Premium Tesla Model 3 will cost $44,000

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Tesla has revealed that its premium Model 3 will cost $44,000 before tax rebates, a $9,000 increase over its $35,000 base price.

The announcement was made by CEO Elon Musk at tonight’s highly exclusive Tesla Model 3 Delivery event.

The base pricing with the standard feature sets goes for $35,000 and a $1,000 reservation fee. With this payment, you get a Model 3 equipped with Autopilot hardware, supercharging, seating for five adults, 215 miles per charge and my personal favorite feature: 0 to 60 mph in under six seconds.

As we previously reported, a Model 3 with a larger battery pack would cost around $42,000 to be profitable. The Model 3 premium price is $2,000 above that margin.

The Model 3 is a linchpin of Musk’s master plan. Musk said back in 2006 that Tesla would eventually build “affordably priced family cars” after establishing itself with more expensive vehicles. The flagship Model S for example starts at $69,500, almost double the cost of the Model 3.

The company started taking Model 3 reservations in March of last year and within a month, 373,000 customers had put down the $1,000 refundable deposit. Tesla hasn’t commented on reservation numbers since, but the company website says people who make reservations now should expect to get their Model 3 to roll up in mid-2018. As of tonight, it appears that at least 30 of the first customers will receive their vehicles and be able to take them home.

The Model 3 and its efficient batteries, even at the premium price, gives more people the opportunity to shrink their carbon footprint while driving in style.

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