Used Tesla prices drop below $40,000 in Australia for first time

Back in January, Tesla cut prices on its new cars to kickstart what many in the automotive industry are now calling price wars. Back then, we saw some used Tesla prices dip below $50,000 in Australia.

Now, another new milestone is starting to emerge on the used Tesla market with the first listing dipping below $40,000.

This time around it’s a 2019 Tesla Model 3 in the most-common colour, white, listed on carsales for $39,995. 

This example Model 3 appears to be in good condition with only 26,554 km on the odometer. 

It’s being sold by a private seller, which makes sense given the price doesn’t include the typical dealer “mark-up”.

It also appears to have the aero caps removed exposing the 18-inch wheels. This is a fairly common approach for those that like an alloy appearance over the efficiency that the aero caps provide.

New data from carloop on Tesla used listings for May 2023 shows that the prices seem to be coming down regardless of an increasing used EV supply. 

Used Tesla Model 3 listings as of the first week of May 2023 are at 544 vehicles. Several of these models are listed for under $50,000 which is a big jump over early 2023 when only a handful of Model 3s were under that price point.

The listings have stagnated after the large spike in January which saw a peak of 623 listings. Now the listings are 12% below those levels.

Overall, the price cuts on the new Tesla Model 3 have ensured that there is an accelerated development of a healthy used EV market. This would mean that many more drivers can get behind the wheel of an EV and ditch their ICE vehicle sooner.