How Tesla Model 3 Mods Impact Resale Value?
Let me start this on a positive note by mentioning that Teslas are holding their value pretty good and depreciate slower than ICE vehicles.
So give yourself a pat on the back, and let’s get to the point.
You landed on this page because you’re thinking about enhancing your EV’s aesthetics, functionality, or performance, and you’re wondering:
How Tesla Model 3 mods impact resale value?
There is no short answer to this question. Generally speaking, modifications intended to preserve your car’s condition and those that are easy to uninstall are in your favor.
On the other hand, irreversible mods will narrow the list of potential buyers and, if not in line with the modding trends, will negatively impact your Tesla resale value.
As a blogger and Tesla Model 3 owner, I’m a member of groups and forums, I go to car shows, and I’m privileged to know the builders of some of the hottest modded Teslas.
To elaborate on the topic, I’ll share with you what I’ve learned from:
- My experience with modifying a dozen cars, including our Model 3
- My communication with other owners of customized Tesla vehicles
- My research on how to get the best value when selling a Model 3
My Approach to Model 3 Mods & Resale Value
As I’ve mentioned in my Model 3 customization options and mistakes to avoid article, our Tesla is a daily driver that I share with my spouse. We’re happy with it, and like most fellow owners, we are planning to upgrade to the refreshed 2024 version in the future.
Therefore, I never went over the top with mods.
Don’t get me wrong, I’m a car nut, and there is no way I’ll drive a stock vehicle. Especially a Tesla Model 3, which has plenty of room for improvement in terms of appearance.
I’ve done the usual stuff like vinyl wrap and window tints to protect the exterior and interior and use Kavanic hubcaps with the Aero wheels and mud flaps for the winter.
The goal is to keep the car in good shape so we won’t have a hard time selling it.
Stock suspension and wheels are taboo for me. I went for 19″ BBS rims and lowered the Tesla with Eibach springs. In terms of exterior mods, I have a front lip, rear diffuser, trunk spoiler, aftermarket taillights, and carbon fiber mirror caps.
None of the above required the drilling of holes or any other alternations to the car’s body.
On the inside, I’ve added a center console, dashboard, and armrest covers, as well as an aftermarket steering wheel. All these mods are from genuine carbon fiber, not the cheap wraps. I also bought some basic LED strips, which look pretty cool.
The Bottom Line is:
Most Tesla Model 3 owners are buying the kind of upgrades I have anyway and will be willing to pay a little extra for a mildly modded car that already has them installed.
In the unlikely event that no one wants to pay for what I’ve done, I can easily reverse the vehicle back to stock and sell the parts online.
In either scenario, I can get the maximum resale value for our Model 3. Of course, as with any other car I’ve built, I’m not expecting to get back everything I’ve spent on upgrades.
According to an Only Used Tesla survey from 2019, 42% of Model 3 buyers said that mods made no difference in their purchase decision.
Looking at Tesla threads online, that’s not the case today. People are researching customization options before even buying a car.
What Other Modded Tesla Owners Say
Obviously, not everyone thinks the way I do, and it’s always better to get different perspectives on a given topic. So, I asked two of my friends for their input on the impact of modifications on the Tesla Model 3 resale value.
Since there are many Teslas on the used car market in California, my friend Eddie Gotay from Santa Clarita, CA, believes that a nicely customized Model 3 will hold up its value and sell more easily.
When it comes to personalizing his vehicles, Eddie aims to work with a reasonable budget by carefully picking mods, mainly from Amazon and eBay. In about two years, he made tons of changes to his 2021 Model 3 SR Plus and only spent around $8K.
After almost three years of ownership, Eddie recently received a $25K offer for his car, but he isn’t ready to sell.
“I’m not planning on selling the Model 3 until I’m able to get the Cyber Truck or the Dodge Charger EV.”
You can see what’s been done to his Model 3 by checking the build breakdown.
My man JT from Saint Cloud, FL, spent a lot more on modifications (approx. $25K) and sold the Tesla Model 3 in the summer of 2023 to get his hands on another project car.
“I always had two options when it came to resale. I knew I would either part out or sell as is, knowing I wouldn’t get as much as I spent in return.”
Being a member of RUINED EV and Electrified Orlando, JT had people interested in his Model 3 build even before he decided to let the car go. He only posted it on Facebook and Instagram, and within a month, the Tesla found a new home in Georgia.
“If I didn’t owe on the car, I would’ve sold it quicker for a higher price.”
Considering the resale value of the stock version of his 2020 Tesla Model 3, JT estimates that he got back around $10K of what he spent on modifying the EV. See more on JT’s customized Teslas.
Where to Sell a Modified Tesla Model 3
There are several ways you can sell your Model 3. Those include trading it in for a newer Tesla, selling it through a dealership, and listing it privately online on sites, forums, groups, etc. Let’s quickly look at each option.
Tesla Trade-In
If you’ve modified your Model 3 even slightly, trading it in is your worst option. They will charge you whatever it costs to return the car to stock. In other words, any mods you have installed will drop the trade-in valuation at Tesla big time.
Here is what’s stated on the company’s Trade-Ins support page.
“Aftermarket vehicle modifications typically have a negative effect on trade-in valuations. It is best for trade-in vehicles to be in ‘stock’ or original state.”
They can’t list a car with additional features different from what they offer from the factory. For example, you won’t see a listing saying that the Model 3 has a vinyl wrap because it doesn’t exist in their system. Therefore, Tesla can’t give it a set value.
Used Car Dealership
It’s not the best option to get a good price for a customized Model 3 either. Used car dealerships must make a profit when flipping it, but still way better than trading it in at Tesla.
If you don’t want to bother with more complicated processes or deal with people asking stupid questions and lowballing you over the phone, that’s a good choice.
Private Party Listing
Many places offer private listings, but I recommend choosing one specifically for electric cars. You’ll be able to add all the features and options of your Model 3, and potential buyers can compare it to many others.
Based on my research, the best place to sell a used and mildly modified Tesla Model 3 would be Find My Electric. They charge you a small one-time fee, and you can also list all your mods and upgrades, which will help your car stand out from the rest listed for sale.
Social Media & Forums
If you’ve built a top-notch Model 3 and have a good follower base on social media, then you know what to do. I have friends who could probably sell their custom Teslas in less than a week by simply posting it on their Instagram profile.
For those who aren’t in the “influencer race” but have a head-turning Tesla, I encourage you to try Tesla forums and Facebook groups. Being a BMW fanatic, I’m a member of various groups. Well maintained and nicely customized Bimmers change hands every day without being listed anywhere else.
Final Thoughts
Most of us never plan how much will be spent on mods or to what extent we’ll alter our rides. There is always some new add-on you think will look good on your car or make it perform better.
However, if you’re going to modify a Tesla and you’re concerned about resale value, you must have a plan and pick your mods wisely. I always knew we were going to change the Model 3 for a newer one at some point, so I never went wild.
Yes, the Model 3 aftermarket is growing, and people are getting used to buying mods. The thing is, despite the insane acceleration, most Tesla buyers are still interested mainly in efficiency.
So, if you’re going to build a show car, try to get some brands to sponsor your project as early as possible – you won’t have to worry about how much your mods are worth.