The Cost of Tesla Model 3: Good or Bad

Here is a brief breakdown of Model 3's cost. The MSRP is 35,000 US dollars. Add to this $5K for the premium package. Add to that 5K Autopilot, 1K for the blue color, 1.5K for the wheels and minus $7.5K. As a result you get the Model 3 with all options at about 40,000 dollars. If you happen to live in California and meet some salary requirements you will also get this 2,500 dollar rebate in addition to the 7,500 dollar tax credit.

Some people say for that price the Model 3 needs to have a better battery power. As you may know, people who want to spend more, can have a the "Long Range" model with a stronger battery, which will be available for an extra $9,000.

But I read one opinion in Tesla Model 3 Owners group on Facebook explaining why there is no need for it. "No reason for higher battery. In 10 years or so, battery replacement cost will be a fraction of today's, with significant improvement in range. Save your money for a replacement battery in the future. Today, enjoy using the ever expanding super charger network, or simply plug in at home a little more often during the year," writes a group member named Peter. He says he doesn't see any value in larger battery for 9,000 dollars. It simply makes the car way too expensive.

Another group member, named Scott, agrees with Peter with the following thought.

"I totally agree Peter. I find it so crazy that a year ago, all people wanted was an EV that would go 200 miles. Now suddenly thats not good enough. Even without the tax credit, this car is very competitive with BMW 330, and Audi A3. I have a feeling that these complaints will stop after they see how much you won't be getting with the new Nissan Leaf, which is actually a sub-compact," he writes.

By the way, there is a new development regarding the pricing in the electric car market. The 2017 Chevy Bolt undercuts Tesla Model 3 by nearly $4k due to dealer discounts.