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You can get a crazy good deal on a used Tesla from Hertz right now — but know these risks

hertz tesla
High-mileage EVs, like these for sale from Hertz, can be a red flag.Hertz; Neil Godwin/T3 Magazine/Future via Getty Images; Chelsea Jia Feng/BI
  • A $22,000 Tesla might be too good to be true, but you can find good deals right now.

  • High mileage on a used EV can be a red flag.

  • EV's already depreciate a lot faster than gas cars.

A slew of used Teslas have hit the Hertz car sales website after the company announced Thursday it planned to sell off 10,000 more electric vehicles from its fleet than originally planned, bringing the fire sale's total to 30,000.

Across the US, there are nearly 3,000 EVs listed on the firm's sales website — 1,500 of them Teslas — with Model 3s asking as low as $22,000 when we checked. (And even lower for a Chevy Bolt).

Screenshot of used Tesla listing from Hertz Car Sales website
Screenshot of used Tesla listing from Hertz Car Sales website. High-mileage EVs can be a crapshoot.Hertz Car Sales

It's a screaming deal for shoppers in the market for a used Tesla or any budget-minded EV shopper, a demographic slowly making up most of the electric car market.

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A car-rental company like Hertz is always a good place to look for a deal on a used car, but when it comes to EVs, there are a number of different pitfalls to keep in mind since the used market is not near as mature for battery-powered vehicles.

Mileage and battery usage

A used Tesla that has been in a rental fleet is likely to used much more frequently than one that's been personally owned.

You can see that in the difference in mileage when you look on Kelley Blue Book for a used Model 3. One example in Southeast Michigan was listed for $27,995 at a local dealership with 46,171 miles.

Screen shot of a used Tesla Model 3 listing on KBB
Screenshot of a used Tesla Model 3 listing on KBBBusiness Insider

Another $20,125 Model 3 we found on the Hertz website in January, a 2021 model, was listed with 92,789 miles.

Mileage is always something to consider when shopping for a used car, but with electric vehicles little is known at this early stage about battery deterioration at high mileages. This mystery in the valuation equation has created a headache for the industry as more electric cars hit the used market.