TMC is an independent, primarily volunteer organization that relies on ad revenue to cover its operating costs. Please consider whitelisting TMC on your ad blocker and becoming a Supporting Member. For more info: Support TMC

Leasing (in Ontario)

Discussion in 'Canada' started by Birdman325, Aug 28, 2017.

  1. Birdman325

    Birdman325 Member

    Joined:
    Aug 15, 2017
    Messages:
    24
    Location:
    Toronto, Canada
    #1 Birdman325, Aug 28, 2017
    Last edited: Aug 28, 2017
    Wondering if anyone has done any recent leasing deals of an MX. Leaving aside any tax - write off decisions between buying and leasing, I have been thinking that the MX might be the right type of vehicle for a lease rather than outright purchase, but after putting in some different variables on the Tesla Canada web site, the lease payments for a 48 month lease with even a relatively low 16,000 KM look to be extremely high, and I have not been able to get sufficient information on lease rates and residuals.
    Does anyone have any real world examples they might like to share?
     
  2. Birdman325

    Birdman325 Member

    Joined:
    Aug 15, 2017
    Messages:
    24
    Location:
    Toronto, Canada
    Apologies for the *bump* which is probably bad form, but 78 views and no replies? I can either interpret that to mean no one who reads these Canadian forums is leasing (which is possible) or that people who are leasing don't want to share ( which is fair).
    Thx.
     
  3. SmartElectric

    SmartElectric Active Member

    Joined:
    Jul 9, 2014
    Messages:
    1,373
    Location:
    Toronto,Canada
    I didn't lease. My HELOC (home equity line of credit) interest rate was far lower than the lease. Newer rates negotiated by Tesla are extremely attractive. Glad I didn't lease, as it provides flexibility on when I can sell, which I knew I would need as my next car will be a Model 3, and I'll want to wait for all of the options and features to be available before I commit to trading "up" (Tesla would never tell you an S for 3 trade is "up", but our S is a older "classic" 2013 beauty, and it will surely go to a good home).
     
  4. Birdman325

    Birdman325 Member

    Joined:
    Aug 15, 2017
    Messages:
    24
    Location:
    Toronto, Canada
    Thx. Current finance rates for less than 96 months are 1.49%. True, owning gives you the flexibility of selling when you want whereas leasing generally "locks" you into the term although sometimes when you are near the end you can roll one lease into another.
    Interesting about the attractive Tesla new lease rates. I have been having difficulty getting actual rate info but the numbers on the web site calculator generate (what look to be) extremely high payments.
     
  5. Whisky

    Whisky Member

    Joined:
    May 12, 2017
    Messages:
    30
    Location:
    Toronto, ON
    When I was doing the math, leasing didn’t work out. The three year lease is a wonderful luxury if you can afford it, because you get a new car every three years. You’re definitely paying a premium. I’ve never liked the 4 year lease in any car category, it’s not significantly less than a 3 year lease because of the slowdown of depreciation, and I’d rather have a new car every 3 years. However, with the cost of the Tesla, loans are fairly attractive. With the way Tesla’s upgrade cycle works (at random seemingly), it puts you more in control of when you get a new car.

    And yes, that’s all assuming the lease isn’t tax deductible. If it is, game changer (but still expensive)
     

Share This Page