4 years Tesla Model 3: this is what you now pay for a used one

The first Tesla Model 3 with a Dutch license plate is probably the PS-572-H, a car from 2017. However, that is a unique American copy, so gray import. The forerunner of all Dutch Model 3s should still be in the Netherlands, but does not count for our ‘four years of Model 3’ story. Around the turn of the month between January and February 2019, the first Model 3s officially intended for Dutch buyers were delivered. The mostly business Dutch customer apparently took a while to realize how good this offer actually was, but later in 2019 Tesla’s smallest really went over the counter here. Due to a lack of good electric competitors and a 4 percent addition, almost 30,000 Model 3s were eventually registered, which made it by far the most popular car in the Netherlands. The Model 3 even single-handedly gave Tesla a number 3 position in the Dutch sales rankings.

December 2019: the Model 3 cannot be towed

Although it logically went downhill with Model 3 sales after ‘addition year’ 2019, more than 8,000 were still sold in 2020. 2021 was a bit disappointing with 2,500 units and in 2022 it remained at 827 units. Not very illogical, by the way, because last year it was mainly the higher Tesla Model Y that attracted attention. With the arrival of the rear-wheel drive basic version, that car was even slightly cheaper than the Model 3, which therefore briefly only attracted buyers who really have something against the ‘Y’. Prices have now been reduced even further, and the 3 is again cheaper than the Y. With a starting price of €45,993 (including delivery costs) for a car with 491 km WLTP range, the Model 3 is again a great offer in 2023, so it it could just be that the smallest Tesla is experiencing a clear revival again this year.

Addition plays a major role in value

Nice for new buyers, those price drops, but for existing owners something like this is of course less favorable. Martijn Duivenvoorden – no stranger – from LeaseBijtellingVriendelijk.nl trades in EVs and always has a whole series of Teslas. His company immediately reaped the bitter fruits of the price changes: “If Tesla lowers the prices for a new one by thousands of euros, we will of course have to fall by the same amount. For those recently purchased cars, the price reductions have certainly cost money.” However, addition continues to play a major role when it comes to Tesla prices: “With an older car that is still eligible for a favorable addition rate, the consequences are less significant. Yet such a used Tesla has also become cheaper with the price reductions by about 4 to 5,000 euros.”

As a reminder: electric cars that are newly eligible for the reduced addition rate of the year in question retain that privilege for five calendar years. After that the advantage disappears and it depends on the type of owner what happens to the car. With a sole proprietorship, the car can be held for business from that moment on with addition over the actual car costs incurred, so that the addition does not in any case become a disadvantage. For entrepreneurs with a BV, the end of the favorable addition period usually means that the car is transferred to private, often for a relatively cheap price and therefore a nice mountain of business depreciation.

Thanks to the latter possibility, the cars registered in the name of such a BV will remain attractive for a long time, says Duivenvoorden. This often concerns the somewhat larger and more expensive models, such as the Tesla’s Model S and Model X. The Model 3 is more often bought or leased by people with a sole proprietorship or VOF. A car that has only recently been eligible for addition benefit has therefore lost most of its appeal in that area: “It becomes more difficult with a Model 3 if they only have a low addition for a year and a half”.

Please note: in that case we will only look at taxation. In itself, the Model 3 is and remains a sought-after occasion. It is also good to look beyond the Netherlands, Duivenvoorden also knows. After those magical five years, many cars go abroad and the price is therefore much more determined by the international market for the Model 3.

From about 33 mille

On the occasion pages of AutoWeek.nl, about €33,000 (incl. VAT) is being asked for the cheapest Model 3 at the time of writing. Below €35,000 there is more on offer, which of course concerns cars from 2019 with a slightly higher mileage. This means that these cars are still worth more than half of their new price. If we compare that with a BMW 3-series from the same year, on petrol and with an equivalent mileage, it is noticeable that the BMW is generally slightly cheaper. Although the new price is highly dependent on the version and therefore not always comparable, the residual value of a Model 3 still seems high.

Compared to a BMW 3 Series from the same year, the resale value of a Model 3 is still high.

Asking prices of €50,000 to even €60,000 often apply to somewhat fresher copies of the Tesla Model 3 from 2019, which is clearly an attempt to make a profit from the favorable addition conditions. Model 3s that no longer qualify for low addition at all, simply do not exist yet. It is therefore difficult to predict what the disappearance of that benefit will do to the value of the car, but prices abroad may be a good indication. In Germany, Model 3 ownership starts at around €30,000. Less than here, but not a lot less. If the value of a somewhat older Tesla Model S says something about that of a Model 3, owners of the latter can also breathe easy. Model S’s from the early years start just under €30,000, or roughly a third of their new price. That is simply very favorable compared to conventionally powered cars from the same period, at least from the seller’s perspective.

What also plays a role in this, of course, is that EVs enjoy a bpm exemption. The Dutch new price is therefore comparable to that in other countries, in complete contrast to the price of a petrol car. That bpm ‘evaporates’ over the years and of course plays no role at all on the international market.

From 2021, the window frame will be black. There were also other wheels and (a little later) slightly differently arranged light units at the front and rear.

Note the performance

Anyone who is in the market for a Model 3 would do well to pay attention to the exact version. The rear-wheel drive Standard Range Plus first appeared on the market in April 2019 and, with its smaller battery and single electric motor, was more than €10,000 cheaper than a four-wheel drive Long Range. That price difference is logically reflected in the price of a used copy. In between the two versions, there was also a Long Range RWD for some time, or a version with the large battery and rear-wheel drive. It cost about 55 grand new and can hardly be distinguished optically from a regular Long Range. The top model is and remains the lightning-fast Performance, which, however, only accounts for a small part of the range. However, a towbar is not possible on a Performance. Autopilot is not standard on every Model 3, there was a time when this car was only supplied with regular cruise control at no extra cost. By far the most expensive option is ‘FSD’, a software extension of Autopilot. This costs many thousands of euros new, so a used one with this feature will logically also be more expensive.