One of the most popular cars in the U.S. has some competition, as the 2024 Tesla Model 3 is now cheaper to lease than the 2025 Toyota Camry hybrid.
At first glance, the money saved by leasing a 2024 Tesla Model 3 Standard Range Rear Wheel Drive instead of a 2025 Camry may not seem like much. The Model 3 can be leased for $299 a month over 36 months with $3,993 due at signing. Meanwhile, the Camry hybrid LE model can be leased for $359 a month over 36 months with $2,999 due at signing, as CarsDirect observed and Electrek shared.
That puts the effective cost of a Camry at $442 a month and the effective cost of leasing a Model 3 at $410 a month. Saving $32 a month is great, but that's not where the real savings come into play. According to 24/7 Wall St., charging a Model 3 costs about a third of what you need to pay to fill the tank of the Camry. Over three years, that's a lot of coin.
Tesla has been lowering the buying price for new models for months and making moves to reduce insurance costs for their vehicles, but this lower leasing price will make it even easier for consumers who would like to buy an electric vehicle but have found it too expensive to buy.
Used Model 3s, like those that have been leased, can be bought for well below the cost of buying a new one. While true that in some cases the models may be a little older or have higher mileage, the fact remains that even driving an older EV or one with higher mileage reduces the amount of harmful pollutants released into the atmosphere compared to gas-powered vehicles.
Besides being good for consumers and the planet, this move by Tesla should also be good for the company by expanding its consumer base.
Pat Ryan, founder and CEO of CoPilot, an AI-assisted car shopping app, told Forbes: "This is their way to effectively get into the cheaper car market."
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