I thought about it a lot, but in the end I decided to go for the Tesla loan to finance the purchase outright. Although it could of course change in the future I've looked at residuals on the 3 and S which are both strong. This means if I need to dispose of the car because of a change in circumstances, I shouldn't be taking too big a hit and of course I own the car at the end of the agreement should I keep it for the term. The interest rate is decent for such a large loan and I don't have to worry about excess mileage charges.
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I thought about it a lot, but in the end I decided to go for the Tesla loan to finance the purchase outright. Although it could of course change in the future I've looked at residuals on the 3 and S which are both strong. This means if I need to dispose of the car because of a change in circumstances, I shouldn't be taking too big a hit and of course I own the car at the end of the agreement should I keep it for the term. The interest rate is decent for such a large loan and I don't have to worry about excess mileage charges.
Thx for the info I had been looking at loans too. Good point about future changes and being able to sell.
I've leased a few cars before, both privately and through a business, LLP and a LTD co car.
I've also got one on PCP.
Personally would never buy a car, like to rent my depreciating assets and own the appreciating ones.
This was something we struggled with a lot tbh. I kept yo-yoing between wanting to buy and wanting to lease.
What swung it to leasing for us was the following:
* First EV, so while unlikely we won't like it, it's a possibility
* We quite like the look of the Model Y but don't know what the price in the UK will be and when it will be available, so while a Model 3 is fine for now, we may want to get a Model Y in 3 years
* Tesla's build qualities are still a bit dubious, with a lease, it's not our problem if it has issues as we won't need to deal with them after 3 years
* Tesla's are constantly being improved, and there's a bit of a FOMO, in 3 years batteries may be better etc.
* Cost - while it does sting that we'll spend a pretty penny over 3 years and not own the car, the monthly cost is still cheaper.
Obviously the arguments for PCP/Loan are:
* You'll own something at the end of it
* You'll be able to sell it and put that money towards a new car
* With Loan there are no mileage limits
So really it's a personal decision. I've never leased before, so don't know how we'll like it long term, we may decide to buy a Tesla in 3 years, or get another lease - depends how we find it.
That being said, if you do want to lease, Gateway2Lease have been good to me, cheapest, and their staff seem to be friendly and helpful, often getting replies within minutes.
Anybody coming towards the end of their lease with a purchase option? If so, just wondering what depreciation/residual values might look like? (I'm leasing an M3P, and next year will have the option to buy). But just wondering whether the quote will be crazy high, plus is it a good idea to purchase a Model 3 from the leaseco given it will be 3 years old, with only 1 year left on the Basic Vehicle Limited Warranty, appreciating that battery and drive systems have 8 years.
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The way to look at it, is no matter how you get the car (lease/pcp/loan), you'll have to suffer depreciation.
I like leasing as you pay the depreciation as a monthly cost, with no risk.
Even better if you can route it through a company and save half of it again as an expense!
Residuals are an interesting one.
I've just finalised a 3 year lease. Leaseco seem to be factoring in a 57% residual value as their scenario. But prices in the real world seem to be holding up a little better than that. But of course, a lease co generally just fires the cars into an auction so they achieve less value in that respect. You also don't know what they purchased it at (any discounts etc).
Looking at the 3LR values on Autotrader and some of them seem really high. Like £1k less than list for a 12 month old car with 10k miles. Strange.
My own experience of leaseco's and offering you an option to buy is that they price it a bit high. Was considering it with a previous car - thought the offer was a bit high so declined - watched the car then go to auction and achieve £4k less. So you can always do it that way, buy it at the auction!
I think if you want to buy the car, then purchasing it from the leaseco/auction isn't a bad idea - you know the history which is always the biggest risk when buying a car used.
Hi. I'm awaiting an M3LR on private PCH, directly with Tesla Financing in fact as I wanted to less overall during the 3 year term and couldn't give a bigger deposit with third party leasers. On a related note, I'm struggling a bit with insurance quotes. Sorry if it's OT but anyone have advice on whether to go for GAP insurance, and with normal insurance will I be the registered keeper, assuming that the lease company remains the owner?
PCH is Personal Contract Hire. Generally if on hire, the reg keeper will be the lease company.
If you don't have GAP insurance then in the event of a write off, you will be liable for to make good the replacement value to lease co.
Quite a gap say, in the first year or so when depreciation is high.
I take GAP when I lease. But insurance is a personal thing dependent on how much risk you want to take.
If you don't have GAP insurance then in the event of a write off, you will be liable for to make good the replacement value to lease co.
Quite a gap say, in the first year or so when depreciation is high.
I take GAP when I lease. But insurance is a personal thing dependent on how much risk you want to take.
Yep, you will find people have them in their profiles. Plenty of very helpful members to choose from.
Hi,
Yes I'd tell gateway2lease just before you order - because Tesla are a bit funny about adding it on after you've ordered. In my case gateway2lease did get the referral on after I've ordered, but that doesn't seem to be common
HenryT
Active Member
I think you will need to be a bit less subtle next time browellm.
Moderator comment - thread merged from "M3 LR Business Lease"
Hi All,
Could anyone advise if its better to BCH direct with Tesla or through a leasing company like Gateway2Lease.
After 1st enquires the costs via Tesla seem to be a fraction cheaper, I have read that people have had issues with the Premium connectivity via leasing companies.
Looking to place my order in the next week or 2 so any advice will be greatly appreciated.
Hi All,
Could anyone advise if its better to BCH direct with Tesla or through a leasing company like Gateway2Lease.
After 1st enquires the costs via Tesla seem to be a fraction cheaper, I have read that people have had issues with the Premium connectivity via leasing companies.
Looking to place my order in the next week or 2 so any advice will be greatly appreciated.
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There's lots of discussion about the various lease providers here:
Model 3 Leasing
I don't suggest reading the thread from the start as it goes back a year or two so the link takes you to the discussions from the start of the year.
Moderator comment - "M3 LR Business Lease" merged into above thread
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