Folks you haven't lost anything unless you sell the vehicle. Many dealers are going well below wholesale to protect themselves. There is an over supply right now. Seems to me you can save more buying used vs buying new and taking a tax credit which we still don't have confirmation on. It's possible Tesla will only get half the $7,500. IRS needs to release guidance on which vehicles qualify and for how much.
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How far will current selling prices fall after Jan. 1 ?
- Thread starter Mr. Wonderful
- Start date
Trade in values dropping is a leading indicator to prices falling. Dealerships/sellers know they won't be able to demand as high of a price in the future and thus are offering less now.
The value of my S went from $33k to $18k in six months time!
There really isn't much of a waitlist anymore. A MYLR has a delivery time of Dec-March, and a MYP has a delivery range of Nov-Dec. And that's not including the 15 they have on the lot.
My personal belief is that they will introduce a "new" lower cost model, aka, standard range, eliminate the LR, and make the Performance have a few more options for the same-ish price. Calling it now!
They will Never get rid of the most popular LR. Calling it.There really isn't much of a waitlist anymore. A MYLR has a delivery time of Dec-March, and a MYP has a delivery range of Nov-Dec. And that's not including the 15 they have on the lot.
My personal belief is that they will introduce a "new" lower cost model, aka, standard range, eliminate the LR, and make the Performance have a few more options for the same-ish price. Calling it now!
As I understand it, a used EV has to be 2 years or older and $25k or less to qualify for any rebate.
And it has to be purchased from a dealer.
ucmndd
Well-Known Member
Income limit and $25k purchase price limit makes the used EV credit nearly completely inconsequential to new car purchases. Very very little cross shopping happening between a new Tesla and a sub $25k used EV.
halfhumble
Member
The $7,500 rebate does not really "exist" in 2023. There is a BIG misconception about it and the news reporting on it.
It's split into two.
$3,750 is based on % of battery components being made in North America. NO car including tesla meets this requirement, nor will in the next year.
The 2nd half, $3,750 is based on the car components being made in America, Tesla does meet that. So the most you could get is $3,750. If you meet income limits and car price cap limits.
BUT, its only if you owe taxes at the end of the year. Meaning if you owe $5K in taxes for 2023, the IRS would deduct $3,750. If you owe no taxes, then you get NO credit! Nothing. Most people with company jobs do not owe taxes, they actually get a refund. So you would get nothing back.
Starting in 2024, is when the $7,500 credit converts to an instant point of sale discount when you buy a car. But again, that will depend on battery components, so you will only get $3,750 off at point of sale most likely. The reason that does not start until 2024 is because the IRS/treasury has to setup a system/website for dealerships to opt into and get the immediate discounts/credit. Its in the works still.
It's split into two.
$3,750 is based on % of battery components being made in North America. NO car including tesla meets this requirement, nor will in the next year.
The 2nd half, $3,750 is based on the car components being made in America, Tesla does meet that. So the most you could get is $3,750. If you meet income limits and car price cap limits.
BUT, its only if you owe taxes at the end of the year. Meaning if you owe $5K in taxes for 2023, the IRS would deduct $3,750. If you owe no taxes, then you get NO credit! Nothing. Most people with company jobs do not owe taxes, they actually get a refund. So you would get nothing back.
Starting in 2024, is when the $7,500 credit converts to an instant point of sale discount when you buy a car. But again, that will depend on battery components, so you will only get $3,750 off at point of sale most likely. The reason that does not start until 2024 is because the IRS/treasury has to setup a system/website for dealerships to opt into and get the immediate discounts/credit. Its in the works still.
Yeah I suspect the Hundreds of “how can I delay my delivery“ posts will convert in January to “why did I not get my 7500?” Lol
cdub
OG 2011 Leaf / 2023 Model Y LR
The way I read it I believe he is correct. Note I am Not a legal attorney so not certain though. Many of his points are correct though.
That is not how tax credits work. You would need a tax liability over $7500 (or $3750) in order to get the credit. That is not the same as saying you need to owe that amount on April 15. How much you paid already in the form of paycheck withholding is irrelevant.
halfhumble
Member
Yes, I was not refering to paycheck withholding, I think what you said is what I was trying to convey also. That you would have to have a tax laibility....Im not a tax pro! Everyone please do their own research. I was just trying to convey that the new rebate has a lot more requirements and fine print then most people think.
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The prices are still unfortunately rediculous. A low mileage 2020 Hyundai Kona EV is listing for $38K on the used market right now.
I think they would in an attempt to push the LR buyers to the more expensive Performance model. Similar to what they did with the model 3.
rotarypower101
Member
How will the new early 23' pricing changes combined with IRA incentives effect used pricing?
What kind of an offset from current used pricing might we see for the used market for various trim levels if any?
What kind of an offset from current used pricing might we see for the used market for various trim levels if any?
ucmndd
Well-Known Member
bradtem
Robocar consultant
Aside from pissing off those who just took delivery -- anybody who ordered but has not taken delivery will no doubt cancel or demand the new price -- this is also a hit for all current Tesla owners, who will now see a big drop in the used price of your car when you are ready to sell it.
A few months ago, used cars were hard to find and you could sell your 3-year-old Tesla for more than you paid for it. Now, with a new one at this price, and a ready supply, the drop in value of my used Tesla is pretty painful. Of course, had I sold it back then, I would have to have replaced it with other than a Tesla since those had a 5 month wait for delivery.
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