Late October Telsa gave me a settlement future on my 2020 3P with FSD of £27,500. Now, 2 months later that figure is £19,900!
How the hell can it lose £7,500 in 8 weeks?
How the hell can it lose £7,500 in 8 weeks?
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Late October Telsa gave me a settlement future on my 2020 3P with FSD of £27,500. Now, 2 months later that figure is £19,900!
How the hell can it lose £7,500 in 8 weeks?
Seems fairly normal in that case then... It will be trade value and demand that has affected it.Sorry you are correct. It’s a trade-in figure. It’s dropped £7500 in 8 weeks.
This is the only vehicle I’ve ever taken on a PCP (and I’ve done a lot on the same sort of deal) that is worth less than the outstanding value of the car (it wasn’t 8 weeks ago when it was valued at £7500 more).I bought mine in Sept 2020, on PCP. Later this year, I'll be trading it back to replace probably. My PCP value at that point is ~19,000. I don't care if it's less than that, and while it'd be nice if it were worth more, I'm not planning for it to be, and don't expect it. I'll lose no money compared to what the PCP contract says, and loss is Tesla's/Finance companies. I'm happy with that.
If you trade in a (EV) car too soon you will loose money, however when you take into consideration fuel and servicing costs my car could save me over £14K over 8 years compared with an equivalent ICE car. I plan to keep my car for a few years...
Note that breakeven point between ICE and an EV happens in year 3 and my car is the cheapest SR+.
That was just the used car prices realigning back to non pandemic levels. This is more than that, EVs continue to get so much negative press than no one wants them. Traders are having to value them based on an expectation that they will hang around and continue to depreciate for months before a sale.I lost 6.5k on a golf GTD between July and October last year.
I hear what you are saying, but I bought an 18 month old CPO car with 12k on the clock at 39% off the new list price. That didn't feel like an inflated price to me, it felt like a good deal!The problem with having bought pre-owned in 2021-22 (even early 2023) was that with the semi-conductor shortage was still in full swing, and/or manufacturers were still playing catch-up and people didn't want to wait, so demand for used cars was up and that inflated the prices. Through 2023 the delivery of new cars became more consistent and with that the demand for used cars dropped off, causing the prices to tank. Its all driven (to an extent) by supply and demand.
Sadly, its not that you lost a large amount during ownership, its that you paid an inflated price.
Using a Personal Example, In 2021 a used Discovery 5 was circa £37k for range topping, I bought in 2022 and it was 44k. When I sold it, a pristine condition one (which mine was not) was fetching around £32k trade in, so would have been on forecourts at around £35k.
Now this is the right viewpoint. Cars are liabilities, if you seek investment buy a painting.I think the over arching message here is cars are pretty much never a wise financial investment...
We don't buy them to make money do we, we buy them for pleasure and to increase our quality of life...
Obviously that can vary depending on when you do it and market conditions as highlighted above, but the common theme here is a car WILL lose you money!