In 2023, Tesla started cutting prices on its Model 3 and Model Y EVs as supply chains improved. This helped used Tesla EVs to drop below $50,000 and then below $40,000 in Australia.
Just over a year later, prices of used Tesla vehicles have dropped further to some dipping below $30,000. Two Tesla Model 3 vehicles on carsales are now priced at $29,999.
Both cars are the single-motor Standard Range Plus variants and have over 115,000 km on the odometer.
Originally, this variant was priced from $73,060 driveway so, at under $30,000, it appears to be a fairly good price for buyers looking to get into a Model 3 Standard Range Plus vehicle.
This variant has a claimed range of 460 km but due to the Nickel-Manganese-Cobalt (NMC) chemistry of the battery, is best charged up to 80% for daily use. That’s a daily range of up to 376 km when charged up to that state of charge.
Tesla has since switched over to using Lithium-Iron-Phosphate LFP batteries in models built from 2021-onwards which are recommended to regularly be charged up to 100%.
Multiple factors are contributing to this drop in prices. Part of this drop is due to a rising amount of used EV stock being advertised.
Data from carloop also shows that the used Tesla Model 3 listings are at an all-time high with over 655 listings.
This is more than the last couple of peaks which revolved around the launch of the Model Y in 2022.
Then in 2023 as supply chains improved, it allowed Tesla to ship more cars to Australia when the rebates were still available across multiple states and territories.
In 2024, the rebates were mainly taken away and Tesla dropped prices on its range multiple times, making its new vehicles the most affordable they have ever been.
This shift has driven used EV prices down with it, helping Tesla EVs which make more than 50% of the total EV fleet more affordable for more buyers. The Driven’s estimates suggest over 115,000 Tesla vehicles on Australian roads.
So far in 2024, Tesla has sold 11,839 Model 3 which still puts it on the podium with Model Y which is the best-selling EV in the country.
Overall, improved supply and price cuts on the new Tesla Model 3 have ensured that there is a healthy used EV market developing. This would help more drivers to get behind the wheel of an EV and ditch ICE vehicles sooner.
Riz is the founder of carloop based in Melbourne, specialising in Australian EV data, insight reports and trends. He is a mechanical engineer who spent the first 7 years of his career building transport infrastructure before starting carloop. He has a passion for cars, particularly EVs and wants to help reduce transport emissions in Australia. He currently drives a red Tesla Model 3.