When a company is able to break through and disrupt an industry, the initial success is immediately followed by an absolute grind to remain relevant and hold strong against the competition that inevitably pops up. Some are able to hold onto the spark and keep going, but many others get chewed up and forgotten as more agile and innovative rivals take over the space.
That could have been the case with Tesla, whose entry into and prolonged presence in the automotive industry have been controversial on at least a dozen levels. However, love them or hate them, it's hard to deny Tesla's appeal. The company's products are attractively styled and offer technology features that other automakers seem years away from understanding.
Buying a Tesla means buying a premium car at a premium price. It also means buying into—sometimes unwillingly—the Tesla way of EV life, with unique chargers, futuristic tech, and an ownership culture that sometimes raises eyebrows. If that sounds appealing to you, we're here to help you understand the Tesla buying process. Here's an overview of how to buy a Tesla.
No Dealership Woes
If the thought of spending time at a dealership makes you hesitant to shop for a new Tesla, relax. Unlike the vast majority of automakers in the United States, Tesla does not rely on a franchised dealer network to sell its vehicles. This means that there's no haggling or long waits while a salesperson "talks to their manager." Instead of brick-and-mortar car lots, Tesla sells its new cars online. Customers can visit the automaker's website to select a car, configure options, and view pricing details.
All of that said, Tesla does have physical locations where customers can take a test drive and ask questions. Tesla stores are sometimes in malls, and not all offer test drives.
Even though the buying process is mostly virtual, buyers can still trade in a vehicle, arrange financing, and view an estimated monthly payment. Since Tesla has sold so many electric vehicles, it is no longer eligible for some incentives, such as the federal tax credit program. Some state and local governments may still offer other incentives, so it's important that you check with your town or city to find out what's available to you.
Payment Options
Once you've settled on a model and configured it to your liking, it's time to shell out some cash. Like many major auto brands, Tesla's virtual configuration tool shows payment options for leasing, financing, and purchasing outright. Any upgrades you've chosen, such as Full Self-Driving (FSD) or optional colors, will factor into the price, and Tesla estimates the price of the vehicle after incentives. The company charges a $250 non-refundable deposit to place an order. At one point, Tesla accepted cryptocurrency as payment, but volatility in pricing led to a quick change in policy.
Waiting is the Hardest Part
Global supply chain challenges and overwhelming customer demand have made it difficult for all automakers to build and deliver new vehicles with any degree of predictability. Tesla has managed to deliver an impressive number of new cars, but buyers will still be waiting quite a while for their new ride to arrive. Delivery estimates range from a few weeks to several months for the most in-demand models. The Model S, for example, is booking with a lead time six months out.
Delivery
You have a few options when it comes to taking delivery of your new Tesla. Delivery times are just an estimate, so it's important to know that your shipping and arrival dates may change.
Express Delivery
If you live near a Tesla store, you can opt to take delivery there, rather than having the car delivered to your home. The service is available at all Tesla delivery centers, but the automaker notes that some states have varying signatory requirements. Express delivery, as its name suggests, is quicker than home delivery.
Tesla Direct
Customers that live within a defined distance from a Tesla delivery center may qualify to receive their new car at home. A driver will bring your car with documents for you to sign and mail back. You can submit payment and accept delivery in your Tesla account, and unlock the car through the Tesla app.
Carrier Direct
If you want to have your car delivered but don't live near an authorized location, you can pay for a carrier-direct shipping option. Tesla says that this service is available for buyers who live more than 220 miles from the nearest Tesla Store. The deliveries are handled by independent carriers. The automaker notes that this option is not as fast as taking delivery at one of its locations.
How To Save Money
Go Used
Tesla also runs an extensive used car program that offers a variety of factory-inspected used electric cars. Pricing and savings vary from car to car, and higher-mileage Tesla vehicles are less expensive than new models. You will be able to select cars with specific options and features, just as you would with a new car, but it's important to carefully read what you're getting before you make a move.
It's also possible to buy used Teslas at independent dealers or through private sellers, but you will miss out on any factory warranty issued by Tesla. And while it's usually true that electric cars require less maintenance than gas-powered cars, you will still need to have a pre-purchase inspection performed to ensure that you're buying and getting what you expect.
Opt Out of Expensive Features
Base pricing for Tesla's vehicles grows quickly with the addition of features such as Full Self-Driving (the evolution of Autopilot) and styling updates such as premium colors and wheels. The Model Y, for example, starts at $53,690, but stepping up to the Performance model bumps the price up by $5,000. Custom wheels add $2,000, a tow hitch adds $1,000, white leather upholstery costs $1,000, and paying the full purchase price for Full Self-Driving capability pushes the price by $10,000.
What To Consider When Buying a Tesla
Range
Range is the distance you can travel on a full battery. Thankfully for Tesla owners, all models offer long range estimates, and the automaker's Supercharger network is one of the best charging setups in the country. Tesla's impressive range estimates include:
- 2021 Tesla Model X Long Range: 360 miles
- 2021 Tesla Model 3 Standard Range Plus: 263 miles
- 2021 Tesla Model Y Standard Range: 244 miles
How Will You Charge?
Buying an EV means breaking free from gas stations forever. Even so, Tesla owners still need to stop for charging, and it's not always a quick diversion. Electric cars can take hours to fully recover their battery power, but most offer a quick charge solution for partial recovery. Tesla Superchargers offer the ability to recover up to 200 miles in just 15 minutes, depending on the car.
Stopping at a Tesla charging station is a good way to get a quick boost in range, but you may also want to consider purchasing and installing a home charging station. Some state and local governments offer incentives for EV owners who install charging stations at home.
Build Quality
New Tesla owners are excited to show off their cars on social media, but their experiences aren't always positive. Lately, large numbers of videos have popped up that show lapses in Tesla's build that are inexcusable for vehicles of any price, let alone cars with premium price tags. Owners complain of uneven panel gaps (space between body pieces), thinning or chipped paint, dirty interior surfaces, and other damage. It's important to spend time inspecting your new Tesla prior to accepting delivery.
Ownership Experience
The differences between Tesla and other automakers don't stop with the buying experience. Tesla brings a unique ownership experience with mobile repair crews, remote software updates, and an almost Apple-like approach to interior design with minimalist styling and loads of clever tech. Some people prefer this type of experience and love that the company will travel to help repair their vehicles, but Tesla hasn't always been known to deliver the quickest response times for necessary repairs.
Tech
It has been said that Tesla is a tech company that just happens to build cars on the side. There's some truth to that, but for you, the prospective buyer, that means a load of new features to learn and use. Full self-driving tech is still in a pre-release testing phase, but it's already one of the most advanced driver aids today. Regulators have criticized the company and CEO Elon Musk over concerns that the tech can be abused, but it's unclear at this point if their investigations will lead to a significant shift in how the automaker conducts its business.
Tesla Lifestyle
You may or may not care about how the general public feels about your choice in cars, but some people have strong opinions on Tesla and Tesla owners. Tesla stock's (TSLA) NASDAQ and stock market presence seems to always be trending in the news for one reason or another, to the point that the company could almost be considered the automotive equivalent of the Kardashians.
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