Tesla Expands National Reach In Used-Car Market | Edmunds

Tesla Expands National Reach In Used-Car Market

SANTA MONICA, California — The hype surrounding the introduction of the 2018 Tesla Model 3 affordable electric sedan isn't the only thing that's helping Tesla to expand its national reach.

It turns out that the electric automaker is making significant inroads in the used-car market, courtesy of the Tesla Model S sedan.

"For example, while nearly half of all new Model S units have been sold in California, only about one third of all used Model Ss have been sold in the Golden State," said Jessica Caldwell, Edmunds.com director of industry analysis. "Used Model S sales instead are over-indexing in other states, such as Florida, Texas, Washington, New Jersey and Arizona.

"The conclusion: Tesla's appeal is more diverse when shoppers have access to these vehicles at lower price points. And that's a trend that suggests a bright future for the Model 3."

A new 2016 Model S is priced at $71,200, including a $1,200 destination charge.

The Model 3, which targets the Chevrolet Bolt EV and Nissan Leaf, will be priced at around $35,000 when it arrives at Tesla stores in late 2017.

The Tesla Model S targets the BMW ActiveHybrid7, Lexus LS 600h and Porsche Panamera S E-Hybrid.

So far, 2016 is shaping up to be yet another record year for used-vehicle values and CPO sales, according to the new Edmunds.com Used Vehicle Market Report.

Edmunds says: A great way for car buyers to get to know Tesla is to consider a used Model S.

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