Tesla is one of the most popular and innovative electric car brands in the world. Tesla’s cars are known for their sleek design, long-range, fast charging, and advanced features such as self-driving technology and touchscreen navigation.

However, buying a new Tesla can be quite expensive, as the price of a Tesla in 2023 is around $40,240 and $133,240. That’s why many people opt for buying a used Tesla instead, which can offer significant savings and still provide a great driving experience.

Quick Glance:

Pros:

• More Affordable
• Less Depreciation Rate
• Warranty Coverage
• Free Supercharging with Certain Tesla Models (Model S and Model X made before January 2017)

Cons:

• Worn Out Battery
• Outdated Features
• Hidden Issues
• Higher Insurance Cost
• Limited Availability

What are the Pros of Buying a Used Tesla?

There are several advantages of buying a used Tesla. Such as: 

Price

The main benefit of buying a used Tesla is that it is much more affordable than buying a new one. 

Depending on the model, year, mileage, and condition, you can find a used Tesla for as low as $25,000 or even less. This can make owning a Tesla more accessible for people who have a limited budget or want to save money on their car purchases.

Less Depreciation

Unlike most cars, which lose value quickly as soon as they leave the dealership, Tesla tends to retain their value well over time. This is because Tesla has high demand, limited supply, and durable quality. 

Tesla has a low depreciation rate, compared to other luxury cars. This means that buying a used Tesla can be a good investment, as you can resell it later for a relatively high price.

Tesla	Depreciate Rate (5 Years)	Resale Value After 5 Years (Estimated)
Model S	35%	$64,451
Model 3	21%	$47,040
Model X	29%	$79,566
Model Y	39%	$36,363

Note: The price may differ based on condition, mileage, and market demand.

Warranty Coverage

Another advantage of buying a used Tesla is that it may still have some warranty coverage left from the original manufacturer. Tesla comes with two types of warranties: 

• Basic vehicle warranty that covers four years or 50,000 miles (whichever comes first)
• Battery and drive unit warranty that covers eight years or 100,000 to 150,000 miles (depending on the model). 

If you buy a used Tesla that is still within these timeframes and mileage limits, you can enjoy the peace of mind that any defects or repairs will be covered by Tesla.

However, when the basic vehicle limited Warranty expires, the coverage for the used vehicle limited Warranty shall be for the later of one year or 10,000 miles, commencing from the date of delivery.

Free Supercharging

One of the perks of owning a Tesla is that you can use its network of Superchargers, which are fast-charging stations located across the country. 

However, not all Tesla have free access to Superchargers; newer models require paying a fee per kWh or per minute of charging. 

However, some older models, such as the Model S and Model X made before January 2017, have free unlimited Supercharging for life. This means that if you buy one of these used Teslas, you can save money on fuel costs and enjoy convenient charging wherever you go.

What are the Cons of Buying a Used Tesla?

There are several advantages of buying a used Tesla also some disadvantages of buying a used Tesla. The disadvantages of buying a used Tesla are:

Worn Out Battery

The main drawback of buying a used Tesla is that the battery may not be in optimal condition. The battery is the most important and expensive component of an electric car, as it determines the range, performance, and lifespan of the vehicle. 

While Tesla has durable batteries that can last for many years and miles, they are not immune to degradation over time. Tesla loses about 10% of their battery capacity after 160,000 miles. This means that a used Tesla may have less range and power than a new one.

Outdated Features

Another disadvantage of buying a used Tesla is that it may not have the latest features and updates that are available for newer models. 

For example, some newer Tesla have improved hardware and software for their Autopilot system. Which allows them to perform more advanced functions such as changing lanes or parking automatically. 

Some newer Teslas also have faster charging speeds, larger touchscreens, better sound systems, and more interior options than older ones. If you buy a used Tesla that is several years old, you may miss out on some of these enhancements and innovations.

Hidden Issues

The third downside of buying a used Tesla is that it may have some hidden issues or problems that are not apparent at first glance. For instance, some used Teslas may have cosmetic damage, such as scratches, dents, or stains, that are not visible in photos or online listings. 

Some used Tesla may also have mechanical or electrical issues, such as faulty sensors, broken cameras, or malfunctioning doors, that are not disclosed by the seller or detected by the inspection. 

Buying a used Tesla from a private seller or a third-party dealer may increase the risk of encountering these issues, as they may not offer any warranty or guarantee for the vehicle.

Higher Insurance Costs

The fourth drawback of buying a used Tesla is that it may have higher insurance costs than buying a new one. This is because insurance companies consider several factors when determining the premiums for electric cars, such as the age, model, mileage, and condition of the vehicle. 

Since used Tesla are older and have more wear and tear than new ones, they may be more expensive to insure. 

Additionally, some insurance companies may charge more for Tesla because they are considered luxury vehicles that are costly to repair or replace in case of an accident or theft.

Limited Availability

The fifth challenge of buying a used Tesla is that it may be hard to find one that meets your preferences and needs. 

Unlike other car brands, Tesla does not have a large inventory of used vehicles for sale. Most Tesla owners tend to keep their cars for a long time or trade them in for newer models. This means that there may be limited options for used Tesla in terms of color, trim, features, and price. 

You may have to search online, visit multiple dealerships, or travel to another state to find a used Tesla that suits your taste and budget.

What are the Factors to Consider When Buying a Used Tesla?

Besides the pros and cons of buying a used Tesla, there are also some factors that you should consider before making your final decision. These factors can help you narrow down your choices and find the best deal for your needs.

Here are some of the most important factors to consider when buying a used Tesla:

Tesla Model Range

Tesla’s lineup includes the luxury Model S, compact Model 3, luxury SUV Model X, and compact SUV Model Y, each with distinct features.

Consideration of Model Year

The year impacts price, condition, and features; newer Teslas are pricier but often offer better quality.

Mileage Assessment

Mileage reflects battery life; aim for 10,000 to 15,000 miles per year to avoid reduced range.

Evaluation of Condition

Thoroughly inspect for wear, including scratches and mechanical issues, using diagnostic tools and a test drive.

Scrutiny of Vehicle History

Request a comprehensive history report to unveil accidents or repairs; avoid salvage-titled Tesla’s indicating severe damage.

Pros and Cons of Buying a Used Tesla – FAQs

Is a used Tesla still considering a high-quality electric car?

Yes, even a used Tesla is considered to be top of the range in the electric vehicle market.

Do used Tesla’s hold their value well over time?

Yes, used Tesla models tend to hold their value well due to their advanced features and technology.

Are there any risks associated with the repair bills of a used Tesla?

Yes, repair bills could be high due to the advanced and modern changes in Tesla cars.