The introduction of the 2026 “Juniper” Model Y, which features a fully-loaded Launch edition priced at $60,000 and a base All-Wheel Drive model starting at $48,990, has significantly impacted the used Tesla market. As existing owners seek to upgrade to the latest version, a surge of older Model Ys is entering the market, leading to reduced prices. CarGurus reports a 2.72% decline in the used Model Y prices over the last 90 days and a more substantial 12.69% drop over the past year.
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This influx of older Model Ys is especially pronounced, with many high-mileage vehicles now available for under $25,000, or even below $20,000. The availability of these affordable used Teslas presents a unique opportunity for buyers, especially with potential federal incentives. According to the IRS, used EVs priced at $25,000 or less and two years older than the current year may qualify for a tax credit of up to $4,000. This could bring the effective price of some older Model Ys down to the low $20,000s or even into the mid-teens.
In addition, Tesla's marketing efforts and competitive pricing for the Juniper Model Y have created a buyer's market, as disillusioned owners relinquish their vehicles in response to various controversies surrounding CEO Elon Musk. With numerous online marketplaces reporting a wealth of options, potential buyers are in a strong position to negotiate on pricing as new model editions reshape the dynamics of the EV market.
Source: forbes / Pic: Tesla
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