Tesla Model 3 a second-hand success

While Tesla seems to constantly defy gravity in the business world – becoming a behemoth that outsizes car companies that actually sell far more vehicles to become the most valuable carmaker in the world – it is also now showing signs of doing the very basic things right as well.

Like being popular with second-hand buyers, largely thanks to the very highly demanded Model 3.

While it might be still a little early to know for sure how the Model 3 will perform as a second-hand proposition, due to the fact that owners tend to hang on to them for a few years, it is already showing signs of being dominant in the second-hand market.

See our Used EV Buying Guide, which details why Tesla’s hold their value well.

Based on sample data from various car-buying websites, things look pretty positive for the Model 3, according to Autonews Europe.

“If you’re looking for a used Audi A4, you have other comparable options like the BMW 3 Series, Mercedes-Benz C-Class and Lexus IS,” explains George Augustaitis, director of automotive industry and economic analysis at CarGurus. 

“If you’re looking for a Model 3, there’s no substitute.”

As long as Tesla holds its enviably unique market position with that car, it will continue to be the case in second-hand world for some time.

Unlike early EVs like the Nissan Leaf and BMW i3, which depreciated faster than conventional cars due to low demand and limited range, the Model 3 has everything going in its favour, including the the longevity of its battery.

According to iSeeCars, between March and June this year, used Model 3s needed just 29.3 days on average in order to sell, which is more than two times faster than the industry average. 

“Demand is outpacing the limited supply,” concluded Augustaitis about the Model 3. “Its range and tech and price point are still unique.”

The idea of demand outpacing supply in the second-hand market is, reportedly, very similar in Australia, where people who’ve waited a long time to get a 3 tend to hold on to their treasured purchase.

In Australia, the general manager of valuations giant Redbook says Tesla stands out among the limited number of EVs on the used car market.

“Tesla does buck the trend … they do hold their value quite well,” Booth told EV Central earlier this year. “Tesla is not an electric vehicle; it’s a sports car that happens to be electric.”