Tesla developing an used-car program to sell second-hand Model S EVs

Article by Christian A., on October 6, 2014

According to the latest reports, Tesla Motors is now developing a program to sell second-hand Model S vehicles. Apparently, there are some good reasons for doing this: drop the cost of the $71,000 electric sedan and developing a certified pre-owned program in order to better compete with similar-sized models offered BMW or Mercedes-Benz.

For those who don’t know, back in 2013 Elon Musk a.k.a. company’s CEO reassured customers about the guaranteed resale value of the Model S. Buyers who financed a Model S are able to return the car after three years and still recover between 43 to 50 percent of its original price tag. Musk said that even if Tesla is not able to honor the buyback guarantee, he will personally do it.

So, if the owners are interested about his offer, this means that the company will have a hefty number of used Model S sedans by 2016 and many more in 2017. Tesla offers business leases since April but quietly started to offer 36-month Model S leases to retail customers last week, on October 1.

The offers includes a $5,000 initial payment and $932 a month. With the used-car program Tesla will reach a new segment on the market and according to John Krafcik. a.k.a. president of TrueCar online car-buying service, the company will make between $6,000 and 10,000 for each used Model S that it sells.

This means more money for Tesla. Those who are seeking to buy a Tesla that costs around $40,000 will still have to wait for the new Model III, but will not get the same features available on the Model S.

If you liked the article, share on:

Comments

Recommended

McLaren has already shown some interest in electrifying their models. And initially, we thought that they will just use hybrid systems to use across their current lineup. Nevertheless, we have...
by - August 19, 2017
Fifty years after its glorious victory at the 24 Hours of Le Mans, Ford launches the 2018 Ford GT ’67 Heritage Edition at the 2017 Monterey Car Week. The red...
by - August 18, 2017
Hyundai has recently unveiled an unnamed pre-production model of its new fuel cell SUV. We don’t know what to call this model just yet, but sources say that this model...
by - August 18, 2017
This weekend at the 2017 Pebble Beach Concours d’Elegance, the BMW Z4 Concept will make its first public appearance. The good news is that we will finally have a real...
by - August 18, 2017
While Honda’s new 2018 HR-V will be rolling out at the dealerships with just a few updates, the company is certainly not giving up its spot as the best-selling vehicle...
by - August 18, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries