The Tesla Model X doesn't hold value quite as well as some other luxury SUVs. Here's what you need to know:
5-Year Depreciation Overview
A 2025 Tesla Model X depreciates roughly 32-35% over five years, meaning it retains about $31,000-$32,000 of its original $95,000 value. By comparison, the Model Y (Tesla's SUV sibling) typically depreciates 5-10% less, making it the better value keeper between the two.
The steepest drop happens early. The Model X loses 35-50% of its value in just the first three years. A Model X that cost $100,000 new might be worth $55,000-$65,000 after two to three years of ownership.
Why the Model X Depreciates Faster
Luxury vehicles naturally lose value quicker than mainstream cars. The Model X's higher upfront cost means bigger dollar losses. Additionally, the Falcon Wing doors add repair complexity and higher maintenance costs compared to the Model Y's simpler design, which weighs on resale value.
Tesla's frequent price cuts and rapid model updates also accelerate depreciation. When the company drops prices, existing owner equity disappears instantly.
Real-World Pricing
In late 2025, two-year-old Model X examples sell for $60,000-$70,000 on the private market, down from original MSRPs around $80,000-$95,000. Trade-in values typically run $50,000-$60,000 for clean 2024 examples.
When Depreciation Slows
After that brutal first three years, the rate of value loss improves significantly. By years four through five, depreciation becomes more gradual and driven primarily by mileage, battery health, and how quickly Tesla updates the design.
Buying a Model X three to six years old lands you on the flatter part of the depreciation curve, meaning values don't swing as wildly.
Bottom Line
The Model X isn't the best luxury SUV for holding value, but it's not catastrophic either. If you plan to keep it long-term, depreciation matters less. If resale value is your priority, the Model Y edges ahead by 5-10% over five years.