The Tesla Model S, introduced over a decade ago, revolutionized the electric vehicle market with its ground-breaking mass production of a luxury electric vehicle. Fast-forward to today, and many people looking to get into a Tesla are chomping at the bit about the current value of a 10-year-old Model S. Whether you’re a Tesla aficionado or just exploring your first electric vehicle purchase, understanding the worth of these pioneering cars can provide valuable insights into their longevity and value retention.
Getting a detailed look at the different pricing for an EV that is a decade old can give a great perspective into the depreciation of EVs in the future. Assessing the viability of an older Tesla like the 2014 Model S will allow a realistic insight into why they are still an expensive purchase. The older Model S still feels futuristic, and that is likely why the used market for them has done so well over the years, especially in the U.S. Thankfully, even with the older technology, there is still little worry about repairs and obsolescence, you will just have to accept it is not the latest and greatest.
In order to give you the most up-to-date and accurate information possible, the data used to compile this article was sourced from various manufacturer websites and other authoritative sources, including KBB, J.D. Power, and Edmunds.
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Here’s How Much A 10-Year-Old Tesla Model S Is Worth Today
The Tesla Model S, once the crown jewel of electric vehicles, has seen quite a journey over the past decade. Originally priced at $71,070, a standard 10-year-old Model S has depreciated by a staggering 75.65-percent. This substantial drop brings its fair market value down to $17,306, according to Kelley Blue Book. While this may seem like a monumental loss in value, it’s essential to remember that these early models were the pioneers of Tesla’s breakthrough into the mainstream automotive market.
|
MSRP |
Current Value |
Depreciation |
|
|---|---|---|---|
|
Standard |
$71,070 |
$17,306 |
75.65% |
|
85D |
$90,070 |
$22,340 |
75.20% |
|
P85 |
$102,820 |
$25,567 |
75.14% |
|
P85D |
$110,670 |
$26,828 |
75.76% |
Other trim levels for the 2014 Tesla Model S also reflect varying degrees of depreciation. The 85D, for instance, holds a fair market value of $22,340, while the P85 is valued at $25,567. The top-tier P85D, with its enhanced performance features, commands a slightly higher market value of $26,828. Even with the significant depreciation, these vehicles still offer a taste of Tesla’s innovative engineering and design at a fraction of their original cost, providing an incredible opportunity for those wanting a luxury EV without forking over a mortgage.
Tesla Model S Depreciation Over 10 Years
Depreciation is a critical factor when considering the purchase of any vehicle, and the Tesla Model S is no exception. Over the past decade, the Model S has shown a depreciation rate of 75.65-percent overall for the standard model. As we showed in the previous table, each trim level has dropped roughly 75-percent of its original value, keeping things consistent. This means that from its initial MSRP of $71,070, the car’s value has dropped to approximately $17,306 today. This might appear drastic, but it’s typical for early models of revolutionary technologies to experience higher depreciation rates as the market stabilizes, and newer models are introduced.
Factors contributing to this depreciation include technological advancements, battery degradation over time, and the increasing availability of newer, more efficient models. Combining a pioneering electric powertrain with luxury vehicle depreciation, we are pleasantly surprised that the Model S has not dropped even lower. Impressively, the Model S still retains significant value due to its robust performance, luxury features, and the prestige that is now associated with the Tesla brand.
How Much A Tesla Model S Might Depreciate Beyond 10 Years
Looking beyond the 10-year mark, it’s challenging to predict precisely how much further a Tesla Model S might depreciate. Generally, the rate of depreciation tends to slow as vehicles age, especially for well-maintained models. As these cars transition into classic status, their value might stabilize or even increase, depending on their condition and historical significance. Using CarEdge‘s depreciation calculator, we can see with standard mileage increases that the Tesla could dip another 50-percent from its current value.
|
Years Old |
Depreciation |
Residual Value |
Resale Value |
Mileage Increase |
Resale Year |
|---|---|---|---|---|---|
|
1 |
$1,672 |
93.95% |
$25,971 |
9,000 |
2022 |
|
2 |
$1,743 |
93.70% |
$25,900 |
18,000 |
2023 |
|
3 |
$4,082 |
85.23% |
$23,561 |
27,000 |
2024 |
|
4 |
$7,394 |
73.25% |
$20,249 |
36,000 |
2025 |
|
5 |
$9,228 |
66.62% |
$18,415 |
45,000 |
2026 |
|
6 |
$10,594 |
61.68% |
$17,049 |
54,000 |
2027 |
|
7 |
$12,456 |
54.94% |
$15,187 |
63,000 |
2028 |
|
8 |
$13,894 |
49.74% |
$13,749 |
72,000 |
2029 |
|
9 |
$14,069 |
49.11% |
$13,574 |
81,000 |
2030 |
|
10 |
$14,562 |
47.32% |
$13,081 |
90,000 |
2031 |
For the Tesla Model S, continued advancements in battery technology and electric vehicle infrastructure could play a crucial role in its future value. If replacement batteries become more affordable and accessible, it could extend the usable life of these older models, potentially preserving their value. Moreover, as the electric vehicle market grows, early adopters like the Model S may gain a certain nostalgic appeal, contributing to their long-term worth. There are plenty of classic ICE cars that have even risen in value, so there may be a market for classic EVs in the future.
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Buying A Tesla Model S New vs. Used
When deciding whether to buy a new or used Tesla Model S, there are several factors to consider. The new Tesla Model S comes with the latest technology like Tesla’s autopilot, better range, and enhanced features that reflect the latest advancements in electric vehicle design. Additionally, a new purchase includes the full benefit of Tesla’s warranty and the peace of mind that comes with knowing the complete history of your vehicle.
On the other hand, a used Tesla Model S can offer tremendous value for those willing to forego some of the latest features. Given the substantial depreciation seen in these vehicles, a used Model S allows buyers to experience the luxury and performance of a Tesla at a heavy discount. While there may be concerns about battery degradation and wear and tear, many find that the cost savings outweigh these potential issues.
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Tesla Model S Pricing
Comparing the cost of a 2014 Tesla Model S to a 2024 model provides a clear picture of the financial implications. In 2014, the base model had an MSRP of $71,070, which has since depreciated to a fair market value of $17,306. This dramatic drop highlights the advantage of buying used if budget is a primary concern. Even the higher trims, such as the 85D, P85, and P85D, which are valued at $22,340, $25,567, and $26,828 respectively, offer significant savings over their original prices.
Conversely, the 2024 Tesla Model S starts at around $74,360, reflecting substantial upgrades in technology, performance, and range. The Plaid version, known for its unparalleled acceleration and top-tier features, weighs in at $89,630. While a new model ensures you get the latest innovations and a fresh start, the price difference is substantial compared to a well-maintained used model.
Average Insurance Costs of A New Tesla Model S
Insurance costs are a vital consideration in the total ownership cost of a vehicle. For a new Tesla Model S, insurance premiums can be quite high due to the vehicle’s high value and advanced technology. On average, insuring a new Tesla Model S can cost between $3,600 to $5,100 annually according to CarEdge, all depending on factors such as the driver’s age, location, and driving record.
In contrast, insuring a 2014 Tesla Model S is substantially less expensive. Given its lower market value, insurance premiums for the older model range from $1,000 to $1,800 per year. While the exact cost varies based on individual circumstances, the lower insurance premiums for a used Model S contribute to its overall affordability. Wrap that up into the depreciated purchase price and there is even more reason to grab one.
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Assessing A Used Tesla Model S’s Viability
Evaluating the viability of a used Tesla Model S involves considering several key factors, including battery health, maintenance history, and what technology you might want. One of the primary concerns for any electric vehicle is the state of its battery. A well-maintained Tesla Model S can still offer impressive range and performance even after 10 years, but it’s crucial to verify the battery’s condition. Potential buyers should look for detailed service records and consider having the vehicle inspected by a Tesla-certified technician to ensure all components are in good working order.
Another aspect to consider is the availability of software updates. Tesla frequently rolls out updates that improve functionality, enhance performance, and introduce new features. A used Model S that has received regular software updates can still provide a modern driving experience. Additionally, assessing the overall condition of the interior and exterior can give you a good indication of how well the vehicle has been cared for.
How To Retain A Car’s Value
Maintaining a car’s value involves consistent care and attention to detail. For a Tesla Model S, this includes regular servicing and adhering to the low-cost recommended maintenance schedule. One of the biggest things to stay on top of with an EV is software updates. These updates are crucial to ensure the longevity of the battery and many other components. Keeping the battery charged within optimal levels, avoiding extreme temperatures, and using Tesla’s supercharger network judiciously can help prolong battery life and overall vehicle health.
Cosmetic upkeep is also essential. Protecting the car’s exterior with regular washing, waxing, and using paint protection film can prevent damage from the years of mileage on the road. Inside, using seat covers and floor mats, as well as keeping the passenger area clean, can preserve the vehicle’s interior condition.
A 10-Year-Old Model S Vs. 5-Year-Old Model S
Comparing a 10-year-old Tesla Model S to a five-year-old model reveals some significant differences. A 2014 Model S, with its fair market value significantly lower due to substantial depreciation, offers an affordable entry point into Tesla ownership. However, it may lack some of the latest features and advancements found in newer models. The battery may also have experienced more degradation, affecting range and performance.
The 2019 Model S, on the other hand, typically retains more of its value and incorporates newer technology, improved battery performance, and enhanced safety features. The Model S received a major overhaul in 2016 that saw updated bumpers, lighting, and interior. The cost of a five-year-old Model S is roughly $36,724, but it strikes a balance between modern features and reduced depreciation compared to a brand-new model. Ultimately, the choice depends on your budget, desired features, and how long you plan to keep the vehicle, but we would choose the updated model.
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