TMC is an independent, primarily volunteer organization that relies on ad revenue to cover its operating costs. Please consider whitelisting TMC on your ad blocker and becoming a Supporting Member. For more info: Support TMC

Do you lease or buy - what terms

Discussion in 'Model S' started by bharned3, Dec 24, 2016.

  1. bharned3

    bharned3 Member

    Joined:
    Dec 13, 2016
    Messages:
    86
    Location:
    Dallas, TX
    Just curious what most people do when getting there Tesla. I am close to buying and on a tight budget for a CPO. When buying do most people do the normal 5/6 year loan or can you do longer on the 60+ loans.

    I am planning to spend <50 on my CPO, but curious if I stretched it to 60 to get a newer model is it smart to finance for longer.

    Just curious what others are doing.
     
  2. JClu

    JClu Member

    Joined:
    Oct 15, 2016
    Messages:
    136
    Location:
    Chicago
    To buy or to lease, that's one of the eternal debates on this forum. Chances are you will see 50/50 response rate from both camps.

    Buyers (I'm in this camp) tend to keep the car longer (> 6 years?) and are OK with not always having the "hottest and latest" gadgets (let's face it, Teslas are basically really expensive big gadgets).

    Leasers like having new cars every 3 years (or whatever the lease terms are). People also argue that Tesla updates its hardware and software so frequently that you can never keep up if you buy.

    As for the financial comparison, you can always tweak the terms (buy or lease) to your comfort level. I don't think the monthly payments would differ that much buy vs lease for the same car.

    So I think you should ask yourself what your patterns of car ownership have been in the past.

    Good luck and welcome to the Tesla community!
     
    • Like x 1
  3. Cstreet

    Cstreet Member

    Joined:
    Jun 9, 2016
    Messages:
    37
    Location:
    Palo Alto, CA, United States
    I started looking at CPOs but wanted AP and the new nose (Got mine in June 16). I ended up leasing as I suspected lots of progress on the tech in 3 years and wanted to be able to just hand this one back in.
     
    • Like x 1
  4. caltechkid

    caltechkid Member

    Joined:
    Dec 17, 2016
    Messages:
    196
    Location:
    Taxifornia
    Financed @ 1.74% for 6 yrs. I didn't lease bc:

    a) I figured I'd enjoy driving it a lot and didn't want to worry about overage on miles like my current M3
    b) AP 2.0 should be good for a few years
    c) Body work is expensive and getting the car ready for a lease return could be quite costly

    If I'm wrong then I'll trade it in in 3 years for the latest and greatest and be out not much more/less than if I had done a 3 year lease.
     
  5. BerTX

    BerTX Active Member

    Joined:
    May 2, 2014
    Messages:
    1,692
    Location:
    Texas/Washington
  6. hmmm

    hmmm Member

    Joined:
    May 12, 2015
    Messages:
    677
    Location:
    Driver Seat
    I have both financed and leased but am sticking to leasing with Teslas based on the pace of innovation. I also got an incredible deal on a 2yr lease at the end of q3 so that wasn't even a question this time around.
     
    • Like x 1
  7. wesley888

    wesley888 Member

    Joined:
    Oct 22, 2016
    Messages:
    512
    Location:
    Huntington Station, NY
    Lease would work better for me since I can claim all the lease payment as business expense. But due to the unknown ready date of the AP2 features, I was pretty convinced that it would take more than 3 years. Not to mention the unlimited super charging. So, I went me the less favorable choice of financing. I went with Alliance with 1.99% for 72 months.
     
    • Like x 1
  8. bharned3

    bharned3 Member

    Joined:
    Dec 13, 2016
    Messages:
    86
    Location:
    Dallas, TX
    Thanks for sharing guys. Interesting to see everyone's perspective.
     
  9. rory breaker

    rory breaker Member

    Joined:
    Aug 11, 2016
    Messages:
    119
    Location:
    TX
    100% always lease for me. Why?

    1 - zero liability. This also depends on what model you have. When you buy a $150k car, or a rare car, and its in an accident....its a paper weight. The decreased value can be overcome w insurance, but that's not as much as the pain in the ass of selling it/giving it away or taking a huge hit at a dealer.

    2 - I like to drive something new every 2yrs. Buying and trading inside of 2/3yrs is not advantageous vs the lease, especially when considering risk of #1. Yes an accident is a remote chance, but again, I am happy to pay for peace of mind, for me this is important

    3 - 15k miles is plenty for me

    4 - its priceless to me to be able to just hand the keys in and say see ya. No worries at all. I don't stress about leather wearing or insane paint protection or whatever else. Stress free. When I'm done I hand it in and get something else, so simple.

    If those 4 things don't matter/don't apply to you, I don't see a benefit (besides business leases) and you should probably buy.
     
    • Like x 2

Share This Page