Tesla Model 3 at the moment is the cheapest car that Elon Musk's company produces. Its official price tag starts at $35,000, which is way lower compared to Tesla Model S. However, residents of California will now be able to purchase it for $10,000 cheaper, paying only 25,000 dollars.
As you already probably guessed, it's the state benefits to promote environmentally friendly cars that make this price drop possible. Tesla model 3 is now officially included in the Clean Vehicle Rebate Project (CVRP), which significantly reduces the cost of an electric vehicle through a federal tax credit. Depending on the conditions and criteria of specific buyers, the discount can be even greater, but on average for an interested resident of California, the cost of Tesla Model 3 will drop to $25,000.
Not Every Model 3 Owner Will Qualify
However, not every Tesla Model 3 owner will be eligible for this additional 2,500 dollar discount. The issue here for the potential buyers is that individuals, whose income is above $150,000 a year or families with a combined income of 300,000 dollars per year are not eligible for the CVRP rebate program. But this is not biggie. Americans with an average salary of more than $ 12,500 a month will certainly be able to pay the full cost of an electric vehicle without any problems.
Rebates After The Purchase
Also you should know that the owner of a Tesla Model 3 vehicle will receive the benefits only after the purchase. This means, you will need to pay the full price and then only apply for the rebates and receive the federal electric drive credit, with 7.500 dollars and the 2,500 thousand rebate if you are a California resident through the CVRP program.
The Clean Vehicle Rebate Project (CVRP) - which promotes clean vehicle adoption in California by offering rebates of up to $7,000 for the purchase or lease of new, eligible zero-emission vehicles, including electric, plug-in hybrid electric and fuel cell vehicles - has several additional conditions and nuances. Thus, if you are interested in this rebate opportunity, I would recommend studying it more in detail on its official website.
MSRP Price Comparison of Most Popular Electric Cars Before Incentives
- Tesla Model 3 - $35,000
- 2017 Tesla Model S - $68,000
- 2017 Tesla Model X - $82,500
- 2017 Chevrolet Bolt EV - $36,620
- 2017 BMW i3 - $42,400
2017 Nissan LEAF S - $30,680