Is Hertz Offering Tesla Renters Unbelievable Discounts?

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Jalopnik, a widely regarded car website, says that Hertz may be allowing people who rent Teslas from them the ability to drive away at the end of their rental period, owning the vehicles for no additional cost. “One Hertz customer took to Reddit to show off a screenshot of the deal he got directly from Hertz, a 2023 Tesla Model 3 with 30,000 miles on the odometer for $17,913.”

*Tesla Nation

*Cybertruck Tailgate

*China’s Cheap EV

Is the story true? Hertz agreed to buy 100,000 Teslas. The announcement was made in 2021. Hertz was to pay $4.2 billion. Once the deal was complete, 20% of the Hertz fleet would be a Tesla. Hertz got into financial trouble and walked away from the deal. Hertz walked away from the deal earlier this year. However, it still had 20,000 Teslas in its fleet. Hertz said it would sell them.

Hertz might claim the Japopnick story is a hoax. That is because it has a site where people can buy its Teslas. Most have been driven 50,000 miles or more, priced above $20,000. Others have been driven well over 150,000 miles but are still priced over $15,000.

$15,000 Teslas

The inexpensive Teslas are a challenge in a market where many used Teslas are for sale. The used ones also have to compete with new cars, some of which carry 0% financing.

Hertz took a $195 million writedown when it decided to reverse Tesla’s decision. And, depending on what it gets for the inventory, that write-down could grow. Like many of the world’s largest car manufacturers, Hertz believed the EV industry would be booming in 2024.