Tesla Model Y vs RAV4 Hybrid: Lowest Cost of Ownership in 5 Years?

***This Video includes a PAID sponsorship from SPAN***

QUICK CORRECTION: at around 6:30, the slide that shows insurance cost estimates has the models switched. The numbers that I speak in the video are correct, but the slide should show ~$102 per month for the Model Y, and ~$79 per month for the RAV4.

The true cost of owning a vehicle goes way beyond just the initial purchase price, and you have to consider a host of other costs to get the real picture. For example, in our comparison today, the Model Y purchase price is quite a bit higher than the RAV4 hybrid, but with all things considered and the cost saving associated with electric vehicles, the Model Y true cost of ownership may actually surprise you. But are the cost savings enough to make up the initial cost difference?

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*** All video and pictures are used with permission or in accordance with the copyright owner's stated policies and use allowance, or applicable fair use laws. ***

Image & Video Clip Sources:

1. Thumbnail Model Y image & other Tesla images and video clips used in the video Courtesy of Tesla, Inc. (where noted in video).

2. Thumbnail RAV4 image & other RAV4 images and/or video clips used in the video Courtesy of Toyota (where noted in video).

Data Sources:

NOTE: The content found in this video should NOT be regarded as financial advice. I am not a financial advisor, and this is NOT in any way a recommendation or offer to buy or sell securities. While the information in this video is believed to be accurate at the time of recording, no guarantees are being made about the accuracy of the information presented in the video. As of the recording of this video, I am NOT invested in Tesla stock or securities, nor any other company mentioned in this video.

[Cleanerwatt]

QUICK CORRECTION: at around 6:30, the slide that shows insurance cost estimates has the models switched. The numbers that I speak in the video are correct, but the slide should show ~$102 per month for the Model Y, and ~$79 per month for the RAV4.

[thebasyoni]

Thanks a lot for making this video. Even though I’m not a US resident, you gave me a good reference to do a local equivalent comparison in where I’m living. Great & value video. Keep them coming.

[ricavega]

This is a great comparison as I've been debating on what to buy between these 2 models.

[dunggg]

You should also consider a average dealer mark up for the RAV 4. As of Jan 2023 the mark up is 7000 at Souther California Toyota dealership

[PostprandialTorpor]

I would love to see a follow video of this comparing the model Y long range against the rav4prime model trims

[catalinacortes]

Interesting video. I know it’s a bit dated but I went to a Toyota dealer looking at the RAV4 hybrid. It was msrp of $36k plus a $7k market adjustment so $43k. I ended up buying a Tesla model y with the 4680 battery for $46, 990 minus $7, 500 federal tax credit so $39, 500…… Tesla Model Y > Toyota RAV4…. U didn’t take in account the market adjustment and add ons dealers are charging.

[TeslaEVolution]

Jonathan many utities now offer super-off-peak charge rates of 1-3 cents/kW. We lay 1 cent/kW 11PM to 0700AM= Annual cost of less than $50.00 which dramatically changes the outcome. Also Tesla insurance seems to cut insurance by 40-50%...again changing the outcome!

[kevinmaxwell]

I get 47 mpg average with my driving in my 2022 RAV4 Hybrid XSE. I love it and don’t have to worry about finding charging stations. It also goes 620 miles per tank of gas.

[daltonknox]

At my Mammoth condo electricity is 40c/kWh. That means that in the snow and ice, the fuel costs of a RAV4 and Model Y are similar. Throw in that installing a 240V 40A power line will cost $2, 000 and I will have to get home owners insurance with a $1, 000, 000 cap at $900/year, that adds $9, 200 over 8 years after which the Model Y drive train warranty will expire making the car almost worthless, whereas a RAV4 will go on running without much extra cost for years.

[eddietorres]

The table comparison at the end would have made more sense to include the price without the credit along the cost with the credit, since you included the comparison with the Limited RAV4 . Otherwise, nice comparison, thank you for the work put in. I have a RAV4 XSE hybrid so I'm happy to see this although I know this is meant to be more biased towards the EV vehicle.

[youmen]

great review, just wha i was looking for

[UncompressedWAVmusic]

I just saw a report out this month that the cost to charge a Tesla is more than the cost of gas for an ICE car since the gas prices dropped and Tesla increased electricity cost at their charging centers. Also Teslas values plummet when you reach the end of the battery and have to replace it whereas an RAV4 engine will last for 400, 000 miles and still has value when that happens. Also many in North America are upset because the price to charge their Telsas at superchargers went up and now it costs more that buying gas for an ICE. Gas prices dropped and superchargers charging price skyrocketed. Also minor accidents with Teslas are $20, 000 because of the Megacasting of the mold which prevents easy fixes of fender benders. So unless you are the worlds best driver and 100% sure you will never have a fender bender and you have a supercharging set up in your own home and your insurance company hasn't skyrocketed your insurance on your Tesla and your battery will last another 10 years than never buy a Tesla as the odds are you will regret it very soon and regret you ever bought a Tesla.

[jodydewey]

Can you run the numbers with the plug in RAV4 (2023 Toyota RAV4 Prime)? I would think that since the Plug in Hybrid can go 42 miles on electricity that it could be factored in and reduce the TCO for the RAV4.

[lukebrinsmead]

You forgot to add the home charger to the purchase price of the Tesla.

In Australia the RAV4 hybrid capped service cost is $230 per year or $1, 150 for five years. This service includes genuine parts/products and labour.

Check your chart for insurance costs, it doesn’t match what you said.

[arnoldliptak]

Great video! Would you be so kind to remake your calculations while taking in consideration the data available today. Just to check the Depreciation of the cars again.

[kevinroberts]

Also consider time of use in the winter your going to spend the same amount to charge but only get half the range

[jorgechidote]

I wonder how much it would change if you bring the rav4 se prime 🤔
Cause that car would also qualify for the incentive

[robertt]

Nicely laid out. I agree, the model y is worth extra. Cost of installing a charging system at your house may be a couple k more, but as you said with state/local incentives, this helps lower the Tesla below the Toyota. Illinois offers $4, 000 on top of federal 7.5k… comes to an 11.5k tax benefit! A 54k model Y is only $43k here!!!

[murraygingrich]

I'm glad you found the insurance chart was wrong.

Why couldn't you folks make sure you charts and numbers are correct before publishing?

I live in rural america. I do not see me purchasing any electric vehicle. The pickup trucks do a lousy job of towing

[stephenrobertson]

your insurance cost screen showed opposite costs as compared to your verbal description. So, which was correct?