Brand new, a Tesla model y LR with taxes etc is going to run me 52-53k I don’t even think that includes taxes.
I’m looking online and seeing a ton of Tesla Model Y with less than 5k miles on them for like 40-42K.
I know this isn’t a new idea, but am I missing something here? Are there red flags or dumb things I’m overlooking? It’s a little baffling to me why people are buying and selling with this little mileage.
You guys are experts and I’m just a newbie who’s clueless. What do you think of my idea?
I should probably note I think I make enough where the federal Ev credit I wouldn’t be entitled to
If you buy any Tesla you take on all the residual value risk down the road. The next time Musk randomly decided to cut new Tesla prices you will be in for more pain. If you buy it, plan on owning it for a long time.
I would go used, but not own beyond the warranty period. I think the sweet spot right now is a 22 Model Y LR which has an MMR around $28K and with average mileage around 36k you should be able to get 2 years out of warranty with a low cost of ownership.
I think the biggest impact to valuation will be the project juniper launch, but who know when that will finally materialize, and really how much more value could a sub $30K 22 MYLR lose.
No real reason to buy used. Look for a discounted Inventory MY. They have 3-4k off plus $500 off referral codes are out there on top of that you get $7500 EV credit ( if you qualify if not you need to lease to get the $7500 off ) You can get a Long Range AWD for around 38-40k plus 60 Months 0% interest.
it’s not a line item per say but it’s included in there. think they take it off or play with the residual or use it as a “down payment”. if you speak to someone they can send you a deal with it all laid out. Also right now the APR on the lease is around 1.88% as well. You can be under $500 for 36/12 with just taxes and fees at singing. Also if your state has a rebate you can stack that as well. I’m in NJ so i get another 2k off
I highly recommend going the route of a new vehicle lease on any EV for a few reasons:
Leasing will get you the $7,500 tax credit, regardless of income. It may not be a straight rebate, but it will be in the deal in some form of Residual Value Enhancement, rate subsidy, cap cost discount, or any combination of these.
Depreciation risk insurance. If you lease the car, the lessor holds the depreciation risk. This risk is almost entirely downside so definitely better to have set depreciation, even though Tesla doesn’t let you buy out the lease at termination.
Warranty: If you are set on a Tesla, you want to have as much warranty as possible. Lots of build quality issues where I personally would not want to be on the hook for the repair cost.
Obsolescence risks: 2-3 years down the line, the EV landscape will look totally different with new brands, new models, and even better technology. This goes along with depreciation risk as you would have to sell this Model Y against newer models with better tech if you ever wanted to get something new.
On a separate note- If you want an EV, be sure to look at some of the competitors out there. Lots of new models in market that can be pretty good cars, and with the current EV landscape where manufacturers have to sell EVs to hit certain quotas, you can get some crazy deals on cars with much much higher MSRPs than a Model Y where it could even be cheaper to get a more ‘expensive’ vehicle.
Tesla is passing through the $7500 lease credit, it appears as a line item reducing cash down. But you cannot buyout the lease, and a new base MYLR lease still starts at $500/mo. That makes the TCO around $18K for 3 years, more with any options or in a non-tax friendly state. Although some terms are favorable, it still adds up to a bad lease for this market.
You’re fine with poor build quality, a cheap interior, an atrocious service experience, sky high insurance costs, and being associated with Elon Musk? All things I’d rather avoid personally.
Just lease something else…in 2022 I bought a Model Y $76K OTD and thought at that time this was the car I wanted…and I did. But…flushing $45K down the drain in two years-I should’ve bought a Lexus ES instead I knew prices were to improve come Jan 2023 but I still bought the Y…eeh, you live and you learn! So take the advice from most here and LEASE an EV, or BUY a Lexus for best RO”I”
Ioniq 5 leases are some of the cheapest right now, then Chevy Equinox/Blazer EV, Kia EV6, Honda Prologue EV, Mercedes EQB and many more…
While I wouldn’t buy a used Tesla unless I got a crazy deal on a X or S plaid. (My buddy just got a 2023 X plaid at auction for 51k with 7k miles and full ppf and ceramic.
I would pick Tesla over all of these other EV’s any day of the week…I’m also in the 70k MYP club. The over air updates and simplicity of the car is what I like. The seats are comfortable it’s faster than 99% of cars on the road. There tech and patents on future tech put them at the forefront for years to come.
I was looking for a model y and almost pulled the trigger. 0% financing and if you keep checking inventory you can find a lr rwd model below 35k with discount and referral code. with 1500 down payment was around 580 I believe.
I didn’t buy because I received a few insurance quotes and the cheapest was $220/month.
I knew prices were to improve come Jan 2023 but I still bought the Y…eeh, you live and you learn! So take the advice from most here and LEASE an EV, or BUY a Lexus for best RO”I”