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Financing the car after lease ends

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I posted in another thread, but I just went through the scenario you guys are discussing. Previously had 85D with 51285 miles on a 15k 3 year lease with 5.5 months to go. After some back and forth, I paid out remaining payment + mileage overage and leased an inventory S100D with identical options (everything but rear facing seats) for $4k less (95 miles on car which is pretty much nothing). So, no real breaks on the lease though working with them I was able to find an inventory car that helped reduce the hit.

For those of us with leases that end in the last quarter of the year, I hope finding inventory cars continues to be easy. Most theorize that Tesla unloads these fully optioned 'inventory' cars to meet delivery goals at the end of the year. It seems this is the best time to ask for special exceptions.
 
How much did you end up paying? So you were 6k miles over at the end correct?

My sentiments exactly. My current thinking is that at the end of this new lease I will move to a Model 3 AWD and possibly Performance if they have it. And buy it outright.

I posted in another thread, but I just went through the scenario you guys are discussing. Previously had 85D with 51285 miles on a 15k 3 year lease with 5.5 months to go. After some back and forth, I paid out remaining payment + mileage overage and leased an inventory S100D with identical options (everything but rear facing seats) for $4k less (95 miles on car which is pretty much nothing). So, no real breaks on the lease though working with them I was able to find an inventory car that helped reduce the hit.
 
Oh boy. You’ll get close to 80k miles by lease end. 50k miles over the limit. That’s insane

Planning on buying it outright? Or can it be financed at that point?

Good luck

My Model X has over 40,000 miles on it with a 30,000 mile lease. We still have over a year and a half to go... I think it would be in my best interest to keep the car with the $58,852 residual price...

Brent
 
buying the car at lease end never works out financially. you always end up over paying for the car when you factor in what you have paid already. . . .

Leasing a Tesla for $1000 a month for 36 months - then buying it at 70% of its pre-lease value makes no finanical sense. EVen if the residual is 60% - do the math - and you take an $85k car [avg here?] and you're paying $97000+ for the car with a $5000 down.

$85k vehicle
$1100 a month lease with a $51000 residual. That's if you have great credit and negotiate like hell on the lease terms.
Add an average sales tax of 6% to the lease payment, plus tax on the purchase and then registration of the vehicle at lease end . . .
an a 3% interest on the used price - and you're easily at $94k

Whereas if you bought the vehicle at outset:
$84000 [-$1000 referral most months ]
Sales tax: $5040
Lic / Reg: $ 710

Total: $82,250 after $7500 federal rebate.

total of payments if you finance at 1.49%, 6 years, $5000 down: $80,802 + $5000 down total = $85,802.

Total cost lease buyout:

lease payments: $1100x36 = 39600
Buy out: $51000
Sales tax etc: $3100

Total: $93700 - or $8000 more than buying it upfront. . . . and yes, I'm including you paying $5000 down plus the $7500 rebate as a down payment on the lease. Otherwise the numbers are even uglier. Add in over driving te mileage limits - and you're gonna get killed.

They do offer 12000 and 15000 mileage leases -

Pay cash for the car and your differential is up around $10,000. you should use those savings to buy another vehicle.

Leasing only ever works in the face of the tax deduction - if you have a business that can offset most of the cost of the lease as a business expense. I've set up a business lease and funded it myself - business is taxed at 'a' and the lease is treated as a business expense paying ME for the car at a high end interest factor.

I then depreciate most of the cost of vehicle to offset the lease payments I'm receiving - then have taken the investment tax credit up front - and end up bascially driving the car for free - then - if I want to keep it [and often do] I wholesale it to a famiily member after finding out what wholesale is for the make and model - the recapture of the depreciation adds a few thousand to the cost at most and I've gotten a vehicle for 30% off usually . . .
 
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Yes, I have written off both of my Teslas - used them for my business. So I have paid nothing for them out of my pocket. I will be buying my Model X at the end of the lease as it has the cooled seats - some people complained about them, but here in Arizona, it makes a world of difference. When you put your hand on the black leather in 100+ degree weather, the seats are cool to the touch. I am going to try and negotiate a few things at the end of the lease and I will keep you posted. I am hoping to pay cash at the end of the lease, but if not, I should have no issues financing it.

Brent
 
Just got started on buying out my 2016 model S lease from US bank. Got the paperwork today. The offer includes a buyout price of ~$56k with a $7500 'incentive', making the buyout about $47,500 plus $3700 tax, 4.15% 60 month loan and no prepayment penalty that I can find in the contract. So far, looks like a pretty good deal.
 
Just got started on buying out my 2016 model S lease from US bank. Got the paperwork today. The offer includes a buyout price of ~$56k with a $7500 'incentive', making the buyout about $47,500 plus $3700 tax, 4.15% 60 month loan and no prepayment penalty that I can find in the contract. So far, looks like a pretty good deal.

What is the $7500 incentive for?

I'm in NJ which is a tax exempt state for electric vehicles so there will be some savings there regardless if I decide to buy out the car at the end of the term.

What was the amount the contract had stated at the end of the lease for buyout? Was that $56k as well or did that number change based on how many miles you had on the car?
 
What is the $7500 incentive for?

I'm in NJ which is a tax exempt state for electric vehicles so there will be some savings there regardless if I decide to buy out the car at the end of the term.

What was the amount the contract had stated at the end of the lease for buyout? Was that $56k as well or did that number change based on how many miles you had on the car?

No explanation as to what the incentive is for. I assume they're just excited about someone financing it with them, lol.

$56k was what the lease contract stated. No mileage considerations mentioned, although I'm slightly under the contracted mileage.
 
No explanation as to what the incentive is for. I assume they're just excited about someone financing it with them, lol.

$56k was what the lease contract stated. No mileage considerations mentioned, although I'm slightly under the contracted mileage.

I'm assuming it's not a coincidence that $7,500 is also the amount added to the residual value as the leasing company takes the $7,500 tax credit and applies to the residual value, thus artificially inflating it. They're just giving that back to you it seems - sweet deal.
 
I'm assuming it's not a coincidence that $7,500 is also the amount added to the residual value as the leasing company takes the $7,500 tax credit and applies to the residual value, thus artificially inflating it. They're just giving that back to you it seems - sweet deal.

Never any mention of it the two times I'd spoken to them before about buyout, although I received a specific number to call at US Bank from the Tesla rep. Also, there is no pre-payment penalty on the loan which someone was surmising about in a previous post.
 
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