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Tesla offers steep price cuts on Model 3 ahead of impending release of updated model: 'I was really tempted to pull the trigger'

The price cuts already have some consumers weighing their options.

Tesla Model 3 prices drop by more than $4,000

Photo Credit: iStock

As the release of the refreshed Tesla Model 3 (aka Project Highland) draws nearer, the electric vehicle manufacturer is offering steeper discounts on its current (but soon-to-be outdated) Model 3s.

Tesla began offering discounts earlier this year that saw the prices of some Model 3s drop by as much as $2,500 to $3,000, and the latest round of discounts has seen the prices drop by more than $4,000 (total) for a Tesla Model 3 RWD and more than $5,000 for a Model 3 Long Range, according to InsideEVs.

A Model 3 RWD in New York City, as of late August, for example, cost $37,120 before tax credit, down from $41,240, Inside EVs reported.

The Tesla website had a Model 3 Performance in California listed for $49,720 — a whopping $5,520 off its starting price of $55,240.

The speculation is that Tesla is attempting to clear inventory ahead of the release of the refreshed Model 3, which does not yet have an official price tag. These moves could further fuel an electric vehicle industry price war that has already seen some models increase in affordability and could result in certain "entry level" EVs getting cheaper.

The price cuts already have some consumers weighing their options.

"I was really tempted to pull the trigger on a Model 3 RWD this morning at $37,020 (in New York), but waited, and it's $810 more now (for gray)," wrote one commenter on the Inside EVs article. "If I can get a refresh for less than 40k, and it has 6 more kWh, and ventilated seats, and is the same size, I will be happy to wait for that."

"From what I can gather on the information available on the Highland I think buying the current model at a discount is the real bargain," another commenter chimed in. "The revision is all about cutting production costs and most likely won't be the better vehicle in comparison."

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