The $25000 Tesla Is Real Thanks to Hertz Fire Sale
What was the financial value of the deal between Hertz and Tesla for the purchase of 100,000 Model 3s?
The financial value of the deal between Hertz and Tesla for the purchase of 100,000 Model 3s was $4.2 billion. This information can be found in the web search content where it states, "In one of the largest-ever purchases of electric vehicles, Hertz will spend $4.2 billion on the cars, about $42,000 per car, Bloomberg News reported3."
How has Hertz's decision to sell off its fleet of Teslas at an average price of $25,000 impacted Elon Musk's promise of a more affordable Tesla model?
Hertz's decision to sell off its fleet of Teslas at an average price of $25,000 has inadvertently made Elon Musk's promise of a more affordable Tesla model a reality, at least for used Tesla Model 3s2. The average no-haggle price for a Hertz-inspected used Model 3 is now around $25,000, which includes a 12-month/12,000-mile limited powertrain warranty and a seven-day or 250-mile buy-back guarantee. Some of the Hertz Teslas will also qualify for the $4,000 federal tax credit on used EVs, plus a further assortment of state or municipal discounts. However, these are mostly base Model 3s with less than 300 miles of range and have been used as rental cars, which may have experienced more wear and tear than a privately-owned vehicle2.
What additional benefits does Hertz offer with the purchase of a used Model 3, such as warranties and guarantees?
Hertz offers several benefits with the purchase of a used Model 3. These include:
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A 12-month/12,000-mile limited powertrain warranty: This warranty covers the engine, transmission, and drive axle for up to 12 months or 12,000 miles, whichever comes first.
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A seven-day or 250-mile buy-back guarantee: If you're not satisfied with your purchase, Hertz offers a buy-back guarantee within seven days or 250 miles of your purchase.
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Optional extended warranties: Customers can purchase extended warranties for additional coverage.
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Federal tax credit on used EVs: Some of the Hertz Teslas will qualify for the $4,000 federal tax credit on used EVs, plus a further assortment of state or municipal discounts.
These benefits aim to provide peace of mind to customers when purchasing a used Model 3 from Hertz.