How Much Can I Get in 2023?

Tesla’s recent price reductions and the $7,500 Federal Clean Vehicle Credit are making latest Teslas inexpensive to more EV adopters than ever. Right away, current Tesla owners who need to buy a latest Tesla are in an incredible position to make the swap.

You could be wondering if you happen to can use Tesla’s own Trade-In offer to bring those latest Tesla numbers down even further. And while the Model S and Model X don’t qualify for the Federal EV Tax Credit, on the time of writing Tesla is offering an additional $3,000 off or 3 years of Free Supercharging to those that trade their automobile to Tesla to buy either the S or the X.

So how does Tesla’s Trade-In offer compare to other methods of selling your Tesla?

In a previous blog post about Tesla Trade-Ins, we talked about general trade-ins and vehicle requirements. Today, we’re covering a bit of of the identical ground, but this text is specifically focused on trading Teslas back to Tesla (as a substitute of the trade-in program as an entire).

Let’s take a have a look at what Tesla might offer to your vehicle, what aspects influence their offer, and the way you possibly can get the perfect price to your old Tesla when you should buy a latest one.

Disclaimer: this text is for informational purposes only, and shouldn’t be intended to offer or relied on for accounting, tax, or legal advice. We’re EV experts, not tax professionals; please seek the advice of your personal accounting, tax, and legal advisors before engaging in any transaction.

Why Trade Your Tesla Back to Tesla?

First off, while Tesla isn’t within the resale business, they do expect to make a profit off of their used inventory (trade-ins and expired leases, for essentially the most part). So while your 2019 Tesla Model 3 may fetch a premium on the private used market or a great return from a dealer, it’s less prone to get an incredible price from Tesla.

For those who aren’t going to get the perfect price to your Tesla by trading it in, why trouble? Well, there are a few potential benefits to trading in your Tesla which may make sense:

Sales Tax Reduction

For many states, automobile sales are subject to state and native sales tax. It mainly breaks down into this formula:

Sales tax rate * (Sales Price + Destination Fee) = Sales Tax

In lots of states, you possibly can reduce the quantity of sales tax you pay by trading in an old automobile to scale back the price of a latest automobile.

Let’s say that sales tax number is around 7% (the actual number varies by location), and also you’re seeking to purchase a 2023 Model 3 Performance. With a base MSRP of $53,990 and destination fee of $1,390 (yeah, you sometimes include Tesla’s destination fee in these calculations), sales tax to your latest Model 3 Performance might look something like this:

0.07 * ($53,990 + $1,390) = $3,876.60

In case your old Tesla, let’s say it’s a 2014 Model S P85D, gets a trade-in value of $20,000 from Tesla, then you definitely’d only be paying sales tax on a part of your latest Tesla’s purchase price:

Sales tax rate * ((Sales Price + Destination Fee) – Trade-in Value) = Sales Tax

0.07 * (($53,990 + $1,390) – $20,000) = $2,476.60

While this is barely a difference of $1,400, it’s still a reimbursement in your pocket while you’re attempting to work out the perfect solution to sell your used Tesla. Nonetheless, in a number of states this doesn’t matter: Recent Hampshire, Delaware, Oregon, Montana, and Alaska don’t charge sales tax on latest vehicle sales. And Recent Jersey does, but not on EVs.

Note: some states handle this sales tax situation otherwise, so it’s best to ask your financial advisor and take a look at your local laws before making a trade-in to avoid surprises, and do your personal due diligence here.

Let’s have a look at the opposite reason trading-in could be preferable to a non-public or dealership sale:

Straightforward Exchange (Low Hassle or No Hassle Automobile Sales)

For those who trade-in to Tesla, they’ll take your old Tesla in your latest Tesla’s Delivery Day, so that you’ll at all times have a ride. The cash is easier, too; every little thing is handled inside the same transaction flow, reflected on the identical receipt, accomplished through the identical bank, etc. This process makes the entire exchange relatively hassle-free.

The one exception to the Tesla trade-in process being easy has to do with a possible sudden change in value to your trade-in if delivery day gets delayed beyond your trade-in offer terms. But Tesla’s recent fast production times have made this example a bit rarer than it was in previous years.

Does Tesla negotiate on trade-in values? The short answer is not any. Low hassle really means that you’ll haven’t any bargaining power with Tesla over their offer; what they provide is what you’ll get. That lack of negotiation generally is a problem if you will have any of the software or features described in the subsequent section of this text.

While we won’t argue that it’s pretty straightforward, trading in your automobile to Tesla may not make essentially the most financial sense. But before we speak about alternatives (you possibly can skip to the last section of this text if you happen to’re pressed for time), let’s talk Tesla trade-in values:

How Does Tesla Calculate Your Trade-In Value?

Tesla uses their very own in-house calculation for trade-ins involving their very own vehicles. The worth is predicated on the configuration of your Tesla, model 12 months, mileage, and condition. It’ value noting that Tesla is less concerned with the cleanliness of your trade-in than places like CarMax and Carvana, though technically condition does affect your trade-in value.

A basic solution to have a look at Tesla’s Trade-In policy is that this: the closer to original “stock” condition and the newer your Tesla is, the upper the trade-in value it has. And while we are able to’t provide you with a direct price quote for every Model 12 months, we are able to provide you with a general idea of what trade-in values to expect for every Tesla Model:

Note: to maintain things simpler, we’re going to depart the unique Tesla Roadster out of those estimates.

Estimated Tesla Trade-In values for the Model S

Trade-in values for a Model S can range anywhere from $15,000 to $82,000 depending on the condition of the automobile, mileage, and so forth. Because the Model S goes all the way in which back to 2014, it has the widest range of potential trade-in values.

We’re going to assume that the Model S you’re trading in is in average condition with average mileage for that model 12 months. Tesla’s trade-in value for the Model S should typically fall somewhere between the low offer (assuming a smaller battery pack and base options) and the high offer (the perfect trade-in price, likely just for the most important battery pack and with the best performance option):

Model S Yr	2014-2016	2017	2018	2019	2020	2021	2022
Low End Offer	$15,000	$28,000	$30,000	$36,000	$46,000	$50,000	$68,000
High End Offer	$30,000	$40,000	$45,000	$50,000	$53,000	$58,000	$82,000

Tesla Model 3 Trade-In Value

Model 3 trade-in values from Tesla range from $20,000 to $48,000 depending on mileage, condition, etc.

Assuming the Model 3 is in average condition with average mileage for that model 12 months, let’s have a look at the high and low range prices that Tesla might offer to your Model 3:

Model 3 Yr	2017	2018	2019	2020	2021	2022
Low End Offer	$18,000	$20,000	$21,000	$22,000	$24,000	$30,000
High End Offer	$25,000	$30,000	$31,000	$35,000	$43,000	$48,000

How Much Is a Model X Price for Trade-In?

While Model X prices have stayed relatively high, Model X trade-in values from Tesla can range anywhere from $30,000 to $90,000 depending on the automobile’s condition, mileage, etc. The primary two years of the Model X (2016 and 2017) may tend towards a lower offer price due to a few of the early design issues related to the gull wing doors (with a high likelihood of needing repairs).

Here’s an estimated Tesla trade-in value chart for the Model X, arranged by model 12 months with lowest and highest likely offers (lower might be for a base model with the smallest battery, and better will likely be just for performance models with the larger battery pack):

Model X Yr	2016	2017	2018	2019	2020	2021	2022
Low End Offer	$26,000	$29,000	$35,000	$44,000	$54,000	$68,000	$80,000
High End Offer	$35,000	$43,000	$50,000	$70,000	$65,000	$83,000	$90,000

Tesla Model Y Trade-In Value

Trade-in values from Tesla for the Model Y range from $40,000 to $58,000. That price depends on mileage, model 12 months, condition, market trends, etc.

For a 2020, 2021, or 2022 Model Y in average condition with average mileage for its model 12 months, you would possibly expect trade-in offers from Tesla between the high and low values on the next chart:

Model Y Yr	2020	2021	2022
Low End Offer	$30,000	$32,000	$35,000
High End Offer	$45,000	$47,000	$49,000

The very best solution to learn the way much Tesla will give you to your used Tesla? Log in to the app and ask!

Tesla’s Trade-In Estimate is on the market to any current owner and Tesla account holder. All you should do is provide your VIN and a few info. Tesla’s trade-in value calculator only gives an estimate, not an actual offer, so there’s no must worry about it being binding.

Known Aspects that Reduce Your Tesla Trade-In Offer

We do know of two additional aspects (aside from the same old age, condition, and mileage) that make a Tesla trade-in offer lower than the offer at a good EV dealer or on the private market.

First, Tesla doesn’t provide you with any value to your Full Self-Driving (FSD) or Enhanced Autopilot (EAP) software, even if you happen to recently paid full price. If you will have purchased FSD for the used Tesla you’re hoping to trade, it’s almost a guarantee that Tesla’s trade-in offer might be 1000’s lower than a non-public offer (or the offer of an EV informed dealership).

Next, although you will have spent 1000’s on aftermarket improvements to your vehicle, Tesla wants the cars they buy back to be as near the unique sales condition as possible (otherwise often known as stock condition). Aftermarket mods aren’t just worthless to Tesla; they’re a negative for any trade-in. Expect to see your trade-in offer drop while you tell Tesla your vehicle has mods like aftermarket wheels, paint wraps, and suspension upgrades.

What’s a Higher Low-Hassle Method to Sell Your Tesla?

So does Tesla give good trade-in values? If convenience is your biggest priority and money doesn’t matter all that much, Tesla’s offer won’t be too bad.

Nonetheless, Tesla’s offer is often significantly lower than the offer you would possibly get from a knowledgeable EV dealer or private sale. Worse, the sales tax profit from a trade-in doesn’t typically come near covering that difference.

The excellent news is that an incredible offer and convenience aren’t mutually exclusive. That’s why we created our EV Money Offer program: to show you how to get the perfect of each worlds when selling your used Tesla.

Our dealership partners are EV experts who’re able to make you an actual offer in your Tesla with just in regards to the same amount of knowledge as you’d have to offer for Tesla’s trade-in program. And in contrast to Tesla, our Dealer Partners do appreciate the worth of your vehicle’s software and aftermarket mods.

Similar to Tesla’s trade-in estimate, the money offer our trusted dealerships make isn’t binding. There’s no obligation to just accept, but if you happen to do like what you see, the offer is real and able to go. Even the inspection is convenient; every time possible, inspections are done virtually so you possibly can get your automobile inspected from the comfort of your personal home.

Try our EV Money Offer to see what our trusted Dealer Partners can offer to your Tesla!

Not interested by dealerships, but wish to try your hand at selling your used Tesla yourself?

Create a list to your Tesla and sell it on Find My Electric! We’re the #1 used EV marketplace within the US, with 1000’s of buyers on the lookout for their next EV every day!