Kyle Conner, a YouTuber who runs the “Out of Spec Reviews” channel, decided to sell his Tesla Model S that he bought in 2022 for $140,000. However, he was shocked when Tesla’s own valuation indicated the car was now worth only $46,400, resulting in a 67% loss of its original value.
Although Conner could have tried to sell it himself to get a slightly better price, other car valuation platforms didn’t estimate much higher, with maximum offers around $59,000.
To understand the depreciation of Teslas compared to conventional cars, TikToker Chris Pearce compared the Model S to a 2022 BMW M5 CS, which also cost $140,000. While the BMW lost about $10,000 in value, the Tesla depreciated much more quickly.
Recent studies from Diminishing Value Carolina show that Teslas depreciate up to 70 times faster than cars from brands like Chevrolet, with GMC and Porsche having the lowest depreciation rates in the industry. Tesla, along with electric vehicles in general, appears to have an exceptionally high depreciation rate.
Amid discussions about the resale value of Teslas, Reddit users shared their frustrations about Tesla’s control over the used car market, citing that the company restricts the purchase of vehicles at the end of lease contracts to manipulate prices.
Conner, who felt the impact of this sharp depreciation, recently pointed out that his viral post about the loss in value of the Model S received much more attention than his positive reviews of other Tesla models, suggesting a possible negative bias against the brand in the media.
Source: Unilad | Photo: Instagram @virtualkyle | This content was created with the help of AI and reviewed by the editorial team
@thechristopherpearce Insane how fast Teslas depreciate #carnews #tesla ♬ original sound – Chris Pearce