Tesla Prepares to Show Off Its Affordable Model 3 Sedan

PHOTO: Elon Musk of Tesla Motors addresses a press conference, Oct. 23, 2015 in Beijing, China.ChinaFotoPress via Getty Images
Elon Musk of Tesla Motors addresses a press conference, Oct. 23, 2015 in Beijing, China.

The dream of owning a Tesla just got even more real for people eager to get behind the wheel of one of Elon Musk's electric vehicles.

Tesla's fleet of sporty, luxurious electric vehicles are set to welcome a lower-priced member to the family when the company unveils its mass market Model 3 on Thursday, which is expected to cost around $35,000, excluding any potential electric vehicle tax credits, putting it at a sweet spot in the luxury electric vehicle market.

Musk announced on Twitter that reservations for the company's mass market Model 3 vehicle will begin in Tesla stores on March 31 and online on April 1. While previous Tesla vehicles have required a $5,000 deposit, Tesla is requiring a $1,000 deposit for interested buyers to secure their spot in line for the Model 3.

"Whether it looks similar to [Tesla's last sedan] the Model S or not, I think there will be a family resemblance," Jack Nerad, executive editorial director at Kelley Blue Book, told ABC News.

The sedan is expected to be smaller than its older sibling, the Model S. Musk has previously said the Model 3 will be able to travel at least 200 miles in normal driving conditions.

PHOTO: The Tesla Model S Signature is shown during a media preview day at the 2012 North American International Auto Show, Jan. 10, 2012, in Detroit, Michigan.Bill Pugliano/Getty Images
The Tesla Model S Signature is shown during a media preview day at the 2012 North American International Auto Show, Jan. 10, 2012, in Detroit, Michigan.

Tesla's most recent release and third vehicle, the Model X, is a sporty crossover vehicle. The concept was unveiled in 2012 and the first vehicles were delivered last September. The signature series Model X costs in the low six-figure range for customers seeking a fully loaded, top-of-the-line experience. The vehicle has wing-like doors and has enough space to seat seven adults.

PHOTO: Elon Musk demonstrates the falcon wing doors on the new Tesla Model X Crossover SUV during a launch event on Sep. 29, 2015 in Fremont, California.Justin Sullivan/Getty Images
Elon Musk demonstrates the falcon wing doors on the new Tesla Model X Crossover SUV during a launch event on Sep. 29, 2015 in Fremont, California.

Tesla's first vehicle, the Roadster, is a sporty two-seater that made its debut in 2008 and packed as much as 245 miles into a single charge. A successor to the Roadster is expected to be announced in 2019. Despite no longer manufacturing the vehicle, Tesla offered a battery upgrade option to owners, applying what the company learned from the Model S to help increase the range of the sporty two-seater to more than 400 miles, according to the company.

The first Model 3 vehicles are expected to be delivered in late 2017, according to Tesla's letter to shareholders. The company has had to adjust its delivery timelines in the past, but Nerad said it's especially crucial Tesla sticks to its late 2017 goal.

"We are looking at their ability to deliver and how many they can deliver and when they will start delivering," he said. "The electric vehicle market is getting more and more crowded and as the months go by, there will be more competition from major manufacturers, so time is of the essence."