Articles

Owning a Used Tesla – 2 Year Cost Breakdown


– Well, it’s been two
years since I got my used Tesla Model S, obviously
it’s changed my life. I’ve created this channel,
it’s affected my family in ways that I couldn’t
even have imagined, and I’m here to do what I did when I first got it, which
was to break down the cost. What we’re gonna look at
is all the different costs involved and the true cost of ownership of a Tesla Model S. This is a used 2013 60
kilowatt hour battery, after two years of ownership, let’s go. First, let’s take a look at the loan, and I’m paying this off
in three years with 1.5% interest rate, which
means that the first year it was about $14,124 and that
was the same the second year. The only real difference is
the interest that I’m paying is a bit less now because I’m paying off more of the principal. This gives me a total for the payments after two years of $28,249, which is a lot, but know
that this would be the same if you chose any other
car of a similar price. Now let’s break that
down a little bit further because I think it’s important
to talk about depreciation. This is one of the biggest,
often the biggest cost of owning a car, and it’s
hard to calculate exactly, and of course my data, my example
here is just one anecdote. It’s not representative of the whole, and so there are a lot
of things to consider, but I do have some decent numbers for you. Let’s start off with the
first one, my purchase price, which was $54,400. I paid $4,000 of cash and
then I financed 50,000 of it, which is why I have the loan, and I actually just got a quote from Tesla for trading in my Model S of $36,300. Now that may not sound like that bad, but after you do the math on that, that’s over $18,000 of
value that has been lost, which is 33% drop. Now mind you, this is
after it was already used for three years, so these
are the last two years in the first five years. Now that is a big chunk to lose, and I think it is due to how
quickly the cars are advancing and some of the newer ones
that have newer hardware and basically continue to get better with over the air updates,
those seem to be fine when I check the prices online for those, but mine, because it’s
older and I’m missing autopilot hardware and
things like foldable mirrors, all these other features
that you really can’t add on without a huge expense, those seem to be a big difference maker. So if you’re looking
to buy a used Model S, just know that the
depreciation is gonna be pretty bad on it,
especially if you don’t have any of the newer features like autopilot or you know, the new front
fascia or anything like that. This brings us to
insurance, and here we have essentially what I’ve been
getting over the past two years but there are changes to that out there. So if you’re interested in this, the prices definitely will vary, and I have a lot of discounts
because I have multiple cars, I have life insurance, and I have my house all on the same plan. It comes out to just
over 100 bucks a month. In the first year, it was $1,226. In the second year, $1,161. So really not that bad, I don’t think, coming out to a total
of $2,387 for two years. This brings us to charging,
and this is a big difference where the Tesla really
wins out compared to a normal gasoline-powered car. Now I paid just over $1,100
over the past two years and I drove over 18,000
miles, which is pretty good, but a big reason that
my cost is so good here is because in March I got solar. So prior to that, I was
actually paying quite a bit, north of $70 a month in fuel charges just for my Tesla Model S,
but then when I got solar, I basically broke down that
cost over the 25 year life span and looked at how much
it would cost me to pay for my Tesla energy each month. Now the Tesla eats about 45%
of my monthly electricity bill, so that’s a lot, and that
comes out to just about $26 a month in fuel or
energy for my Tesla Model S. That’s 26 bucks a month, compared
to what I would be paying for a gas car, which is a lot higher. When I add that up across two years, what we’re looking at here
is a substantial savings. In fact, it’s over $1,000 of savings, and so if you were to think about that, I would be paying over $2,000 in fuel for the amount that I
drove and the gas prices that I have here in San
Diego, and I have details on all this in a link in
the description down below, which is about a 50%
savings, 49.34% difference. So think about that for your situation. If you drive a lot, the numbers
here, the dollar figures could add up to be much higher than this. I don’t drive that much,
and that’s why the dollar figures aren’t that big, but with solar, I’ve been able to actually
save on a percentage basis a ton over what I would be paying if I had a regular gasoline car. Now one of the things that me
and a lot of the other folks that have Teslas and EVs
in general talk about is the lower cost of
maintenance and repairs, and that bears fruit and seems to be true with my data as well. Now the first year, I
really didn’t have any. There were a couple
repairs, if you recall, if you guys have been
with me this whole time, and they were all covered by Tesla. Well, the second year, I
actually paid for some stuff, and first and foremost,
I paid for some tires. I had one tire with a rim
that had to be replaced, and then I had another
incident where two tires were bad, so I just replaced all of them. So my total for the
two-year span for tires was $1,327, which really
would be pretty standard on any higher-end vehicle,
these tires aren’t that cheap, so there’s that. Now I did pay for the
two year service here, which was $725, so this
is where I actually paid for some kind of service, and there was a lot
that they went through. If you guys are interested,
I could put all the details of that in the description
and on the website. Now this brings us to a
total of just over $2,000 across two years, which
may sound like a lot if you own, say, a Honda
or a Toyota and you don’t really do much, but if you
own a BMW or a Mercedes, you know that that’s actually not that bad considering how expensive oil changes are and if you have any parts
that need to be replaced, how expensive that can be. So I think this is a pretty good price for the maintenance and
repairs on this, and again, that two-year service, I
didn’t really have to do, so that’s a big chunk of it right there. Tires were the only thing
that I had to really come out of pocket for. All right, so let’s add it all up and see what I’ve been paying here. Starting out, we have
depreciation of $18,100. Then we have insurance, nearly $2,400. Maintenance and repairs, just over 2,000 and charging, just over $1,100, giving us a total true cost of ownership for my situation here, my
one data point, of $23,659. I’m curious what you guys think. Do you have a higher-end
sedan like a BMW 5 Series or a Mercedes Benz S-Class, or an Audi, one of these cars that
are kind of in the same category as a Tesla Model S, if so, I’m curious what you
think of these numbers, is this really high, is it low? And if you don’t have one of those cars, this may seem insanely expensive to you, but really, when you
compare apples to apples, I think you’ll find that
it’s a much better deal for your money, and there you have it. So thanks for watching, I
hope you guys enjoyed this. If you’re new here, consider subscribing. If you like data an analysis and Tesla and advanced tech and
things related to Tesla, that’s what we do, and
it’s free, so you know, what do you have to lose? Last thing, remember,
when you free the data, your mind will follow. Thanks for watching and I’ll
see you back here next time.

Tagged , , , , , , , , , , , , , , , , , , , , , , ,

Leave a Reply

Your email address will not be published. Required fields are marked *