This Is The Cheapest Luxury SUV To Own

When it comes to luxury SUVs, the Tesla Model Y stands out as the most affordable option over a 5-year ownership period. According to calculations by Tesla that factor in depreciation, taxes, fees, incentives, financing, maintenance, repairs, insurance and fuel (gasoline or electricity) costs, the total cost to own a Tesla Model Y for 60,000 miles over 5 years comes out to $25,920. 

That’s over $36,000 less than a comparable BMW X3, which rings in at a steep $62,280 over the same period. Remarkably, it even edges out non-luxury models like the Toyota RAV4, which exceeds the Model Y’s costs by about $8,000 over 5 years.

Even when you back out Tesla’s claimed $7,500 tax credit, the Model Y still clocks in at just $33,420 in total ownership costs.

Tesla’s strong value proposition is enabled by recent substantial price cuts enacted by the brand. This move down market raises questions around how to classify Tesla – is it still a luxury automaker, or are its vehicles now priced more inline with affordable, mass-market brands? Perhaps it’s shaping up to be both, fulfilling CEO Elon Musk’s vision of making electric cars accessible to mainstream buyers while still retaining a tech-centric, aspirational aura.

In any case, for those shopping luxury SUVs strictly on a budget, the Tesla Model Y represents a new bargain option with a total cost of ownership that challenges even non-premium models. It’s a disruptive shift that makes electrified transportation more financially viable than ever.

More Articles for You

New MINI Cooper S Debuts In Malaysia For RM290K

MINI has just debuted two very important models for the Malaysian market—the all-new MINI Cooper S with the petrol engine …

Biden Says Switch To EV Production And Save Your Factory

The Biden administration has just thrown a lifeline to the struggling auto industry. It is giving automakers and suppliers nearly …

Just Launched In Malaysia, New Smart #3 Gets 3 Variants

After much anticipation, the highly rated Smart #3 has now debuted in Malaysia. It comes in three specs—the Pro, Premium, …

The All-Electric Lexus RZ450e Goes On Sale In Malaysia

The Lexus RZ, the company’s first all-electric model in Malaysia, has started accepting orders. Available in just one spec, the …

Here Are The Top 5 Longest-Range EVs On Sale

Electric vehicles in the modern era, given that the first EVs were launched well over 130 years ago, surfaced as …

Controversial Speed Limiters To Become Mandatory On All Cars

A new controversial law is coming into force in Europe, which means that we will eventually see it in other …