Tesla currently is selling its pre-owned cars on its website which is for the first time, according to Wall Street Journal. There is an option to “Buy Pre-owned” on one of the options. The vehicles for sale are up to 2-and-a-half years old and mostly are lack of all-wheel drive which is a feature that the company announced in April.
The cheapest second-hand Model S costs around $63,000 which is about $12,000 or less than when you buy the most affordable new vehicle from the same company, Tesla. Unfortunately, the price is before the federal tax credit and state purchase incentive; however, it includes a four-year or 50,000 limited warranty by Tesla. It is considered not a bad option for drivers who do not mind the lack of all-wheel drive.
Apparently, Tesla does the sales directly to the customer. The company does not use any independent car dealer; therefore, it does not suffer from a share cut from the sales. By selling its second hand cars, it will become another revenue stream apart from selling the first hand cars. On top of that the profit margin for selling second hand cars is higher.
Recently, there were a lot of announcements from Tesla, such as the high-end electric car which is going to launch soon as well as Tesla Energy plan which includes a new battery called Powerwall which is used to store energy and thus powering the home and Powerpack, which has the same functionality as Powerwall but it is for industrial purposes.
Tesla declines to comment regarding this issue.
Tesla Used Cars Sold Online on its website for thousand dollars less
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