Tesla Model 3/ Model Y Price Cut! Cheapest Model and One-for-one Price

The Tesla Model 3 Long Range, Model Y Performance, and Model Y Long Range are also expected to receive price reductions in Hong Kong.

Following the Hong Kong government’s revision to the electric vehicle tax exemption plan, Tesla has adjusted the Model 3’s price. The government lowered the first registration tax relief for ‘One-for-One’ electric vehicles to HK$172,500, increasing the tax on high-priced electric cars. Tesla’s Model 3 Long Range price has been reduced from HK$328,300 to HK$308,000, maintaining its selling price at HK$344,635.

Latest Prices for Tesla Model 3 / Tesla Model Y

Tesla Model 3 Price Reduction 2024

On April 30, 2024, Tesla announced that in addition to launching the Model 3 Performance version in Hong Kong, they have also reduced the price of all Model 3 models in Hong Kong by HK$16,000. Under the new ‘one-for-one’ plan, the price reduction can be as much as HK$34,400, with a maximum reduction of up to 9.4%.

Tesla Model 3 and Model Y have had their price dropped since last years. Here you can see the prices changes over the period:

Tesla Model	April 15, 2023	August 4, 2023	March 31,  2024	April 4, 2024	Latest: December 4, 2024
Tesla Model Y Rear-Wheel Drive	HK$367,100	HK$345,100	HK$345,100	HK$349,150	HK$316,200
Tesla Model Y Long Range	HK$459,685	HK$406,150	HK$391,000	HK$437,300	HK$402,900
Tesla Model Y Performance	HK$487,202	HK$431,950	HK$403,000	HK$468,905	HK$434,505
Tesla Model 3 Rear-Wheel Drive	HK$341,200	HK$320,800	HK$270,200	HK$270,200	HK$254,200
Tesla Model 3 Long Range	HK$399,485	HK$364,700	HK$308,900	HK$344,635	HK$312,294
Tesla Model 3 Performance	HK$440,335	HK$382,875	–	–	HK$396,880

Tesla Purchase Finance Solutions

For most of us, financing the purchase through a car loan, a hire purchase/leasing, or a personal loan is a more practical option. To help you out, we have compared the prices of all Tesla models under different financing options.

If you’re planning to get your Tesla, here’re the 3 common ways to pay for your new car: Full pay, 1-for-1 replacement price, and hire purchase or unsecured loan:

• Full pay: If you’re planning to pay in full, that means you’ll be paying the car price upfront without replacing your old car for a discount
• 1-for-1 replacement price: The 1-for-1 replacement price refers to the cost of replacing your old car with a discounted rate under the government’s incentive scheme.
• Hire purchase/Unsecured loan: This is a method for financing your purchase of a Tesla. Typically, it involves a down payment and a 36-month repayment period.

Tesla’s Hire Purchase / Car Loan / Personal Loan: Which Way of Car Financing Suits You Best?

You don’t need to break your bank to get your dream car! Wondering how to finance your EV purchase? Here are the most common methods of financing your dream car: Hire purchase/leasing, bank car loan, or a personal loan.

Obtaining Hire Purchase or Leasing for Your Electric Vehicle

Many “MoneySmarters” would consider hiring or leasing a car from a dealership. Yeah, it can save you lots of time and effort and give you peace of mind about all the purchasing procedures.

But don’t forget, the agency will keep the Vehicle Registration Document and transfer documents as collateral until full repayment is made. If you transfer, renew, or change the Vehicle Registration Document within the payment period, you need to contact the agency. That’s the thing you need to be concerned about if you’re planning to buy a car through a car dealership.

Tesla’s Official Hire Purchase

Tesla is collaborating with ORIX and offering 36/48/60-month installments for your hire purchase.

The plan requires a minimum down payment of HK$50,000 (different from the general hire purchase that doesn’t need a down payment). And with the bigger down payment, you can pay less for the monthly payment compared to a general hire purchase.

Taking the Tesla Model Y (Full price with tax: HK$530,790) as an example, here is the details for a 36-month Tesla’s official hire purchase and unsecured loan:

Description	Hire Purchase	Unsecured Loan
Down payment	HK$50,000	HK$50,000
Financed amount	HK$480,790	HK$530,790
Repayment period	36 months	36 months
APR	4.05%	3.88%
Monthly loan payment	HK$14,206	HK$14,881

Getting Car Loans from Banks/Financial Institutions

Apart from hire purchases and leasing, some banks and financial institutions, such as OCBC Wing Hang Bank, CCB (Asia), Dah Sing Bank, ICBC (Asia), and Public Bank (Hong Kong), offer car loans. A car loan covers 100% of the car’s price. The repayment period can be as long as 60 months. These car loans also offer hire purchase and leasing, with an assistant handling hassles like loan applications, license renewals, and car insurance. However, car buyers are required to purchase comprehensive car insurance.

Purchasing EVs with a Personal Instalment Loan

With a personal instalment loan to buy an EV, the car price is paid in one lump sum, and the car owner can keep the Vehicle Registration Document, which is more flexible in the transfer of ownership, renew the vehicle license, and change the vehicle registration mark. Plus, there are plenty of personal instalment loan options, and you may find one with a lower interest rate.

Here is an example of Car Loan of HK$300,000 loan amount through personal instalment loan with a 36-month repayment period:

Finance you EV purchase with Tax Loan

Thinking of owning a EV? Keep an eye out for the tax loan period from October to March – coinciding with tax season. During this time, major financial institutions offer tax loans with lower interest rates than regular personal loans. And with added welcome rewards, financing your Tesla purchase with a tax loan could be a smart move. Even if you’re not yet ready to make the leap to a new car, it’s still worth considering tax loans when they become available. Who knows, you might even find a new purpose for it!

Frequently Asked Questions: Tesla Price Reduction 2024

Which model gas the greatest price cut?

Tesla Model Y Performance has the greatest price cut of 11.65% off.

When can you get a 2024 Tesla?

If you place an order for a new Model Y today, Tesla anticipates delivery would take 2 to 3 months. While there may still be select configurations available in inventory in certain regions, they are not expected to remain in stock for long.

What to expect from Tesla Model 3 in 2024?

This project will include updates to the exterior, interior, software, hardware, and frame of the vehicle. These updates will likely require changes to the manufacturing process, such as implementing front and rear casting to enhance the vehicle’s similarity to the Model Y.

Should I choose car loan or personal loan?

It depends on your personal credit score, if you’re interested in learning more, check out the blog post Car Loans vs. Personal Loans: Which Has a Lower Interest Rate?

Related articles

Interested in learning more about getting an electric car in Hong Kong? Check out the price comparisons of all Tesla models and EVs of other EV brands.

Get ready to rev up your engines because the 2024 Tesla Model 3 is getting a major makeover! This new model promises to be a hit with EV enthusiasts, boasting improved performance, a sleek exterior, and an upgraded interior. It’s no wonder the car experts are already raving about it! Want to know more about the latest changes? Check out our blog for all the juicy details!

Wanna stay ahead of the herd? Let’s check out the MoneySmart blog for more financial tips!

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