aslam
Member
Hopefully that’s the case, although unfortunately all signs are pointing to an increase in lending rates over the next year
@Scott_K you are right, but the real question is how much Tesla will subsidize the rate. Because even the 3.49% I’ve got now has to be subsidized by Tesla. There’s no way RBC is lending normally at that rate. I looked at the possibility of borrowing from a HELOC instead of financing thru Tesla/RBC. The HELOC is, of course, 100% secured by an appreciating asset (real estate in Vancouver
) and the best rate I was getting was 3.34% over five years. The rate for longer was going to be even more. So I’m sure that RBC is not giving a 3.49 rate on a DEPRECIATING asset as part of normal lending practices. That leads me to believe that Tesla must be subsidizing the rate we pay. Therefore, the question really is how much will Tesla subsidize the rate as of March 1. If they are going into a slow quarter for sales and are hoping to drive revenue/deliveries/orders, then they may be willing to take on a deeper subsidy. Considering that for each 1% that Tesla subsidizes, they would be kicking back $6539 to RBC (assuming 150k financed over 96 months). So for an extra 6500 (or two) they get to make a 150k sale where their profit margin is probably at least 25% (37.5k). They might be willing to take a long term financing subsidy cost for a short term bump to revenues. ...or at least that’s what I’m hoping they will be willing to do.
