Automakers typically raise the prices of their vehicles by small increments with each passing year as engines get more powerful, costs increase, and more features become standard. Tesla does things a bit differently. Rather than announce model year changes, Tesla randomly raises its prices at random times during the year. Most recently the company increased Model 3 and Model Y pricing while removing the lumbar support feature. CEO Elon Musk explained that the pricing changes are due to supply chain issues, specifically raw material costs.

The 2021 Tesla Model S is the latest victim of the price hikes, seeing a $5,000 increase overnight. A base Model S Long Range now starts at $89,990, a massive increase from only a few months ago.

Tesla previously offered the Model S for $69,420 as a vulgar joke, but raised the price by $10,000 with the reveal of the 2021 facelifted model. Another increase brought the price up by $5,000 before this most recent $5,000 hike. This means the Model S has increase by $20,570 since late last year, an enormous sum by industry standards. Factoring in the federal tax credit, you could purchase a brand-new Nissan Leaf with the Model S price increases alone.

Customers aren't going home completely empty handed for their extra cash, as the 2021 Model S saw an increase in range and performance with an updated interior. We just aren't sure these upgrades are worth a 30% price hike.

Tesla customer love the company's no-haggle direct-to-consumer sales model because it eliminates the silly dealer markups and painful haggling process. However, if the replacement still penalizes customers with frequent, random price hikes, this model doesn't seem much better. Tesla is clearly incentivizing customers to order their cars and lock in a price, because an increase could come tomorrow with zero warning.