Tesla Drops Its Cheapest AWD Model Y. Here's What $45,000 Still Buys in an EV
The rear-drive Model Y still starts at $39,990, but all-wheel drive now costs $8,000 more. Chevrolet and Toyota offer AWD EVs for less.
The cheapest all-wheel-drive Tesla Model Y is no longer something you can order. As of November 13, the $41,990 Model Y AWD no longer appears in Tesla's U.S. configurator, according to Digital Trends, InsideEVs, and EVXL, which all checked the page. The least expensive dual-motor Model Y on Tesla's site is now the Premium AWD at $49,990, or $51,630 with Tesla's $1,640 order and delivery fees. That is $8,000 more before fees than the trim that just disappeared.
Several headlines this week said the "base" Model Y was gone. It isn't. The rear-wheel-drive Model Y at $39,990 ($41,630 delivered) is still listed, so the price of getting into a Tesla crossover hasn't moved. What moved is the price of getting all-wheel drive in one. If you have been comparing the Model Y against the Hyundai Ioniq 5 with AWD in mind, the math changed this week.
What changed on Tesla's site
Tesla has not announced anything. There is no press release, no statement, and no explanation, so everything below comes from what reporters saw on the order page. Some AWD cars are still in Tesla's existing inventory, Digital Trends reports, but the trim can no longer be custom-ordered.
- Removed: Model Y AWD, $41,990 before fees. It was rated at 294 miles of range and 4.6 seconds to 60 mph, with the same stripped interior as the base RWD car.
- Still listed: Model Y RWD at $39,990 and Premium RWD at $45,990.
- Cheapest AWD now: Premium AWD at $49,990, with the Performance above it at $57,990.
The removed trim had a short life. It arrived on February 2, according to Reuters, four months after the stripped-down Model 3 and Model Y Standard trims launched in October 2025. Those Standard cars came out about a week after the $7,500 federal EV credit expired on September 30, 2025, and they were widely read as Tesla's answer to losing it: a lower sticker in place of a rebate. The $41,990 AWD briefly put all-wheel drive only $2,000 above the cheapest Model Y. That spread is now $10,000.
The timing is part of a pattern. Tesla's Cybertruck line in Texas is set to wind down in mid-2027, and the Model S and Model X have already been discontinued, as Digital Trends notes. A shorter menu is not unusual for Tesla. I'd argue it is unusual for the brand to cut the trim that matched its two closest rivals on price.
Why it matters: the Model Y is the market
No other single EV comes close to the Model Y's share of U.S. sales. In the third quarter, Kelley Blue Book estimates Tesla sold 144,094 EVs in the U.S., 54% of the market, and the Model Y alone accounted for 99,037 of them. The Hyundai Ioniq 5, in third place, managed 10,382. We broke those numbers down in our look at Q3 EV sales.
Prices are moving the other way from what buyers want. Cox Automotive put the average EV transaction price at $56,220 in October, with EV incentives averaging 11.3% of that price, well above the industry's 6.8%. Tesla's own average was $54,194. A Model Y buyer who needs AWD now starts within about $5,000 of the average EV transaction.
What $45,000 still buys
Here is every new EV we could confirm under $45,000 with destination, in the current model year. Tesla figures include its $1,640 order and delivery fees. Our ranking of the cheapest new EVs covers the sub-$40,000 end in more detail.
| Model (trim) | Drive | MSRP | Destination | Total | Range |
|---|---|---|---|---|---|
| 2027 Chevrolet Bolt LT | FWD | $27,600 | $1,395 | $28,995 | 262 mi (EPA) |
| 2027 Kia EV3 Light | FWD | $29,890 | $1,495 | $31,385 | 221 mi (EPA) |
| 2026 Nissan Leaf S+ | FWD | $29,990 | $1,575 | $31,565 | 303 mi (EPA) |
| 2027 Chevrolet Equinox EV LT1 | FWD | $34,995 | $1,800 | $36,795 | 319 mi (EPA) |
| 2027 Hyundai Ioniq 5 SE Standard Range | RWD | $35,250 | $1,650* | $36,900 | 245 mi (EPA) |
| 2026 Tesla Model 3 Standard | RWD | $36,990 | $1,640 | $38,630 | 321 mi (EPA est.) |
| 2027 Toyota C-HR SE | AWD | $37,080 | $1,595* | $38,675 | 287 mi (Toyota est.) |
| Tesla Model Y RWD | RWD | $39,990 | $1,640 | $41,630 | TBA** |
| 2027 Ford Mustang Mach-E Select | RWD | $39,995 | $2,045 | $42,040 | TBA (EPA pending) |
| 2027 Chevrolet Equinox EV LT1 | AWD | $40,295*** | $1,800 | $42,095 | 307 mi (EPA) |
| 2026 Tesla Model 3 Premium | RWD | $42,490 | $1,640 | $44,130 | 363 mi (EPA est.) |
*Destination charge not in the manufacturer's pricing release; figure from secondary sources. **Tesla quoted 321 miles when the Standard trim launched in October 2025; reports this week cite 348 miles, which we could not confirm on Tesla's site. ***Includes $2,000 in options GM currently requires on the LT1 AWD.
Two things stand out. First, all-wheel drive under $45,000 now comes from Chevrolet and Toyota, not Tesla. The Equinox EV LT1 AWD lands at $42,095 and the dual-motor C-HR at $38,675, both below where the Model Y AWD sat. The Mach-E Select with eAWD misses the cutoff by $50, at $45,050 delivered.
Second, among the two-wheel-drive crossovers here, only the Mach-E costs more than the Model Y RWD. The Equinox EV LT1 FWD undercuts it by $4,835 with 319 EPA miles. The Model 3 Premium RWD, at $44,130, is the longest-range car here, and it is a sedan.
What it means for a used Model Y
When the cheapest way to get a new AWD Model Y climbs to $51,630, a lightly used dual-motor car becomes the obvious alternative. The used market was already tight before this week. iSeeCars found that one- to five-year-old EVs now list for $579 more than comparable gas cars on average, and that Teslas led the gains: the used Model 3 rose 15.4% in a year. We covered why the used EV discount is gone.
No published data yet shows whether used AWD Model Y prices move after this change, and we're not going to guess. What I'd check first, if I were shopping, is Tesla's own inventory. Some new Model Y AWD units remain in Tesla's existing inventory, according to Digital Trends, and those are now the only way to buy one new.
What we don't know
- Whether the trim is gone for good. Tesla has not said the Model Y AWD is discontinued. It has removed and reshuffled Model Y trims before, including in 2021 and 2023.
- Why Tesla pulled it. The company has not explained the change, and we won't speculate on its reasons.
- The current Model Y RWD range figure. Reports conflict, and Tesla's site was not accessible to us for verification.
- Real transaction prices. Lease deals, financing rates, and dealer discounts on the rivals in the table change monthly and are not reflected here.
