For purchase, it’s a discount.
It doesn’t help the bottom line though.
21/22 resale prices were an anomaly, but Tesla had its own dynamics and seems to not play by the same rules as other car manufacturers
For a purchase it doesn’t really matter how it’s structured since what matters is the bottom line
Except if the specific car is close to MSRP cap to qualify for the the rebate ($55k for Model 3, $80k for Model Y and X)
IMHO, investors are more interested is revenue and growth than the bottom line, especially companies with speculative net worth. Tesla has been in unfamiliar territory in the last several months where they actually have inventory instead of a wait list.
The market may just be saturated so you can’t expect similar growth, especially when new players coming into the market
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That’s just it right there! With the $7500 being applied at lease signing in 2024 effectively makes the Model 3 and Model Y a very enticing lease.
The total cost of lease for model Y AWD is about 22k.
Not sure how enticing that is for a 50k car with 7500 credit
Leases will stay the exact same. The tax credit, whether point of sale or not, goes to the car owner, which is Tesla in a lease, not you. So leases in 2024 for Tesla cars will be exactly what they currently are. Tesla will continue to get the credit and will pass it on however they want, or not at all.
What I am saying is instead of the $4500 down and $399 per month it would be $7500 down (which technically it isn’t coming out of pocket) and would bring down the ppm. Am I missing something?
The law is not changing with respect to leases in 2024. Tesla can still do whatever they want with lease credits in 2024, just like they are now. The new point of sale immediate rebate beginning in 2024 is for sales only, not leases
Well now the tax credit is not off the top, however it soon will be.
You are confusing two different provisions of the law. The portion that is a rebate from the purchase is the consumer portion. To be eligible for that, the car must meet the battery sourcing requirements, income requirements, etc. The cheap model 3 cars do not qualify under that program. However, there is the portion that allows car manufacturers to pass on the credit if it is a lease. Under that portion, there aren’t the same requirements. Tesla can pass on the rebate with a lease if they want, but they do not have to. So nothing with a lease is changing.
I am aware of all that info but to make that statement at the end isn’t entirely true until we see it happen in 2024.
I’m hoping next year Tesla will allow lease buyout again
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Nothing in the law is changing regarding leasing, so unless the law changes in the next few days, it was an accurate statement
But those conditions all get thrown out the window if you lease, regardless of how much it costs, where it was made, or how much you earn. “A lease is considered a commercial sale to the leasing company and is eligible for a separate commercial vehicle tax credit that has fewer restrictions than the consumer tax credit,” says Chris Harto, CR’s senior energy policy analyst. That means the leasing company can get a full $7,500 tax credit for an EV, and in turn pass some or all of those savings on to you in the form of lower lease payments. Seems to me this would change with the tax credit at the POS in 2024.
Edit: I see this year is the same regarding leases. Tax credit for leasing is not dependent on tax liability for 2023 and 2024 will be no different. I did not know this was the case. It’s so difficult to decide whether to get a discount before year end or wait till next year and look into a purchase with tax credit applied.
Why would it change? The pos portion is for purchases, not leases?
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Based on the insights the store folks shared, the discount is dependent on the number of days a specific car is in the lot.
So “aging the car” is better for the customer, unless someone snags it before you do. Sort of a reverse bidding 