hi all, My bother in-law bought a new 75D model X back in March and paid 150K. With all price drops he decided to trade in his X for a newer one with more of the upgrades. After contacting a his Tesla sales rep, he didn’t get a reply back from the rep. I have him my sales rep contact info, to see what Options he had. He was told by my rep that today Tesla would buy back his MX for 110K assuming that the vehicle was in mint condition. His MX currently has 13,000kms on it. So in a matter of 6 months or so, his MX value has dropped 40K! This seems rather absurd and disturbing to me. How can a be vehicle depreciate so much in so little time?? Has anyone else experienced anything similar? Please share. It’s very upsetting considering Tesla tells you upfront when you purchase the vehicle that you can’t negotiate the price so that “all customers pay the same price” yet if you wait a matter of weeks the price drops and if you taken delivery before the price drop, you are out of luck. Please share any stories you may have. I think this should be something we owners let Tesla know about.
Well, new cars take a hard depreciation regardless but with Tesla innovating and changing things it's drastic now. Used to be not much depreciation but now they have inventory, not long wait times, and almost updates every quarter. It does suck as an owner but as a company they keep moving forward. To stay relevant compared to the big automakers who have probably higher R&D budgets they need to innovate. My suggestion, keep the car and enjoy it. After a few years deprecation will level out and won't hurt as much. Typically trading a brand new car first year of owning is almost as bad as getting a divorce after 3 months but giving your wife 50% of your wealth vs. over 10 years hahha (ok full transparency, that didn't happen to me but someone I know lol)
And if you buy an inventory car, you apparently get discounts. If I knew this, I wouldn't have custom ordered.
Well not in all cases. Maybe towards EOQ and if it was a demo vehicle with some miles or a showroom car.
My guess is that you brother in law has never purchased a premium car ... welcome to world of accelerated depreciation. I would recommend that he adopt a buy and hold strategy going forward
Also keep in mind that almost all EVs in the US currently have an added factor to drive off depreciation.... the $7500 federal tax credit, which the original owner gets, and the second owner does not. Even more in some states with a state incentive (Colorado for example). Our Leaf is "underwater" despite being at zero % interest, due to the federal tax credit (and hence why I would encourage anyone financing an EV to get GAP insurance). I am not even going to try and figure out how underwater our Model X 90D is right now, and truly I don't care. The only reason I am somewhat upset about the Leaf being under water, is I do want to convert our Leaf to a Model 3. -Harry
All well said above. The deals are definitely are at EOQ. Note these big discounted inventories didn't really happen until same time last year, at least for the X. Keep in mind if you fall for Tesla upgrades your new car will also depreciate pretty quickly. For me I'll wait for another 3 years and review the options at that time. It's unlikely I'll get another Tesla.
What options did he get to push 75D to $150k? It seems to me that you're including all different kinds of tax/fees/after market options.
I made the mistake 1 time of ordering a new Tesla. Never again. Inventory all the way and the best time to buy a Tesla is the last month of each quarter. They really want to move cars.
The info is off..bought a 75d for 150k? Nope. Tesla offering to take a 75d for 110k? Nope. Maybe it's p90d? Either way, that's the way mass produced $100k vehicles work in the marketplace
People are saying they are getting discounts all over the forum for inventory cars. What's the point of custom ordering?
I am in the process of getting an X now. They offered me one that's right off the factory with same options as custom build but there is no discount on the build. So might as well wait till custom next month. Maybe I'll get some upgrade beginning of q4.
For those who have been living under a rock: 1. expensive cars depreciate quickly. 2. trading in a car is never going to get you maximum value. sell it yourself if the offer bothers you 3. selling a virtually new car is financial suicide regardless of price. Blame yourself for poor financial planning, not the company that sold it to you
The big discounts are on demo cars with miles and cars with discontinued options. When the 90D was being discontinued some of the showroom discounts on cars that had been sitting a few months reached close to $20k. How do I know? I bought one.
Inventory car might not have the exact configuration you want. For example, exterior color / interior combo / wheels + seats configuration. However, with discount of $10k upward it's worth it to make some sacrifices.
I'm gonna start a think tank and make you president, @Jabardo. Vice president will be the TMC member who believed Tesla hadn't thought of where to obtain lithium for batteries. With club members on the watch, together we can save Elon from hidden perils which endanger Tesla's existence.
