Photo: Tesla, Cybertruck Owners Club
Despite the no-resale clause Tesla introduced in the Cybertruck sales contract, people are flipping the electric pickup like there's no tomorrow. The unit that became famous last week for being sold at a Manheim auction is now back on the market, making $45K for the new owner. So far, Tesla hasn't tried to enforce the no-resale clause, and some say it might never do.
Wisdom taught us that locks are for honest people because thieves know how to open them anyway. The same appears true for the no-resale clause Tesla introduced in the Cybertruck sales contract. Based on that, owners of the Foundation Series Cybertruck are prohibited from selling the truck within the first year of delivery without prior approval from Tesla. Failing to observe this rule can lead to a $50,000 fine or the entire profit from the sale, if it's more than that.
This should have been enough for anyone who wanted to make a quick buck by flipping the Cybertruck. However, creativity is running wild when the incentives are so sweet. We've seen it with every highly sought-after car model launched in recent years. Despite carmakers' best efforts to stop flippers from doing their thing, the vehicles still ended up on the market, making a lot of money for those who dared to break the agreements.
While the Cybertrucks have been available to buy in obscure corners of the internet for a while, recently, they also appeared in high-profile auctions. This is a direct consequence of Tesla not enforcing the no-resale clause. The latest to change hands was at a Manheim auction, where a Porsche dealer bought a Cybertruck for $244K. The seller revealed in an interview that he has bought and sold several Cybertrucks, some under the radar and some more prominently. He also said that legal experts he consulted assured him that enforcing the no-resale clause is complicated and likely not worth it for Tesla.
This is why I'm not surprised to see the very Cybertruck unit bought last week by a Porsche dealer listed for sale again. The asking price is now $289,999, which means this Cybertruck is going to make a lot of money for its third owner after making the previous sellers $100K and $34K richer. So far, there's no indication that the Cybertruck has reached its ceiling price. This is only expected for a car model with millions of reservations and a very limited production run.
This Cybertruck resale may be just the tip of the iceberg, with dozens of others switching ownership away from the public eye. However, without Tesla stepping in to prevent this from happening, the Cybertruck grey market will flourish. Since it's unlikely that Tesla is building it profitably this early in the production ramp-up, I can say that the flippers are the only ones making money selling Cybertrucks.
This should have been enough for anyone who wanted to make a quick buck by flipping the Cybertruck. However, creativity is running wild when the incentives are so sweet. We've seen it with every highly sought-after car model launched in recent years. Despite carmakers' best efforts to stop flippers from doing their thing, the vehicles still ended up on the market, making a lot of money for those who dared to break the agreements.
While the Cybertrucks have been available to buy in obscure corners of the internet for a while, recently, they also appeared in high-profile auctions. This is a direct consequence of Tesla not enforcing the no-resale clause. The latest to change hands was at a Manheim auction, where a Porsche dealer bought a Cybertruck for $244K. The seller revealed in an interview that he has bought and sold several Cybertrucks, some under the radar and some more prominently. He also said that legal experts he consulted assured him that enforcing the no-resale clause is complicated and likely not worth it for Tesla.
This is why I'm not surprised to see the very Cybertruck unit bought last week by a Porsche dealer listed for sale again. The asking price is now $289,999, which means this Cybertruck is going to make a lot of money for its third owner after making the previous sellers $100K and $34K richer. So far, there's no indication that the Cybertruck has reached its ceiling price. This is only expected for a car model with millions of reservations and a very limited production run.
This Cybertruck resale may be just the tip of the iceberg, with dozens of others switching ownership away from the public eye. However, without Tesla stepping in to prevent this from happening, the Cybertruck grey market will flourish. Since it's unlikely that Tesla is building it profitably this early in the production ramp-up, I can say that the flippers are the only ones making money selling Cybertrucks.
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