Update, 7/18: Over 100 DansDeals readers have purchased a Tesla from this deal! Local inventory discounts are running out as local cars are sold and the Government incentive programs can end at any time once funds run out, so be sure to get a Tesla now if you are considering it!
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Maya was way ahead of this Tesla trend, throw back to 2019:
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Update, 7/12: New Jersey just announced that their new Charge Up program goes live for cars purchased as of 7/12/23! Cars with an MSRP up to $45,000 will be eligible for an instant $4,000 rebate, while cars with an MSRP from $45,001-$55,000 will be eligible for an instant $1,500 rebate. The rebate is applied at the time of purchase/delivery when you buy or lease a car in New Jersey.
The program has limited funding, so you’ll want to order now to take advantage of the incentive before it is exhausted again. Cars ordered before 7/12 are ineligible for funding.
NJ also waives sales tax for electric vehicles!
Find other state incentives for EV purchases here, including big incentives in CA, CO, CT, DL, MA, MD, NY, and OR.
Tesla has now made Midnight Silver Metallic as the free base color for Model 3 and Y.
Plus, Tesla is now offering $500 off and 3 months of free full self-driving for Model 3 and Model Y via this referral link. Model S and X will get $1,000 off and 3 months of free full self-driving.
Inventory Model 3s start at just $37,830, less the $500 referral credit, for a total of $37,330. If you are eligible for the federal tax credit (see details in the original post below), the price drops to $29,830. If you are also eligible for the NJ credit, the price drops to $25,830!
The inventory deals in NJ are likely to sell out soon!
The made-to-order base Model 3 is $40,240, less the $500 referral credit, for a total of $39,740. If you are eligible for the federal tax credit (see details in the original post below), the price drops to $32,240. If you are also eligible for the NJ credit, the price drops to $28,240!
The made-to-order base Model Y is $47,740, less the $500 referral credit, for a total of $47,240. If you are eligible for the federal tax credit (see details in the original post below), the price drops to $39,740. If you are also eligible for the NJ credit, the price drops to $38,240!
You can also lease a Tesla for at least 36 months and get the NJ rebate, if you try that in a Tesla dealership, let us know what the pricing comes out to.
NJ also gives rebates for EV charger installations.
Update, 6/2: Tesla just announced that all of their Model 3 and Model Y vehicles are now eligible for a $7,500 federal tax credit. This lowers the cost of the RWD Model 3 to $32,740 and the AWD Long Range Model 3 to $39,740 after the credit! The current pricing in the chart has been updated below.
Update, 5/12: You can now earn 1,500 credits for reserving a Model 3 or Y, 2,500 credits for reserving a Model S or X, or 9,000 credits for ordering solar products via my referral link here. Tesla owners can also earn 2,000-9,000 credits for completed referrals and 3,500-9,000 credits for buying additional Teslas. This is the first time Tesla has offered referral incentives to buyers and owners since September 2021.
Here is what some sample prizes cost:
- Cybertruck raffle: 500 credits
- Tesla Powerwall T-shirt: 500 credits
- Tesla sipping glasses: 1,400 credits
- Tesla Giga Texas Belt Buckle: 1,500 credits
- Tesla Jacket/Hoodie: 1,500 credits
- 500 Supercharger miles: 1,500 credits
- Model 3/Y all-weather liners: 3,500 credits
- CCS Adapter: 4,000 credits
- 2,000 Supercharger miles: 4,800 credits
- Model S/X all-weather liners: 5,000 credits
- Wall connector: 5,500 credits
- Acceleration boost: 9,500 credits
- Enhanced Autopilot: 55,000 credits
- Full self driving: 120,000 credits
But will this ever return? 😉
Update, 5/11: Tesla pricing is trending upward yet again and the chart below has been updated. Prices are still significantly less than they were before last month, but don’t be surprised to see prices continue to climb upwards.
Update, 5/2: Tesla changes pricing based on demand, and has raised the cost of all models.
Originally posted on 4/19:
You’re likely to get whiplash if you’re watching Tesla pricing. I’ve documented some of the changes in this post, but pricing has been cut yet again.
While other car companies change their price levels silently by offering higher rebates to dealerships, which can pass on savings, Tesla doesn’t have franchised dealerships, so they can’t use that lever. Instead they frequently change pricing based on demand and tax credit availability.
The base Tesla Model 3’s federal tax credit has been cut from $7,500 to $3,750, but other Model 3s and Ys retained their $7,500 tax credit.
The tax credit applies in full if you have AGI in the current year or the previous year up to $300,000 for married couples filing jointly, $225,000 for heads of households, or $150,000 for all other filers. As long as your AGI is lower than those numbers in either year, you will qualify for the credit. The credit is non-refundable, so it can’t exceed your federal taxes owed for the year, but it will apply and you will receive a refund if your taxes are automatically withheld by your employer. An FAQ is available here.
Many states also offer incentives for buying an EV, though the most lucrative version in NJ is now paused due to exhausting its funding. However NJ buyers still pay no sales tax on EVs, which is a big savings.
Here is a chart showing how Tesla pricing has changed over the past few years, from the lowest prices offered during the pandemic, to the quick increase in pricing due to the chip shortage and inflation, to the rapid drop in pricing now to boost demand as both output and competition increases.
|Model||Late 2020/Early 2021 Pricing||Mid 2022 Pricing||April 2023 Pricing||May 2023 Pricing||September 2023 Pricing||Current Pricing After Tax Credit and Referral Discount|
|Model 3 Rear-Wheel Drive/Standard Range||$35,000, in-store only||Discontinued||Discontinued||Discontinued||Discontinued||-|
|Model 3 Rear-Wheel Drive/Standard Range+||$37,990||$46,990||$39,990||$40,240||$39,740 after $500 referral discount||$32,240|
|Model 3 All-Wheel Drive/Long Range||$46,990||$57,990||Was unavailable||$47,240||$46,740 after $500 referral discount||$39,240|
|Model 3 All-Wheel Drive/Performance||$54,990||$62,990||$52,990||$53,240||$52,740 after $500 referral discount||$45,240|
|Model Y All-Wheel Drive/Standard Range||$41,990||Was unavailable||$46,990||$47,490||$47,240 after $500 referral discount||$39,740|
|Model Y All-Wheel Drive/Long Range||$49,990||$65,990||$49,990||$50,490||$49,990 after $500 referral discount||$42,490|
|Model Y All-Wheel Drive/Performance||$59,990||$69,990||$53,990||$54,490||$53,990 after $500 referral discount||$46,490|
|Model S All-Wheel Drive/Long Range||$79,990||$104,990||$84,990||$88,490||$73,990 after $1,000 referral discount||Ineligible for credit.|
|Model S Plaid||$119,990||$135,990||$104,990||$108,490||$88,990 after $1,000 referral discount||Ineligible for credit.|
|Model X All-Wheel Drive/Long Range||$89,990||$120,990||$94,990||$98,490||$78,990 after $1,000 referral discount||$71,490|
|Model X Plaid||$119,990||$138,990||$104,990||$108,490||$88,990 after $1,000 referral discount||Ineligible for credit.|
I’ve written several articles on Tesla after buying a Model 3 back in 2018.
Shortly after I got the car, Tesla accidentally handed over full control over their forums to me, which made national news headlines.
After 4.5 years, I’m still thrilled with my Model 3 Long Range with acceleration boost, and love the software updates that improve the car as time goes on. There was one software update in that time period that made things worse by requiring more clicks, but that was since rectified.
The car is truly fun to drive on both short-haul and long-haul trips. And I love never having to do an oil change or go to a gas station!
Best of all, I never lose my keys as everything is controlled with your phone. The car automatically locks when you walk away from it and unlocks when you approach it. You can preheat or precool it all via the app.
When you’re stopped at a red light you don’t have to hold the brake and when the light turns green, the car can chime to let you know.
Thanks to 3rd party apps like TeslaFi, you can even prove your speed history to help you get out of a ticket!
If you are buying a Tesla, it’s worth noting that Tesla includes autopilot for free on all cars. I’d recommend getting the Enhanced Autopilot (EAP) for $6,000, which among many features, allows for auto lane changes on highways, which is what makes long-haul driving such a pleasure in a Tesla. I’d recommend against spending $15,000 for full self driving (FSD), which is very much still a beta product that isn’t currently worth the extra $9,000 in my opinion. You can always upgrade to FSD later on, should the product improve.
EAP also turns your car into a remote control car with smart summon. I’ve used that to get into my car by backing it up when someone parks too close to me, or to pick me up from the front door of shul when it’s raining.
Do you own a Tesla? What are your thoughts on it?