Electric vehicles (EVs) can be expensive, especially when you want a luxury car like a Tesla or Lucid. However, if you have a Tesla, the market might be on your side if you want to make money from your EV. Here’s how you can make money from your Tesla.
How much is a used Tesla worth?
Teslas depreciate more slowly than most other electric vehicles on the market today. Specifically, they tend to depreciate less overall, which creates a unique opportunity for automotive “fins” to make money. Pinball machines buy cheaper cars and resell them for more, making a profit. The process isn’t specific to cars either; many real estate investors regularly change homes.
However, it must be said that most non-Tesla electric cars tend to depreciate faster than their gas-powered counterparts. Until electric vehicles gain popularity, the trend of higher depreciation rates will continue. Additionally, iSeeCars conducted a study that reflected a national average depreciation rate of 52% for electric vehicles in the first 36 months of ownership. That number is scary, but some cars, like Teslas, depreciate less than the average EV.
Can you resell your Tesla?
Like any electric or gas-powered vehicle on the market, you can resell your Tesla. However, some models promise to generate higher profits when reselling. The sales potential stems from greater popularity and lower entry costs, meaning EV buyers can aspire to own Teslas like the Model 3.
How can you make money flipping Teslas?
Car swimmers typically buy vehicles like Teslas and resell them for a profit within the first year. Specifically, they are placing orders for sought-after new cars, which the current market and supply chain are struggling to produce. As a result, lightly used or like-new models fetch an inflated profit for buyers who want the vehicles but can’t order one for whatever reason. Enter the flippers.
The LA Times interviewed car reversing pro, Dennis Wang, who tried his hand at Teslas. Although his first attempt was less than successful, one of his last Tesla flips netted him a tidy $7,000 profit. This is after driving the car himself. Although a somewhat risky business, it is legal and in many cases profitable.
Which Teslas will make money on resale?
The Model 3 depreciates much less than its siblings in the Tesla lineup; only 10.2% in three years, according to iSeeCars. While this is great news for current owners, it may create difficulties for used car buyers looking to get their hands on a Model 3. However, taking advantage of this depreciation value and increased popularity could mean profit.
Is there anything stopping you from making money reselling a Tesla?
In France and Germany, legislators have instituted deadlines for reselling an electric vehicle for personal use. The move is aimed at reducing the number of consumers who buy and resell cars for big paydays. However, the United States has yet to pass a similar law. At the moment, EV flipping is a lucrative way to potentially drive a Tesla for a while and then cash in.
Scroll down to the next article to learn more about Teslas, like the Model 3!
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