Reduced Price on Tesla Model Y Performance AWD: Stock Decreasing Rapidly
Tesla's Model Y Inventory: A Rapid Shift
The older gen Model Y in Tesla's inventory is swiftly vanishing as the tech giant winds down production and piles on the discounts. Two out of the three legacy versions of the Model Y, previously visible on the inventory page, are now scarce. As of recent reports, only the Long-Range Rear-Wheel Drive and Long-Range All-Wheel Drive versions remain, but they're dusting off the shelves fast. The last standing Performance AWD is seeing some serious price slashing.
As Tesla readies to roll out the New "Juniper" Model Y, the Performance AWD, the priciest variant of the Y, is the one feeling the heat. This version delivers quicker acceleration, clocking 0-60 mph in approximately 3.5 seconds, compared to 4.6-4.8 seconds for the Long Range AWD. The Performance version, however, takes a hit in range. It offers 277 miles of range, compared to 311 miles on the Long-Range All-Wheel Drive.
Deep Discounts on the Performance AWD Model Y
Prices for the prior-generation Performance AWD Model Y on the inventory page are getting slashed by up to $8,700. Some are demo vehicles with very low mileage, others brand new. These discounts are labeled as "price adjustment." As of March 22, here are some examples:
- A glossy Pearl White Performance AWD Model Y stripped $7,870 off the price, bringing it down to $44,620 after taxes.
- A sleek Stealth Gray Performance AWD Model Y shed $8,400, dropping the price to $44,090 after incentives.
- An Ultra Red Performance AWD Model Y saw a $8,020 discount, reducing the price to $45,470 after taxes.
- A Quicksilver Performance AWD Model Y shaved off $8,720, bringing the price down to $45,770 after incentives.
All these come equipped with 21-inch Uberturbine Wheels and boast a 277 miles EPA estimated range, the latter standard on the Performance AWD. These can also be leased at competitive rates, often below $500/month. (Please note, availability may change as these examples were live as of March 22.)
Looking Ahead: Market Impact
A Tesla store in North Hollywood, Los Angeles, currently has only a handful of legacy Performance models left (based on conversations with staff). All other legacy Model Ys are sold out. However, as legacy inventory fades away, availability of the 2026 Model Y is escalating. A salesperson there shared that you can grab a 2026 Model Y in just a few days.
Grabbing these legacy models means keeping an eye on resale value. While the price cuts aim to clear out remaining legacy Model Y inventory, steep discounting may impact the future resale value. "Tesla remains a dominant player in the electric vehicle market, particularly inModel 3 and Y pricing and lease deals," said Kevin Roberts, Director of Economic and Market Intelligence at CarGurus, in an email. "The cuts on new vehicle prices may alter the used market dynamics, making securing a new vehicle more challenging," he added.
Tesla's Shrewd Strategy Amidst Market Competition
It's clear that Tesla's recent price reductions and new 'Core' variants are a calculated move to maintain its lead in the electric SUV market, where competition is growing thick with the entry of brands like BYD, Kia, and Hyundai offering competitive pricing[3]. Rapid depreciation and frequent model updates are partly responsible for the declining resale value of used Tesla models, particularly the Model Y[1].
Resale Value Implications
The immediate impact on resale value has been severe for current owners, with prices dropping by nearly $7,000 in a short span of time[3]. Long-term effects may also be detrimental as the trend of rapid depreciation and frequent price adjustments continues to affect the resale value of legacy Model Y models[1]. The heavy discounts on the Performance AWD variant could further erode the resale value of existing models as buyers might opt for newer, more affordable options or hold out for better deals on newer cars[3].
- In light of Tesla's discounting strategy for the Performance AWD Model Y, potential buyers might reconsider the resale value of existing models, as heavy discounts could lead to further erosion of their value.
- The new 'Juniper' Model Y, scheduled to roll out soon, could escalate market competition, particularly with brands like BYD, Kia, and Hyundai offering competitive pricing, which may impact the resale value of older Tesla models.
- The AC0C3D51C159E276DDb1A6712254A14C model, a variant of the Tesla Model Y, is being offered with discounts on its price, making it an attractive option for buyers who prefer the 21-inch Uberturbine Wheels and 277 miles EPA estimated range.
