a year but I would like to keep it as I like it so much

Just had a radical thought.... Why not do at little uber at times of peak demand?

 

[Pagemakers]

Just had a radical thought.... Why not do at little uber at times of peak demand?

I thought the car could do that by itself

 

[Whyone]

Sell the Tesla for what you can get for it and buy a nearly new, heavily depreciated Hyundai or Kia and have the peace of mind of a very long (5 and 7 years from new respectively) manufacturers warranty?

 

[Js1977]

Sell the Tesla for what you can get for it and buy a nearly new, heavily depreciated Hyundai or Kia and have the peace of mind of a very long (5 and 7 years from new respectively) manufacturers warranty?

And hope you never need service or warranty work done on them things. We have two and its a PITA.

 

[Zilla91]

And hope you never need service or warranty work done on them things. We have two and it’s a PITA.

You’ve posted this a number of times. You’ve got a sample size of 1. Why don’t you try another dealership? You may find it’s an entirely different experience

 

[Js1977]

You’ve posted this a number of times. You’ve got a sample size of 1. Why don’t you try another dealership? You may find it’s an entirely different experience

Next dealership is a fair few miles away and it's not a sample of one as ive come across this on youtube without searching and it's the same inefficient service. Not to mention many dealerships belong to the same group/groups.

 

[qwickshot]

Normal cars lose 40-60% of their value in the first 3 years. There is absolutely nothing out of the ordinary for the depreciation of this car. The only thing we have seen is a price correction back to normal depreciation levels thanks to a global pandemic disrupting new car production and shortages.

Prices already levelled out months ago and they aren’t dropping any faster than they would ordinarily do in a normal car market.

The downward pressure from Tesla on pricing isn’t having the impact people on here think it is. The cars are still more expensive than they were in 2019 and 2020. Don’t forget back then there was a £3500 grant back then too.

The whole depreciation conversion is getting rather boring to be honest, it’s like people have forgotten what happened when you bought a £50k car in 2017 and how much it wasn’t worth in early 2020.

As for the OP, it’s up to you what you want to do. I’m not sure what you’ll replace it with as nothing really compares for the same or less money. The cheapest car to buy is normally the one you already have.

The dealer will want to make a cut on the trade in, then there are transport fees, auction fees and the cut the next dealer will want to make. Thats the same on the car you are selling and buying. The reality is changing cars costs thousands even if you are buying like for like. The only way to avoid all the middle men is to sell privately and buy privately. There is nothing new here.

 

[Zilla91]

Next dealership is a fair few miles away and it's not a sample of one as ive come across this on youtube without searching and it's the same inefficient service. Not to mention many dealerships belong to the same group/groups.

Ah yes, YouTube. Because if someone had really good service they’d definitely make a video about it