Photo: Tesla | Edited
Although early Tesla Model S EVs have been plagued by battery problems which ultimately rendered them inoperable, they still sell used for $20,0000-$30,000. However, one 2014 Tesla Model S owner was shocked to get a trade-in offer from Tesla for only $5,000.
Car ownership is complex, involving many variables. When shopping for a new vehicle, most people consider factors such as the brand, form factor, size, and price. The latter is very important, often trouncing all the others for budget-constraint buyers. Still, even price has a complex structure, considering that not everything is paid upfront. Operating costs are another essential component, while the resale value is equally crucial, as it helps recoup a fraction of the initial investment.
Tesla owners know their cars keep their value better than other brands, thanks to constant updates that add new functions and even unlock unused battery capacity. Their batteries also proved durable, with many examples of high-mileage EVs still retaining most of their initial range. Tesla may have affected the resale value of the existing fleet when it cut the price in January, but its EVs are still a good deal, losing less value over time compared to similar models from other brands.
If you look at the used market, even early examples of the Tesla Model S sell for over $20,000 and sometimes above $30,000. That's a lot of money for a ten-year-old vehicle, but you should note that many such examples still benefit from free lifetime Supercharging. Taking this into account, that's still good value if the battery is in good condition.
On the other hand, many 2012-2015 Model S cars were affected by the BMS_u029 error code, revealing bad cells inside the battery pack. When this happens, the only real solution is a battery replacement. This makes buying a Model S from those model years much riskier, considering a replacement could cost between $12,000 and $20,000.
A 2014 Model S owner who contemplated trading in his car was still shocked to see Tesla offering only $5,000 for his car. According to the story he shared on Reddit, the Model S clocked 150,000 miles and is still in decent condition, including the battery. He was asking for advice on whether to accept Tesla's trade-in offer or try to sell the car elsewhere. With used Model S examples selling much higher, the latter option is the wisest, and many who replied gave this advice.
Of course, there's a high possibility that the thread starter was mistaking the car's trade-in value for the bonus Tesla offered in February to those trading in a Model S/X with free Supercharging for a new Model S/X. The $5,000 bonus was meant to add to the overall trade-in value, not to replace it. On the other hand, Tesla has no benefit from buying old cars, and it's likely to auction them to other entities. Such a low trade-in value will reflect this, discouraging owners from selling their vehicles to Tesla. The carmaker is making sure it's not losing any money here.
On the other hand, Tesla showed that it wants to eliminate free Supercharging. Not only did it promise the $5,000 bonus to those who trade in a car with free Supercharging, but it also offered a six-year free Supercharging with the purchase of a new Model S or Model X for those forfeiting their free charging benefit. In that case, it should offer those owners more for a trade-in. Otherwise, they'll sell their cars on the used market, passing the free Supercharging to the new owners.
Tesla owners know their cars keep their value better than other brands, thanks to constant updates that add new functions and even unlock unused battery capacity. Their batteries also proved durable, with many examples of high-mileage EVs still retaining most of their initial range. Tesla may have affected the resale value of the existing fleet when it cut the price in January, but its EVs are still a good deal, losing less value over time compared to similar models from other brands.
If you look at the used market, even early examples of the Tesla Model S sell for over $20,000 and sometimes above $30,000. That's a lot of money for a ten-year-old vehicle, but you should note that many such examples still benefit from free lifetime Supercharging. Taking this into account, that's still good value if the battery is in good condition.
On the other hand, many 2012-2015 Model S cars were affected by the BMS_u029 error code, revealing bad cells inside the battery pack. When this happens, the only real solution is a battery replacement. This makes buying a Model S from those model years much riskier, considering a replacement could cost between $12,000 and $20,000.
A 2014 Model S owner who contemplated trading in his car was still shocked to see Tesla offering only $5,000 for his car. According to the story he shared on Reddit, the Model S clocked 150,000 miles and is still in decent condition, including the battery. He was asking for advice on whether to accept Tesla's trade-in offer or try to sell the car elsewhere. With used Model S examples selling much higher, the latter option is the wisest, and many who replied gave this advice.
Of course, there's a high possibility that the thread starter was mistaking the car's trade-in value for the bonus Tesla offered in February to those trading in a Model S/X with free Supercharging for a new Model S/X. The $5,000 bonus was meant to add to the overall trade-in value, not to replace it. On the other hand, Tesla has no benefit from buying old cars, and it's likely to auction them to other entities. Such a low trade-in value will reflect this, discouraging owners from selling their vehicles to Tesla. The carmaker is making sure it's not losing any money here.
On the other hand, Tesla showed that it wants to eliminate free Supercharging. Not only did it promise the $5,000 bonus to those who trade in a car with free Supercharging, but it also offered a six-year free Supercharging with the purchase of a new Model S or Model X for those forfeiting their free charging benefit. In that case, it should offer those owners more for a trade-in. Otherwise, they'll sell their cars on the used market, passing the free Supercharging to the new owners.
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