Owning a Tesla Model 3 for five years and driving 75,000 miles may seem like a costly endeavor, especially when compared to a popular hybrid like the Honda Accord. However, when you break down the numbers and consider all factors, the true cost of ownership may surprise you.
Let’s start with the initial purchase price. The Tesla Model 3 Standard Range Plus starts at $46,990, while the Long Range All-Wheel Drive variant is priced at $54,490. On the other hand, the Honda Accord Hybrid EX-L trim is priced at just over $38,000, and the Hybrid Touring model is priced at just over $41,000. Despite the higher initial cost of the Tesla Model 3, its low cost of ownership can make up for the difference.
One significant factor in the cost of ownership is the cost of energy. With the average price of gasoline in the US at over $4.23 per gallon and the cost of electricity at around 14.26 cents per kilowatt-hour, driving a Tesla Model 3 can be significantly cheaper than driving a gas-powered vehicle like the Honda Accord. Additionally, the Model 3 is much more energy-efficient than the Accord, further reducing the cost of driving.
Maintenance costs are another important consideration. While the Accord may have lower maintenance costs according to Edmunds, the Model 3’s maintenance costs are likely to be lower overall. Repairs, covered by warranties for both vehicles, are estimated at $1,200 each for the five-year period.
Depreciation is also a factor to consider. The Model 3 has shown to hold its value better than the Accord, with some models even appreciating in value. This can have a significant impact on the overall cost of ownership.
When all factors are taken into account, including purchase price, energy costs, maintenance, repairs, and depreciation, the total five-year cost of ownership for the Tesla Model 3 Standard Range Plus driving 75,000 miles is around $38,000, compared to just over $40,000 for the Honda Accord Hybrid EX-L. Similarly, the Model 3 Long Range All-Wheel Drive variant has a total cost of ownership of just under $43,000, compared to around $42,772 for the Accord Hybrid Touring.
In conclusion, despite the higher initial cost of a Tesla Model 3, the true cost of ownership over five years and 75,000 miles can be very similar to or even cheaper than that of a Honda Accord Hybrid. When you factor in the environmental benefits, convenience of Tesla‘s supercharging network, and potential financial incentives for buying an Electric Vehicle, the decision to purchase a Tesla Model 3 becomes even more compelling.
So, if you’re considering buying a new vehicle and are weighing the costs of owning a Tesla Model 3 versus a Honda Accord Hybrid, it’s worth doing the math to see which option makes the most financial sense for you in the long run.
