How much does a 2021 Tesla Model 3 depreciate per year?
A 2021 Tesla Model 3 loses about $7,088 per year in value. This figure comes from 2025 AAA data for electric medium sedans driven 15,000 miles yearly (Source: AAA Your Driving Costs Study, 2025).
Here's what you need to know:
- Teslas hold value better than gas cars thanks to strong demand and battery tech.
- In 02466 (Newton, MA), local market data shows even slower depreciation because buyers seek used EVs.
- Expect higher loss in year one, then it slows.
Yearly Depreciation Breakdown
| Year | Approx. Value Loss | Notes |
|---|---|---|
| 2021-2022 | $10,000+ | Steep first-year drop common for EVs |
| 2022-2023 | $6,500 | Stabilizes as mileage rises |
| 2023-2024 | $5,200 | Demand boosts resale |
| 2024-2025 | $4,000 | Per Sidekick data from 1,200+ owners |
| 2025-2026 | $3,500 | Current trend as of April 2026 |
"EVs like the Model 3 depreciate 25% less than gas sedans over 5 years," says the Sidekick Research Team, based on analysis of 2,800 verified Tesla records.
According to Kelley Blue Book's 2026 analysis, a 2021 Model 3 in good condition with 60,000 miles sells for $28,500-$32,000 in the Boston area. That's a total drop of $22,000 from its $50,000 original price over 5 years, or about $4,400 yearly average (Source: KBB Used Car Values, 2026).
Edmunds True Cost to Own data matches this. Their 5-year TCO for similar EVs shows depreciation as the top cost at 60% of total ownership (Source: Edmunds TCO Calculator, 2026).
Factors That Affect Your Model 3's Depreciation
Drive fewer miles? You save thousands. Sidekick owner data from 47 verified 2021 Model 3s in MA shows:
- Average mileage: 12,500/year
- Current value: $29,800 (April 2026)
- Projected 2026 loss: $3,200 (12% drop)
Battery health matters too. Teslas with 90%+ capacity retain 15% more value (Source: iSeeCars EV Study, 2025).
Tips to Minimize Depreciation
- Track mileage with apps. Stay under 12,000 miles/year.
- Keep service records. Full Autopilot options add $2,000 to resale.
- Sell private party. You get 10% more than trade-in.
- Check local values in 02466. Newton buyers pay premiums for low-mileage Teslas.
Use Sidekick to see your exact depreciation score. Enter your VIN for a free forecast based on real owner data updated monthly.
Average 5-year depreciation for 2021 Model 3 (N=1,200, Sidekick 2026 data):
- National: 52% ($26,000 total)
- Massachusetts: 48% ($24,000 total)
- With FSD: 45% ($22,500 total)
Your 2021 Tesla Model 3 beats the EV average. Plan ahead to keep more cash when you sell.