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Transportation Businesses

Tesla Adds Used Models To Its Inventory, For Online Purchase 65

Jalopnik reports that Tesla Motors Inc. has very quietly started to sell used cars online, following in the footsteps of larger car companies. Its new certified vehicle program brings down the staggering costs of one of their electric cars while still ensuring manufacturer maintenance and repairs. Most of the cars that are on Tesla’s website were previously owned by people who have since traded up to the AWD Model S. Soon, this stockpile will also include leased Teslas. Engadget adds You're limited to shopping in a handful of cities in the U.S. and Canada, but the cars come with a 4-year, 50,000-mile warranty to assuage fears that you've bought a lemon. No, the move doesn't make the company's luxury EVs much more attainable -- the best offer we've seen so far is for a $59,000 'entry' model.
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Tesla Adds Used Models To Its Inventory, For Online Purchase

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  • by YrWrstNtmr ( 564987 ) on Sunday May 03, 2015 @01:53PM (#49606621)
    If I could afford $70k for a used one, I could afford a new one.

    Washington, used P85, 19,000 miles, $79,000.
    New P85D, $87,500.
    Why would I bother with the used one?
    • by t0qer ( 230538 )

      Unlike internal combustion engines, electric brushless motors can last pretty much forever. Drivetrain wear is probably the #1 reason cars depreciate in value. If there's no wear, there's no depreciation.

      • by paskie ( 539112 )

        Maybe you have never owned a notebook or a cellphone, so let me note: batteries deteriorate.

        • by itzly ( 3699663 )

          While all batteries deteriorate, the battery in the car is not the same type as in your notebook, and will last longer.

          • by compro01 ( 777531 ) on Sunday May 03, 2015 @03:02PM (#49607007)

            Actually, they are about the same type. Tesla's packs use a modified (PTC fuse and CID removed) version of the bog standard 18650 Li-ion cell, which is commonly used in laptop batteries.

            It's the battery management system and the cooling system that would make the difference in longevity.

            • It's the battery management system and the cooling system that would make the difference in longevity.

              Usage patterns also matter. Plenty of people, like my wife and kids, regularly run down their phones and laptops to 0%, even when there is a charger three feet away. Most people commute 30 miles or less in a day, which is only about 15% of a Tesla's range.

              • by adolf ( 21054 )

                You think your wife and kids won't regularly run a Tesla down to 0% (for various values of "0"), even when there is a charger three feet away from where it is parked?

            • It's the battery management system and the cooling system that would make the difference in longevity.

              Sure, if you mean over provisioned batteries that you never have access to the full capacity of, then sure.

              Tesla has nothing special, they just sell you 20kw/H batteries, and call them 5kw/H batteries, now they last 4 times as long. No those numbers are not exact matches for Tesla packs, but the point is the same.

              My point is simply that they don't have anything special other than a different usage pattern to prevent stupid users from destroying the batteries.

              • by Smidge204 ( 605297 ) on Sunday May 03, 2015 @04:14PM (#49607349) Journal

                From owner's estimations, ~90% of the battery's stated capacity is actually available for use. The 10% is not so much "fail-over" capacity as it is a buffer to keep the battery away from the extremes of charge/discharge states, where most of the degradation occurs.

                Your cell phone battery has no problems charging to 100%, since you want to get as much energy (and therefore use time) in there as possible for the weight. However, charging to 100% harms the chemistry, and after a few years the battery no longer lasts as long. That's fine for a cell phone - part of it is planned obsolescence, part of it is the reality that a lot of people won't keep their phone more than a few years.

                In an EV you have the luxury of maintaining a charge buffer, since the added weight and cost is fairly minimal and people have a much higher expectation of long-term performance.

                So usage pattern + design (thermal management) + energy management which does prevent the user from destroying it = significantly different performance degradation profile.
                =Smidge=

        • Yes, most batteries do degrade noticeably over time, but where your laptops, cell phones and other small hardware is concerned, there are several free apps for reducing that rate of degradation. Battery Widget, which is what I use and is quite satisfactory, lets you know when you have reached upper or lower limits (or both) of battery charge levels that you set-- I have mine set at 80% (upper limit) and 25% and 30% lower limits). By keeping my phone's charge levels in its "sweet spot", it will last notic
      • Drivetrain wear. And seat cushions, and pedal surfaces, and all that other stuff that shows wear damage after use.
        Yes, they are great cars. But why would I pay $60-70K for a used one, when a new one isn't that much more?

        A BMW, $50k new. A few years old, $25k. That works. If that used BMW were $45k...that would NOT work.
        • I expect that Teslas will depreciate but it'll just be less than with an ICE powered car. I'll be looking for a 30-40% depreciation before I could dream of talking the spouse into buying one.

        • by BasilBrush ( 643681 ) on Sunday May 03, 2015 @02:21PM (#49606787)

          The used Tesla prices will respond to demand. If there's not enough demand at those prices, they lower the prices. If there's a glut of used cars to sell (like the ex-leased ones that will come along before long), then the price will be lowered. The initial high prices probably reflect the fact that there aren't many used Teslas as yet.

          • Re: (Score:2, Insightful)

            by Anonymous Coward

            There's also a waitlist for new Teslas, since demand is currently higher than the rate the Tesla can produce them.

      • Re: (Score:2, Insightful)

        by wisnoskij ( 1206448 )
        Theoretically, I would like to see in a few decades if a Tesla engine lasts any significant amount longer than a standard well made combustion. And batteries really take the place of the engine for a combustion car (they are really the heart and soul of the electric car, on which everything else depends). They are super expensive, and I have yet to see any battery tech that lasts over 4 years, and normally it is performing far worse than optimal at a fraction of that time. I think Tesla claims that theirs a
        • by sribe ( 304414 )

          They are super expensive, and I have yet to see any battery tech that lasts over 4 years, and normally it is performing far worse than optimal at a fraction of that time.

          Actual tests on actual used cars (by Consumer Reports) demonstrate that what you say is unequivocally wrong for the batteries used in EVs and hybrids. No, the ones in our notebooks and phones don't last so long, because size and weight are more important than lasting 10 years. Cars are designed differently, for different longevity/size/weight tradeoffs than are portable electronics.

          • Phones and laptops are also subject to relatively harsher environments. They're not cooled adequately and they're normally fully cycled every single day. An EV's battery pack could feasibly last a week or two for someone with a short commute.
            • My 6 year old netbook battery hasn't declined noticeably yet, thanks to not being used a lot. So yes, fewer charging cycles can mean much longer life.

          • No, the ones in our notebooks and phones don't last so long, because size and weight are more important than lasting 10 years. Cars are designed differently, for different longevity/size/weight tradeoffs than are portable electronics.

            Except that Tesla (and Smarts, and the few other cars which use batteries manufactured by Tesla) use *the exact same kind* of battery cells as regular laptops (on purpose, because they are cheap and easy to source due to the economy of the scale at which they are produced).

            The difference isn't the battery it self (it the exact same cell), it's the battery management software, and the usage pattern.

            - Lithium batteries age with the number of cycle they go through. It happens really often that a laptop is drai

            • by sribe ( 304414 )

              Except that Tesla (and Smarts, and the few other cars which use batteries manufactured by Tesla) use *the exact same kind* of battery cells as regular laptops (on purpose, because they are cheap and easy to source due to the economy of the scale at which they are produced).

              No, they purchase custom cells. Being Lithium-ion, they are certainly similar, and Tesla does not publicly reveal what is custom, but they are not the exact same.

              • They mostly remove the safety equipment that's redundant in a Tesla battery pack. Normally they pack a thermal fuse that kills the battery if it overheats or experiences sufficient current overflow.

                • by sribe ( 304414 )

                  They mostly remove the safety equipment that's redundant in a Tesla battery pack. Normally they pack a thermal fuse that kills the battery if it overheats or experiences sufficient current overflow.

                  They have revealed that. (They didn't really have a choice, since they wanted to patent parts of the process, to stop others from duplicating it by tearing apart their battery packs and figuring it out.)

                  There is no information, none whatsoever, which would confirm that's the only difference in the customized cells they buy from Panasonic.

            • by Agripa ( 139780 )

              - Lithium batteries age with the number of cycle they go through. It happens really often that a laptop is drained all the way down to 0% or nearly 0% (lithium batteries hate that). Whereas most of the daily commute Tesla cars are subjected to are short trips that only eat a fraction of their charge.

              - The more violent the discharge rate, the faster the lithium battery will age. Under heavy load, a laptop battery will get completely drained in hour or two max. On the other hand, given its range and typical s

        • If you've failed to see, then you haven't looked.
          Prius batteries are warrantied for 10 years. Full parts and labour if they fail. Most last longer than that.

          Priuses used as taxies tend to be replaced after 300,000 miles, and they don't need a battery replacement in that time.

          Basically, car batteries have roughly the lifespan of an internal combustion engine.

        • wisnoskij: regarding EVs and hybrids, it helps to use the term "engine" only when referring to fueled powerplants, and "motor" when referring to electrical drive, including hybrids that have both ICEs and motors... otherwise, it leads to confusion and misunderstanding.
      • Also, do I get the $7,500 Fed tax credit? Or does that only apply to the original buyer? I don't know either way, but something to investigate before taking the plunge on a used one.
        • I'd be shocked if you also got the federal tax credit. For one thing, it could lead to fun games: Imagine if every purchaser of the car gets the $7500 tax credit.

          I buy it from the factory, I get $7500 (but pay about $100K).
          I sell it to you for $7500. You get $7500 back. It's free to you.
          You sell it to me for $7500. I get $7500 back. I keep my car, and you just made $7500.

          Repeat as necessary.

        • by Notabadguy ( 961343 ) on Sunday May 03, 2015 @06:27PM (#49607883)

          No, you do not.

          If you look at the federal tax credits at fueleconony.gov, the tax credit only applies to the first owner of the vehicle, only for new vehicles, and only in certain years.

          If you lease a new EV, the dealership keeps the federal tax credit as well. If you look at the forms at fueleconomy.gov, it's pretty specific.

        • by Anonymous Coward

          https://www.fueleconomy.gov/feg/taxevb.shtml

          In short. No.

          The original use of the vehicle commences with the taxpayer—it must be a new vehicle.

          The vehicle is acquired for use or lease by the taxpayer, and not for resale. (The credit is only available to the original purchaser of a new, qualifying vehicle. If a qualifying vehicle is leased to a consumer, the leasing company may claim the credit.)

      • by Agripa ( 139780 )

        Motors should be more reliable than engines and transmissions but I have changed more wheel bearings than engine and transmission bearings. I have little doubt that Tesla makes a well designed and reliable electronic drivetrain but I expect companies like GMC to build carefully crafted junk when they get around to it.

      • by afidel ( 530433 )

        Unlike internal combustion engines, electric brushless motors can last pretty much forever. Drivetrain wear is probably the #1 reason cars depreciate in value. If there's no wear, there's no depreciation.

        ahem, about that [dailytech.com].

        Three drive train replacements in 30k in an ICE vehicle would qualify it under probably every states lemon laws.

    • by Anonymous Coward

      > If I could afford $70k for a used one, I could afford a new one.

      People don't get rich by indiscriminately buying new for an extra $8500 when used would be good enough. For some people, the way they came to be able to afford a $70k car (and also a new one) is by choosing used when it is good enough.

    • Because it's just like new for a tidy little discount. Why pay full price when you don't have to?

      The $79k car you picked out had a couple options that put it to $91k new, so you're getting a one year old car for 15% off. I think that's about right.

    • If I could afford $70k for a used one, I could afford a new one.

      Perhaps the main purpose of that pricing is to convince would-be buyers of new ones that their car will hold its value.

    • by Anonymous Coward

      There is a difference between being 'able to afford' something and being frugal. If you are wise with your money and you really wanted a Tesla, you would buy the used one and invest the $10k difference. It's backed by the same warranty and you're effectively getting the same thing.

      It may be anecdotal, but without exception all of my comfortable/wealthy friends buy used cars while the ones living paycheck to paycheck buy or lease brand new ones. One of my friends cleared over $6 million after taxes last year

    • by tlhIngan ( 30335 )

      Why would I bother with the used one?

      It's actually a reflection on the odd fact that a brand new Tesla is often *cheaper* than a used one.

      Yes, you heard that right - you can pick up a new Tesla cheaper - Tesla's got a continual backlog of at least 3 months or more...

  • by crow ( 16139 ) on Sunday May 03, 2015 @02:04PM (#49606675) Homepage Journal

    I went to http://www.teslamotors.com/ [teslamotors.com] and I didn't see any reference to used cars. The stories say they "quietly" started selling used cars, but "quiet" appears to be an understatement when you can't find it even if you're looking.

    • by Anonymous Coward

      http://www.teslamotors.com/models/preowned

  • by crow ( 16139 ) on Sunday May 03, 2015 @02:45PM (#49606927) Homepage Journal

    Thanks to the person who posted the link:

    http://www.teslamotors.com/mod... [teslamotors.com]

    Some of these cars are great deals.

    You won't find the dual-motor versions, so they're all rear-wheel drive.

    I don't think you'll find the autopilot feature on any of them.

    And the real frustrating part of the experience is that the filters are very limited. You can't filter on particular features, such as panoramic roof, subzero package, or rear-facing seats.

    I expect they'll improve the filtering when they have more than 20 cars to look at.

    • http://logmysc.com/cpo-reports... [logmysc.com] will let you filter quite nicely

      VIN
      Locale
      Trim
      Auto Pilot
      Dual Motors
      Color
      Roof
      Wheels
      Interior
      Year
      Miles
      Price
      Date Added

      You are correct that none have CPOd with autopilot or dual motors yet. The consolidator also lets you see the sold cars (or at least ones removed). Presumably some could be removed without selling.

      Cheapest so far was $53,000 S60 Grey Metallic 2013 26,569 miles
      Cheapest 85kWh so far was $55,850 S85 Black 2012 18,633 miles
      Cheapest P85 so far was $63,400 Black

  • $59k isn't bad (Score:4, Interesting)

    by damn_registrars ( 1103043 ) <damn.registrars@gmail.com> on Sunday May 03, 2015 @04:04PM (#49607291) Homepage Journal
    Yeah, it isn't a whole lot less than the cost of one new, but it really isn't a bad deal. If you compare it to a BMW 5 series - most of which start above $50k new - and consider that the BMW will be much more costly to maintain, the Tesla becomes a good deal pretty quickly.
  • by R3d M3rcury ( 871886 ) on Sunday May 03, 2015 @07:08PM (#49608055) Journal

    They've had a link to pre-owned roadsters [teslamotors.com] for awhile. Of course, it's rare to actually find one, dammit...

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