The cheapest luxury car to own over five years and 60,000 miles is the Tesla Model 3 rear-wheel drive version, according to a total cost of ownership calculation provided by Tesla.
The calculation includes depreciation, taxes, fees, incentives, financing, maintenance, repairs, insurance and fuel costs.
With recent significant price cuts, the Tesla now costs less over five years than even a compact Toyota Corolla.
The total five-year cost is $25,260 for the Tesla and $28,620 for the Corolla – a difference of $3,360 in the Tesla’s favor. The Toyota Camry costs $32,160 over five years, adding $6,900 over the Tesla’s cost.
And a BMW 3 Series’ five-year cost is $57,300 – a whopping $32,040 more than the Tesla.
Our Thoughts
So while other luxury vehicles can buy more luxury features with more money spent upfront, the Tesla Model 3 now represents an affordable yet luxurious option for ownership over five years based on total cost of ownership calculations compared to mainstream brands like Toyota and BMW. Financially, it just makes great common sense.