How will you pay for your new model 3?

[EcoHeliGuy]

Haven't financed a car yet out side of a couple months on the LOC, while the old one sells. Never felt the need to purchase a car I couldn't afford. So cash it is.

Leasing is consumerism at its finest and doesn't every really make financial prudence sense. 99% of the time.

Funny, in the UK that's are called cheques. Thats English for you

Canada too

 

[tga]

Does anyone have a list of Banks and Credit Unions that offer a discount on rates for purchasing an EV?

Digital Credit Union offers 1.74% on auto loans for up to 65 months. EV's get an additional 0.25% discount (click on the details tab for info on "energy efficient auto loans".

Assuming interest rates stay that low, I don't see how it makes sense to pay cash vs borrow. I'll keep my cash invested (not hard to beat 1.5%).

Ahhh - I HAVE heard of those things! I am just so used to (online) businesses not taking them, I hadn't considered that Tesla would accept them. However, since it's paid in a advance prior to production or shipment, I suppose their risk for NSF cheques would be low. Thanks for the reminder

Actually, they don't seem to be to worried about checks bouncing - several people have reported paying the balance due on their S's at delivery with a personal check.

Funny, in the UK that's are called cheques. Thats English for you

You guys over there like to mis-spell a bunch of words (color, etc)!
(just kidding, most of my ancestors are from the British Isles, including my grandmother who was a naturalized US citizen)

 

[Mark C]

I've plan to put down 15% or so on a low option 3 and finance the rest. Of course, if buying a higher option version would secure the full $7500 fed tax credit, I'll upgrade my purchase. Then, I'll take out some 401k funds to help on the down payment and at the same time drive up my Fed tax liability so I could claim the full credit.

I suppose, only good advice from a trusted tax adviser will tell what I buy and how I pay for it. If hard times hit between now and then, a used Leaf may be the consolation prize.

 

[SolarUnderwood]

I've plan to put down 15% or so on a low option 3 and finance the rest. Of course, if buying a higher option version would secure the full $7500 fed tax credit, I'll upgrade my purchase. Then, I'll take out some 401k funds to help on the down payment and at the same time drive up my Fed tax liability so I could claim the full credit.

I suppose, only good advice from a trusted tax adviser will tell what I buy and how I pay for it. If hard times hit between now and then, a used Leaf may be the consolation prize.

What does the tax liability have to be to claim the full credit?

 

[whataboutbob]

What does the tax liability have to be to claim the full credit?

if you don't owe IRS $7500, you don't get the whole $7500 credit.

 

[melindav]

if you don't owe IRS $7500, you don't get the whole $7500 credit.

A point I think a lot of people miss. I expect there will be much complaining from those that 'need' the credit the most to make the car affordable to them once 2017-2018 rolls around.

My plan is to have about ⅓+ in cash and finance the rest.

 

[JohnSnowNW]

Leasing is consumerism at its finest and doesn't every really make financial prudence sense. 99% of the time.

Except with regard to BEVs and PHEVs...if you plan to keep them for less than 5 years.

 

[JamesL]

500 shares of SCTY, as soon as it gets to $100. Soooo, about 2025?

10,000 shares of SUNE (costs less than 1/4 that of 500 shares of SCTY today) and could be worth more than 500 shares of SCTY by the time M3 releases. Of course, it could also be worth 0, but my bet today is that it will recover and pay for my M3. Otherwise, Finance.

 

[anticitizen13.7]

I have no idea. I plan on figuring this out once final pricing and options are set.

 

[Config]

With bottle caps and the rest with empty milk cartons;-)

 

[EcoHeliGuy]

Haven't financed a car yet out side of a couple months on the LOC, while the old one sells. Never felt the need to purchase a car I couldn't afford. So cash it is.

Leasing is consumerism at its finest and doesn't every really make financial prudence sense. 99% of the time.

Funny, in the UK that's are called cheques. Thats English for you

Canada too

Except with regard to BEVs and PHEVs...if you plan to keep them for less than 5 years.

I'm confused which way you are arguing here?

 

[Subhuman]

I'm currently setting aside dollar for dollar my monthly expenditure on gas which is around $300. I have a 160 mile daily commute. Can't wait to never have to stop at a gas station.

 

[HanSolo]

I'm currently setting aside dollar for dollar my monthly expenditure on gas which is around $300. I have a 160 mile daily commute. Can't wait to never have to stop at a gas station.

If the Model S has a range of 215 miles, that would be the range on a VERY good day with ideal conditions assuming that you live in a region with a climate favorable to EV's. The reality will be that most people will get far less than that depending on the accessories you are running such as climate, butt heaters, etc... as well as wind resistance from strong headwinds. Chances are that while not stopping at a gas station, you will likely need to stop and get at least a partial charge to complete the round trip. Now if your work offers onsite charging, that would decrease the range anxiety.

I myself will need to see what the options list are. AWD and a larger battery are a must for me as I spend a tremendous time on the road. I am only willing to pay about $45k at most. If that does not happen, I will probably buy something else along the lines of a Ford Edge Sport, Fusion Energi, or Colorado diesel.

 

[Subhuman]

If the Model S has a range of 215 miles, that would be the range on a VERY good day with ideal conditions assuming that you live in a region with a climate favorable to EV's. The reality will be that most people will get far less than that depending on the accessories you are running such as climate, butt heaters, etc... as well as wind resistance from strong headwinds. Chances are that while not stopping at a gas station, you will likely need to stop and get at least a partial charge to complete the round trip. Now if your work offers onsite charging, that would decrease the range anxiety.

I myself will need to see what the options list are. AWD and a larger battery are a must for me as I spend a tremendous time on the road. I am only willing to pay about $45k at most. If that does not happen, I will probably buy something else along the lines of a Ford Edge Sport, Fusion Energi, or Colorado diesel.

Believe me I understand this. This is why I resisted buying a model S because I had to buy the 85 or 90 at minimum but could not bring myself to spending that much money on car. I also live in a winter region. As I have told others, could buy a half loaded Model S or a fully load Model 3. I'm choosing the fully load Model 3!

 

[EVnut]

The purchase will be financed 100% by TSLA gains. For both cars.

 

[Subhuman]

The purchase will be financed 100% by TSLA gains. For both cars.

I'm only up to a base model with my TSLA gains right now so some will be coming out of my pocket. Who knows were it will be in two years might get lucky. Still not sure if I would want to sell then though.

 

[EVnut]

I'm only up to a base model with my TSLA gains right now so some will be coming out of my pocket. Who knows were it will be in two years might get lucky. Still not sure if I would want to sell then though.

OK, good point. IF I buy two units, then they'll have to be base model. And that's not gonna happen. So I only get one loaded one for free, or two base models for free. But that's right now. In two years... I might be able to also buy an S for fun.

 

[JohnSnowNW]

I'm confused which way you are arguing here?

That it makes more financial sense to lease a PHEV or BEV if you plan to keep it less than 5 years...

 

[LaCostaRacer]

10,000 shares of SUNE (costs less than 1/4 that of 500 shares of SCTY today) and could be worth more than 500 shares of SCTY by the time M3 releases. Of course, it could also be worth 0, but my bet today is that it will recover and pay for my M3. Otherwise, Finance.

I would advise against buying SUNE if you have any hopes of paying cash for a M3. I believe they are declaring bankruptcy soon. You would be better off buying VRX which I also wouldn't recommend because of its situation either. There are much better choices out there.

Reminds me of a phone call I had with a friend who manages one IRA I have in January. He was talking up SUNE when it was $3.00 and change having dropped from $30.00. The gist was SUNE was a value stock and will pop back when its problems are behind it.

I told him to absolutely not buy any shares in my IRA because it's a penny stock with lots of issues. He listened which was good considering it's trading at 0.37 today. I told him to buy GDX which has almost doubled in the same time frame. I tried to get him to buy NUGT previously and he couldn't do that because of rules his company has- so GDX was next best idea I had at the time. I did buy NUGT and that's why he doesn't have all my money- that sucker has gone up 200% since that conversation. This all makes me wonder why I have him managing an IRA? I guess it's for diversification.

 

[Frenchfryphil]

My wife suggested I look into prostitution as an alternate way to make fast money.
Given the good looks of the Model 3, I'm heavily considering this.
Otherwise a blend of cash and financing.