Tesla Temporarily Cut Model Y Pricing

Chris Teague
by Chris Teague

The Tesla Model Y is the world’s best-selling electric vehicle, but that hasn’t stopped the automaker from exploring new ways to boost buyer interest. Though it’s eligible for federal tax credits, Tesla is temporarily decreasing pricing on the SUV, dropping it to $42,990 for the base model and $47,990 for the Long Range model.

That pushes the lease price down to $379 to start, and the down payment is at just $2,500. Tesla also lists the post-tax credit prices, which can be applied at the point of sale starting this year. They make the base Model Y $35,490, the Long Range $40,490, and the Performance $44,990.

It’s important to note that this price cut is temporary, according to Tesla. That said, there’s nothing saying that the automaker won’t change its mind and extend the cuts. Tesla cut prices several times last year, making the Model 3 one of the most affordable EVs on sale, but the move angered owners and threw the vehicle’s long-term values into complete chaos.

The automaker has said that continued price cuts are not the best path forward, so it will be interesting to see where things go after this. Other companies have offered discounts on vehicles not eligible for tax credits, but that’s not a problem with the Model Y. We’ll just have to wait until March 1 to see if Tesla decides to keep the price cuts or bring back the higher MSRPs.

[Image: Tesla]

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Chris Teague
Chris Teague

Chris grew up in, under, and around cars, but took the long way around to becoming an automotive writer. After a career in technology consulting and a trip through business school, Chris began writing about the automotive industry as a way to reconnect with his passion and get behind the wheel of a new car every week. He focuses on taking complex industry stories and making them digestible by any reader. Just don’t expect him to stay away from high-mileage Porsches.

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17 of 33 comments
  • Peter Peter on Feb 12, 2024

    Fire Elon. Then build a vehicle with all the gages knobs and buttons in the right place. Adjusting the speed of your windshield wipers should not involve a touch screen.

    • See 5 previous
    • MaintenanceCosts MaintenanceCosts on Feb 12, 2024

      Here in the Land of Drizzle "automatic" wipers only accomplish one thing automatically, which is to be in the wrong setting. I probably adjust my Highlander's "automatic" wipers more than the old-fashioned "off-int-lo-hi" ones in the Bolt.

  • EBFlex EBFlex on Feb 12, 2024

    Funny. Demand is supposedly so high they have to cut prices.

    • See 4 previous
    • VoGhost VoGhost on Feb 14, 2024

      Why is the concept of dynamic pricing so difficult for douchebags to comprehend? Legacy ICE age automakers do it all the time, but with incentives to the dealer, which only occasionally benefit the actual consumer.

  • ToolGuy ToolGuy on Feb 12, 2024

    "That pushes the lease price down to $379 to start, and the down payment is at just $2,500."

    • If I sign up for this deal will everyone finally like me? I want so badly for people to respect my vehicle choices... 😉

    • Luke42 Luke42 5 days ago

      I’ve got one word for you: Thundercougerfalconbird!

  • Master Baiter Master Baiter on Feb 13, 2024

    Tesla's factory-to-customer model means prices should be more volatile than traditional cars where thousands of dealers are able to hold inventory. Tesla probably doesn't have the space to store a lot of cars should the factories get ahead of demand.

    Rather than continuing to cut cost, I'd like to see Tesla invest in tooling some traditional switchgear, as well as offering more interior and color options. A heads-up display would be nice too. And I think they need to bring back radar cruise control. The times I've driven an M3 I had many instances of phantom braking during cruise control operation.

    • SCE to AUX SCE to AUX on Feb 13, 2024

      That phantom braking thing is really scary, then infuriating.