New Tesla Model Y Long Range RWD: Cheaper Price, But Is It a Good Deal?

New Tesla Model Y Long Range RWD: Cheaper Price, But Is It a Good Deal?

Hey everyone, DennisCW here! I'm thrilled to bring you some breaking news about Tesla's latest release – the new Model Y Long Range Rear Wheel Drive (RWD). This is the cheaper variant many of us have been waiting for, priced at $37,490 after the $7,500 federal tax credit with a lease option of $399/month. However, there are a few catches that might make you think twice before hitting that order button. Let’s dive into the details, explore whether this Model Y is decontented, and discuss if it’s truly the deal it appears to be.

Breaking Down the New Model Y Long Range RWD

Tesla just dropped the long-anticipated cheaper Model Y trim, and on the surface, it looks like a fantastic option for budget-conscious buyers. Here’s what we know so far:

• Price: $37,490 after the federal tax credit.
• Lease Option: $399/month with $2,000-$3,000 down for a 36-month lease.
• Range: An impressive 357 miles, which is actually more than the All-Wheel Drive (AWD) version's 327 miles.
• Performance: 0-60 mph in 5.4 seconds (compared to 4.6 seconds for the AWD).
• Availability: Orders are live on Tesla’s website, with delivery estimates of 3-5 weeks.

However, there’s a big caveat – financing rates. Unlike the Long Range AWD, which offers a sweet 1.99% financing rate, the RWD variant comes with a much higher 5.49% interest rate. This could negate the price savings over the life of the loan. Let’s break down why this might not be the best deal for everyone.

Financing: A Deal Breaker?

If you’re planning to finance your Model Y, the 5.49% interest rate on the RWD trim is a significant drawback. Compared to the 1.99% rate on the AWD model, you could end up paying an additional $4,000 in interest over the loan term. This essentially wipes out the upfront price difference of about $4,000 between the RWD and AWD trims. My advice? If financing is your route, hold off for a month or two. Tesla might adjust the rates, especially if inventory starts stacking up.

On the other hand, if you’re paying cash or leasing, this could be a more attractive option. The lease payment of $399/month is competitive, though it does require a hefty down payment. Compare this to the Model 3’s lease at $349/month with zero down, and the Model Y’s deal looks less appealing unless you’re set on the SUV form factor.

Is the Model Y RWD Decontented?

One of my biggest concerns with cheaper trims is whether Tesla has stripped features to cut costs – a practice they’ve done with the Model 3 RWD, which lacks some features like premium audio compared to its AWD counterpart. So, I dug into the specs to see if the Model Y RWD has been “decontented.”

Good news! Based on Tesla’s website and community feedback (shoutout to Bearded Tesla for the screenshots), the Model Y Long Range RWD appears to have all the same features as the AWD version. This includes:

• 15 speakers and 1 subwoofer for an immersive soundscape.
• Center and rear touchscreens.
• No apparent reduction in interior or tech features.

This is a huge win for Tesla fans. Unlike the Model 3, where the RWD trim feels like a downgrade in features, the Model Y RWD offers pound-for-pound the same experience (minus the dual motors, of course). For those in milder climates like California, Texas, or Florida, where AWD isn’t necessary, this trim could be a hot seller with its extended range of 357 miles.

Who Should Buy the Model Y Long Range RWD?

This new trim isn’t for everyone, so let’s break down who it’s best suited for:

• Cash Buyers or Leasers: If you’re not financing, the lower upfront cost or lease payment makes this a solid choice.
• Mild Climate Residents: With only rear-wheel drive, this trim is ideal for areas without harsh winters or frequent rain.
• Range Seekers: The 357-mile range is fantastic, potentially hitting close to 380-400 miles in real-world tests under optimal conditions.

If you’re in a snowy region or planning to finance, I’d recommend sticking with the AWD variant for now, especially with its lower interest rate.

What’s Next for Model Y Trims?

The release of the Long Range RWD is just one piece of the puzzle. We’re still waiting on other trims like the Model Y Performance (hopefully in Q3) and a potential 7-seater or even a more affordable standard range variant. Tesla’s been teasing a cheaper Model Y for a while, and if they could hit a price point around $35,000, that would be a game-changer. What do you think – are you holding out for another trim, or is the RWD the one for you?

Additional Tips for Tesla Buyers

Before I wrap up, here are a few quick tips if you’re considering ordering this new Model Y:

• Use a Referral Code: Don’t forget to use a Tesla referral code (like the one in the description of my video) to get 3 months of Full Self-Driving added to your purchase.
• Protect Your Credit: If you’re financing, safeguard your personal data with a service like Aura, my sponsor for this livestream. They monitor the dark web for leaks and offer tools to reduce spam calls and remove your data from broker sites. Try it free for 14 days at aura.com/denniscw.
• Accessories: Tesla vehicles come with zero accessories, so check out my partner Jowua for must-haves like phone mounts and organizers. Use my promo code for savings and free shipping on orders over $120.

Let’s Hear From You!

I’m curious to know what you think about the new Model Y Long Range RWD. Is the price tempting enough to overlook the higher financing rate? Are you excited about the range and features, or are you waiting for the Performance trim? Drop your thoughts in the comments below, and let’s keep the conversation going. If you found this breakdown helpful, don’t forget to like, subscribe, and check out my Tesla Buying Guide on Patreon for more deal-hacking tips.

Thanks for joining me on this journey through Tesla’s latest release. Stay tuned for updates on financing rates, lease deals, and more Model Y trims. Until next time, this is DennisCW signing off!

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Disclaimer: All pricing and financing details are based on information available at the time of this post and are subject to change. Always check Tesla’s official website for the most up-to-date information before making a purchase.