Time flies in a rapidly evolving automotive landscape. Tesla has gone from a quirky upstart to an established manufacturer. Its entry-level car, the Model 3 sedan has been in production for more than seven years. That means there are a lot of used Model 3s out there.
Used Model 3s, not so long ago, were prohibitively expensive. However, Tesla’s new car production has risen to meet demand. Thousands of used Model 3s have been hitting the market coming off lease and Hertz fleet sales. The prices of used Model 3s are plummeting. And with Tesla’s industry-leading tech and potential used EV tax credits available, a used Model 3 could be one of the best deals on the EV market.
If you are considering buying a used Tesla Model 3, here are some important questions to consider.
How much should a used Tesla Model 3 cost?
Buying a used Model 3 suddenly became a lot more affordable. According to iSeeCars data, the average used Tesla price has fallen to $29,045, a 22.6% year-over-year drop. Anecdotally, Tesla’s Model 3s coming off leases range between $25,000-$30,000. Hertz ex-rental Tesla Model 3s range between $20,000 and $25,000; some high-mileage ones may dip below $20,000.
One major price escalator is Full Self-Driving. An FSD-equipped used Model 3 will likely be in the $30,000s. Low mileage examples may exceed $40,000.
Which Tesla Model 3 trim do you want?
Most manufacturers maintain a static trim lineup. Tesla changes and reuses terminology on a whim and does not adhere to the model year cycle other brands use. It can be confusing to tell which Model 3 trim you are buying. And that could be the difference between a Model 3 with 220 miles range or one with 360 miles and 5.8-second 0 to 60 mph acceleration vs. sub-3.0-second.
Broadly, Tesla typically has offered small-battery, RWD base Model 3, RWD and AWD versions of large-battery, long-range Model 3, and AWD performance models. Double-checking the VIN is always a good idea, especially if you buy a used Model 3 from a third party. You want to ensure the used Model 3 has all the advertised features.
What year Model 3 should I choose?
Tesla made some key changes to the Model 3 over its lifespan. For instance, Tesla facelifted the Model 3 in October 2020. Vehicles built afterward can include a heat pump for more efficient climate control and better range performance in cold weather. Autopilot comes standard on Model 3s built after April 2019.
The Model 3 Highland update made significant tweaks, including updated FSD hardware and eliminating steering column stalks for turning and shifting gears. However, that won’t be relevant to vehicles built before 2024.
Does the used Tesla Model 3 have Autopilot or Full Self-Driving?
Both terms create confusion. A Tesla Model 3 must be monitored at all times and cannot drive itself. Autopilot is Tesla’s basic system. It includes lane centering and adaptive cruise control. Full Self-Driving is an expensive option that costs several thousand dollars, including advanced features like Navigation on Autopilot and the latest beta features Tesla believes will develop into autonomous driving.
Tesla Model 3s built after April 2019 came standard with Autopilot. These vehicles use Tesla’s HW3 hardware, which is ready for FSD. Some used Model 3s already have it equipped. Others can add it for a $99/month subscription plan. Model 3s running previous hardware should be eligible for a complimentary upgrade to HW3 with an FSD purchase. Highland Model 3s have upgraded HW4 hardware. Buyers can check the vehicle’s hardware configuration in a touchscreen menu.
Are there any known issues with Tesla Model 3s?
EVs theoretically should have fewer weak points than combustion cars with fewer moving parts. But the Tesla Model 3 has had several issues reported with the front suspension and faulty steering and suspension components. The Model 3 also suffered several reported build quality issues early in its production. Keep an eye out for issues like misaligned panels, panel gaps and paint flaws.
Many of the glitches with Tesla Model 3s have been software-related. So, in addition to regular maintenance and recalls, ensure that the used Model 3 has all of its software updates and that its infotainment screen is operational.
Will the battery be degraded in a used Tesla Model 3?
Short answer: yes. All EV batteries degrade. The question is whether it is meaningful. A Tesla Model 3 probably won’t be able to match its precise EPA range estimate when new. Tesla estimates an average of 12 percent degradation for its batteries over 200,000 miles. Newer chemistries may outperform that.
There are methods to assess Model 3 battery degradation yourself. Model 3s from Hertz have a Recurrent range score detailing battery health and estimated range.
Tesla replaces batteries under warranty that have hit 70 percent capacity. A Model 3 with a battery in the 90s is ideal. A vehicle in the 80s should still have some serviceable life left. The battery dipping into the 70s is when there should be a concern. Most Model 3s should not be approaching that threshold yet.
Do used Tesla Model 3s have warranty coverage?
Yes. Tesla Model 3s come with a basic four-year or 50,000-mile warranty. That warranty is transferred to the new owner. Moreover, if you buy a used Model 3 from Tesla, the brand either adds an extra year or 10,000 miles to the existing warranty or provides a new one-year or 10,000-mile warranty. Most Model 3s also have an eight-year or 100,000-mile warranty on the battery and powertrain components.
