High Demand and Price Gouging on Model Y

[voxel]

You are making assumptions. Maybe these people didn't like the car?

I bought an ID.4 and before the 1000th mile, decided I wanted to sell/trade it. I'm in the process now. Sure there will be flippers but there's probably a large number who never test rode one and/or didn't realize EV charging was so painful without home charging (some owners will be in condos/townhouses/apartments).

EDIT: Okay... looked at the link... 15 miles, 38 miles, etc. Those were definitely bought and flipped.

 

[voxel]

I can see both sides of the story, I used to work in car sale long time ago. It is an emotional purchase for a lot of people. also, don't forget a $58k sticker price Tesla will cost you like $63k out of door after paying for Tax, Title and license. So if the person sold it to dealer for what they paid out the door and then the dealership tacked on $5k for their profit you are at $10k above sticker price.
I ordered a MY LR in June or July and still no car and now saying March 2022 for delivery. I ended up buying a Mustang Mach E for the time being. When my Tesla comes one of the cars will be sold. If Mach E it might have 6,000 miles if Tesla it will have < 1,000 miles. I did not intent to buy and sell the Tesla but they are unable to tell me when I will get my car and I still need something to get from Point A to B, so I had to buy another car. Whichever car I decide to sell off I will try to get what I paid for it Out the Door (not the sticker price), and it could easily make it way to a dealer and be listed for more than the sticker price in that case.

Funny story... I've been buying other EVs (ID.4 and Teslas) while waiting for my Mach-E (ETA late summer 2022) lol.

With this used market... I'm less concerned about rapid depreciation that occurs with every new car in a typical year but everything only works if I can trade-in (avoiding double sales tax here).

 

[Corndart]

Funny story... I've been buying other EVs (ID.4 and Teslas) while waiting for my Mach-E (ETA late summer 2022) lol.

With this used market... I'm less concerned about rapid depreciation that occurs with every new car in a typical year but everything only works if I can trade-in (avoiding double sales tax here).

The market is driven by a couple of variables including product (un)availability, cheap money, money not being spent elsewhere (vacations and other discretionary goods that are also not available), and generally good consumer sentiment. Change one or two of those variables and you could easily be upside down in your purchases. Some of them will definitely change, it's inevitable.

<insert inevitable "okay boomer / dad" responses here>

 

[voxel]

The market is driven by a couple of variables including product (un)availability, cheap money, money not being spent elsewhere (vacations and other discretionary goods that are also not available), and generally good consumer sentiment. Change one or two of those variables and you could easily be upside down in your purchases. Some of them will definitely change, it's inevitable.

<insert inevitable "okay boomer / dad" responses here>

Shrug. I could be "upside down" (technically not possible since I'm paying cash for all cars) but I've chosen cars that if I will lose a ton on depreciation I would be relatively happy keeping. For sure the market will change at some point but in the meantime, I'm driving different cars with minimal loss/gain.

 

[Destiny1701]

All I know is I’m taking delivery of my MY LR on Saturday for 72k (Canadian $) plus tax but in my company name so I can flip and recover the tax directly if I choose to. I know 2 dealers who would gladly pay me 82k plus tax next day and they’ll sell it for 87k. Easiest 10k ever made.

However what would I drive? Entire market for cars and even used Teslas are over inflated.
You sell high you buy high. Or I order another MY LR for an April delivery and work with my SC to see if they can tag me one off inventory or a cancelled order Risky.

 

[LoudMusic]

I don't think you can get mad about this. It's simple supply and demand.

Curiously, I believe I could sell my 14 month old Model Y with over 30k miles on it for MORE than I paid for it. It's very tempting but then I'd be waiting in line for a new car like everyone else.

 

[Corndart]

Shrug. I could be "upside down" (technically not possible since I'm paying cash for all cars) but I've chosen cars that if I will lose a ton on depreciation I would be relatively happy keeping. For sure the market will change at some point but in the meantime, I'm driving different cars with minimal loss/gain.

Fair, "upside down" is a fairly specific phrase to describe owing more than a vehicle is worth. Steeper appreciation than expected would be your scenario but it sounds like you're good either way. Fingers crossed it works out in your favor!

 

[whisperingshad]

Did that to waiting on grant , Y was 48990 for like a week or 2, then rose to 49990 then grant money ran out...still waiting on my cvrp 4500 bucks lol

 

[TomServo]

It’s called Supply and Demand. I’m sure you can buy some other readily available EV. Good luck.

 

[Daniel L]

 

[whisperingshad]

View attachment 723311

LOL. That guy can not even spell correctly
Let the idiots pay over MSRP. Going to be funny when all these big dealer lose their asses

 

[N1L CO2]

I never understood paying over MSRP or dealer markup for a car. Aside from the super rare exotics and classic cars (that aren't produced anymore), most modern mass produced cars WILL and DO depreciate.

As soon as the market corrects itself, folks who paid premium to buy them are going to be underwater/upside-down by a lot (depreciation + markup). The dealers and banks who collected your money and interest on that money are laughing their asses off right now.

 

[voxel]

As soon as the market corrects itself

And that's the rub... that's a year away at least (Toyota and Ford are backlogged for 6+ months). If you need a car now and dealers are overpaying for your trade-in... you will be willing to overpay on the new car.

 

[Destiny1701]

LOL. That guy can not even spell correctly
Let the idiots pay over MSRP. Going to be funny when all these big dealer lose their asses

Not with the Gt3. It’s limited supply and will retain its value as its exclusive. People will see it as iconic and ultra exclusive. Other cars yes…but this one ? Nope. High end buyers won’t part with it and if they do, they’ll want $$$.

 

[N1L CO2]

Not with the Gt3. It’s limited supply and will retain its value as its exclusive. People will see it as iconic and ultra exclusive. Other cars yes…but this one ? Nope. High end buyers won’t part with it and if they do, they’ll want $$$.

GT3 RS are ultra rare, the GT3s? not so much but like you said, they only produce a few hundred to go around globally. The P-car purists/enthusiasts and collectors buy them to pay for their next GT3/RS as it appreciates past after a handful of years.

For now, this is the only one I can comfortably afford.

 

[N1L CO2]

And that's the rub... that's a year away at least (Toyota and Ford are backlogged for 6+ months). If you need a car now and dealers are overpaying for your trade-in... you will be willing to overpay on the new car.

You can find a bunch of cars where you can take over someone's lease for 8-10 months or even a year. It will a heck of a lot less than $10k.

 

[voxel]

You can find a bunch of cars where you can take over someone's lease for 8-10 months or even a year. It will a heck of a lot less than $10k.

All leases I've seen are just terrible and too long. Naive folk who entered into horrible leases and want an exit:

Tesla Model-Y Lease Deals | Swapalease.com

Tesla Model-Y Lease Deals on the world’s largest lease marketplace

www.swapalease.com

And these ID.4 lease are absurd. 50-80% more what I'd want to pay.

Volkswagen ID.4 Lease Deals | Swapalease.com

Volkswagen ID.4 Lease Deals on the world’s largest lease marketplace

www.swapalease.com

The only short term deal that I might consider is the Volvo XC40 subscription.. you pay $1000/month for the EV and can cancel any time after 5 months (month to month). I think it includes insurance and all maintenance/repairs (including tires, etc). Care by Volvo I The all-inclusive car subscription

 

[whisperingshad]

Not with the Gt3. It’s limited supply and will retain its value as its exclusive. People will see it as iconic and ultra exclusive. Other cars yes…but this one ? Nope. High end buyers won’t part with it and if they do, they’ll want $$$.

Let the rich waste their money lol

 

[Destiny1701]

Let the rich waste their money lol

That’s what I said to my buddy who bought a lambo huracan in 2020. He now sold it for 80k higher than he bought. Wouldn’t call that a waste lol. Investment. I imagine similar said for art

 

[whisperingshad]

That’s what I said to my buddy who bought a lambo huracan in 2020. He now sold it for 80k higher than he bought. Wouldn’t call that a waste lol. Investment. I imagine similar said for art

These times are not normal, old junk cars going for more than the sold for new nowadays lol