I have what I think is a crazy deal for a brand new 2018. Terra 1 world i3 car.
30% off msrp
11000 fleet discount
1000$ OL code
350$ UC +
Net cost before tax is 25200$
Post sale tax rebate of 7500$
Net effective taxes is 17800$
Is this a good deal ? Or would prefer leasing a 19? I am in texas, so not a lot of tax incentives here
I am generally not one to consider buying an EV due to the tech refreshes that occur so frequently, but that buy price does appear attractive. I would probably still find a sweetheart lease on one though rather than buy. But, the TX tax thing could complicate the decision (so those with state specific knowledge can hopefully chime in).
Also, the 2018 has the smaller battery (33 kWh) compared to 2019 (42 kWh), so keep that in mind as well, especially if the car you are looking at is BEV and not REX.
Lease vs buy depends on actual resale versus RV, tax implications, cost of ownership and rent charge versus finance charge.
Type the VIN into Carvana with 10k miles. What’s the offer?
Did this for a $102k demo 7 series yesterday at $30k off and the offer was $44k
The least expensive I3 i found 2018 is close 30k
They can list the car for whatever they want, doesn’t mean they’ll get it.
I got 29000$ in carvana for the 2018
It is a rex model one that I am looking at
Then buy it and ride the positive equity.
If that is the case, buy it and flip it. Rinse and repeat.
Buying is a no brainer and you will be able to flip it (after you file for taxes). However, it will be best to use as a trade-in since you can then re-capture some of the taxes you will have to pay on the purchase…
Is that an actual offer or what you think can be offered? Are you sure the $11k fleet stacks with that discount?
Technically it’s unlawful to acquire EV tax credit for the sole purpose of reselling but one can argue buying i3 weren’t the best choice they make…
IDK if IRS will have a world tho if you keep repeating it…
@jon Yes i got this offer 30% and additional 11k off
It’s so good he is trying to figure out how to get one himself…
Lol hahaha, i feel good you pros
That’s a strong price, usually dealers are only discounting the 2018 a few thousand but this dealer is smart enough to realize they need a large discount to move it. You can get a CPO 2016-2017 for around the same price so it is an overall good deal if it meets your needs.
I would think it could be defensible. Buy now, hold until tax year is over. As you said, say you didn’t like the vehicle.
As for repeating the process (hypothetical conversation):
IRS Agent: I see you have purchased multiple EVs in the last year, taking multiple tax credits in the process. Can you explain why?
BMW I3 Flipper: I purchased this vehicle because I got a great deal on it, but all they had was the blue colored one. After driving it for a few months, I decided I couldn’t be seen driving a blue car, so I sold it.
IRS Agent: OK, I understand not liking the color vehicle you purchased, but it seems extreme and expensive to sell it after a few months, after all they depreciate 20% as soon as you drive them off the lot. Then you bought another one, what happened there?
BMW I3 Flipper: 3 months later, I found a deal on a red one and red is really my favorite color for this vehicle. All my life I have wanted a red BMW I3. It was a bucket list item for me.
IRS Agent: Its good you were able to find what you wanted. Are you still in possession of that vehicle - I didn’t see it parked in your driveway?
BMW I3 Flipper: No, I sold it last month.
IRS Agent: Yet you still claimed the tax credit for it. It sounds to me like you are running an EV flipping business at the expense of the US taxpayers.
BMW I3 Flipper: After driving the red one for a few months, I was attracting the wrong kind of attention so I had to get rid of it for my safety……
IRS Agent: Oh really…
Are we giving public advice for tax fraud here?