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DrivingTheFuture
Member
TaoJones
Beyond Driven
Hehe - I too was 7th in line, but in SoCal. As a current Model S owner, I have no interest in an early Model 3, with the caveat that we still have not been informed of what the 115,000 line-waiters are supposed to get.
Can't imagine that whatever the line-waiters benefit will be will be that compelling, so if anyone wants one of the very first Model 3s and is actually crazy enough to pay a premium for one at the factory (factory/Fremont delivery center pickup only), feel free to pm me. I figure there are only about 2,000 CA owners ahead of me (plus employees) *at most*.
PS - if Elon decides to include supercharging with those first 115,000 cars (for the original owner only, as seems to be the new normal), that could make used Model 3s that much cheaper with a quickness. Not quite Fiat 500e lease return cheap, but still. In that case, I could easily be persuaded to buy a new Model 3 since I tend to drive a lot - after all, it can't be *that* much different than an S.
We'll just have to wait a couple more weeks and find out. Should be fun.
Can't imagine that whatever the line-waiters benefit will be will be that compelling, so if anyone wants one of the very first Model 3s and is actually crazy enough to pay a premium for one at the factory (factory/Fremont delivery center pickup only), feel free to pm me. I figure there are only about 2,000 CA owners ahead of me (plus employees) *at most*.
PS - if Elon decides to include supercharging with those first 115,000 cars (for the original owner only, as seems to be the new normal), that could make used Model 3s that much cheaper with a quickness. Not quite Fiat 500e lease return cheap, but still. In that case, I could easily be persuaded to buy a new Model 3 since I tend to drive a lot - after all, it can't be *that* much different than an S.
We'll just have to wait a couple more weeks and find out. Should be fun.
rxlawdude
Active Member
Tao, we're in a similar bucket (SoCal, first day - albeit online, current owner), and I share your concerns about early production M3s. The good news is that they should have knocked out at least 3,000 for employees and VIPs before the first of us unwashed get our hands on one.
My wife is more concerned about not having an ICE between us, but is willing to give the M3 a go. We figure that if she hates it (I know she won't, but don't tell her!), we will be able to sell it and break even or perhaps even profit by keeping the $7,500 tax credit.
The law regarding the tax credit is if you INTEND TO RE-SELL the vehicle and are the original purchaser, you forfeit the credit. Intent is hard to prove, but the folks here talking about these schemes to "sell" reservations are taking a really big risk if they attempt to file for the tax credit. And of course, the recipient, as the second owner, will not qualify for the credit in the first place.
My wife is more concerned about not having an ICE between us, but is willing to give the M3 a go. We figure that if she hates it (I know she won't, but don't tell her!), we will be able to sell it and break even or perhaps even profit by keeping the $7,500 tax credit.
The law regarding the tax credit is if you INTEND TO RE-SELL the vehicle and are the original purchaser, you forfeit the credit. Intent is hard to prove, but the folks here talking about these schemes to "sell" reservations are taking a really big risk if they attempt to file for the tax credit. And of course, the recipient, as the second owner, will not qualify for the credit in the first place.
TaoJones
Beyond Driven
rx - good luck and very well put.
The nice thing about the 3 is that if one does decide to buy it and try it (since the option of a test drive beforehand won't be a certainty for everyone), the tax credit does offset much of the risk associated with selling it immediately if it just doesn't work out (as you've noted above). Even in CA w the associated sales tax and other fees. The bar for acceptance will be higher for existing owners, but then again only 7% of Day zone reservations were from existing owners anyway. I don't foresee a lot of flipping in any case - with perhaps more instances once cars are shipped to less tax-disadvantaged locations.
If I do buy the car, I'll know pretty quick whether I'd keep it or not. And would have zero qualms about filing for the tax credit in that case - especially since it will have replaced my current S. Of course, a simple test drive would also answer most of that question, but for we early folk, that may just not be feasible.
On the other hand, if someone makes it worth my while to meet me at Fremont to buy what would be a used car with exceedingly low mileage, well, okay. It would be inappropriate to file for the tax credit (nor would my CPA let me - heh), and again as you've noted, the buyer gets bupkis in that regard.
There's a ton of potential with the 3 and even more with the Y. The silver lining being that whatever I buy 5 years hence will be phenomenal. It's just a matter of getting from now until then without continuing to eat massive amounts of depreciation and add-on costs (including ESAs, annual service, state registration - all per car, which has and will continue to add up, as the aforementioned CPA is fond of reminding me.)
The nice thing about the 3 is that if one does decide to buy it and try it (since the option of a test drive beforehand won't be a certainty for everyone), the tax credit does offset much of the risk associated with selling it immediately if it just doesn't work out (as you've noted above). Even in CA w the associated sales tax and other fees. The bar for acceptance will be higher for existing owners, but then again only 7% of Day zone reservations were from existing owners anyway. I don't foresee a lot of flipping in any case - with perhaps more instances once cars are shipped to less tax-disadvantaged locations.
If I do buy the car, I'll know pretty quick whether I'd keep it or not. And would have zero qualms about filing for the tax credit in that case - especially since it will have replaced my current S. Of course, a simple test drive would also answer most of that question, but for we early folk, that may just not be feasible.
On the other hand, if someone makes it worth my while to meet me at Fremont to buy what would be a used car with exceedingly low mileage, well, okay. It would be inappropriate to file for the tax credit (nor would my CPA let me - heh), and again as you've noted, the buyer gets bupkis in that regard.
There's a ton of potential with the 3 and even more with the Y. The silver lining being that whatever I buy 5 years hence will be phenomenal. It's just a matter of getting from now until then without continuing to eat massive amounts of depreciation and add-on costs (including ESAs, annual service, state registration - all per car, which has and will continue to add up, as the aforementioned CPA is fond of reminding me.)
guipingfang
Member
I'm an early reservation holder in So Cal (near the front of the line on March 31st) but it looks like my spouse's job will take us out of the country for a few years starting summer of 2018 - we knew nothing about this when we made the reservation. Our dilemma is whether to cancel or take delivery of the car and enjoy it for 6 months before selling. I have no idea what the market for a slightly used model 3 would be and whether it would make financial sense to go that route? Wish we could take the car with us but that's not feasible.
JeffK
Well-Known Member
Shipping a car overseas is not that expensive.... It's less than the loss you'd take by selling it.
By summer 2018, many reservation holders will have cars already. You may even get a small used market increase as people sell RWD for AWD models or both for performance models. It might be small, but it'll be more than nothing. I'd also imagine you'll see an additional drop in used Model S prices. It may not make financial sense to sell it as late as Summer 2018.
My thoughts are:
- Buy it and ship it wherever you're going.
- Postpone your reservation and take delivery at your destination when Tesla starts shipping globally anyway. This might result in a slightly better built vehicle.
- Get a refund for now and purchase one when you get back. You'll have a choice of a more advanced Model 3 by that time and even a Model Y.
SageBrush
REJECT Fascism
I wonder if the IRS is cunning enough to plant threads at TMC to trap speculators.
Thanks, JeffK,
It's a heartbreaker since we really hoped to be driving our Model 3 later this year and have been looking forward to it for 16 months. Since our move is not 100% certain, we'll hold on awhile longer and see what happens.
I have a feeling you are right and that owning the car for 6 months wouldn't be a good financial decision. Shipping to Asia and then back again isn't in our plans.
It's a heartbreaker since we really hoped to be driving our Model 3 later this year and have been looking forward to it for 16 months. Since our move is not 100% certain, we'll hold on awhile longer and see what happens.
I have a feeling you are right and that owning the car for 6 months wouldn't be a good financial decision. Shipping to Asia and then back again isn't in our plans.
dhcp
Member
As a MS owner, I have no desire to be first in line for a brand new model. I'll keep driving my S and let a few years go by with refinements and corrections while everyone beta-tests it. Then I'll be able to get a P or D model that is pretty sorted out.
It sounds like lots of people were getting second reservations in the interest of flopping one. Maybe in the first few weeks you could sell one for a big premium but this is a basic car, not an exotic. Thr reservations may collapse and get people further ahead in line of all these second reservations start getting backed out.
It sounds like lots of people were getting second reservations in the interest of flopping one. Maybe in the first few weeks you could sell one for a big premium but this is a basic car, not an exotic. Thr reservations may collapse and get people further ahead in line of all these second reservations start getting backed out.
rxlawdude
Active Member
dhcp
Member
BluestarE3
Active Member
Darn you autocorrect! Flip! Flip! Flipping, I meant!
BluestarE3
Active Member
Some of us old folks may not want to wait even longer for our Model 3s, even if we could make some money by selling our waited-in-line-to-reserve cars. We want to enjoy it while we still can!
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