Model S Lease Residual

[CapeOne]

So that begs the question: How long before we see the Plaid’s price slashed below $100,000? Is past precedent a good predictor of the Plaid’s future?

There could be a Performance model added back to the lineup at some point with similar specs to the 2021 model. They may want to do something like that first before potentially cutting prices on Plaid. It all really depends on sales, market reaction, competition, etc.

 

[coupedncal]

Could someone actually share their Model S lease residual value? It seems no one on this thread has shared the actual contracted residual value of their lease. Better yet, if someone could share all three values then that will solve this mystery.

Lease Capitalized Cost
Money Factor / Interest Rate
Residual Value

 

[domodan]

Is the issue residual value or other terms (like interest rate)? It used to be that the $7,500 tax credit was added to the residual value, but Tesla no longer qualifies, so that leaves either interest rate or residual value. I suspect the latter is the problem. They know of any refreshes coming, how quickly the battery ages and any possible crippling of the batteries that might be required. Do you really think your car will be worth more than Tesla thinks it will be worth in 3 years? In 3 years, the residual they give you now is the high end of the trade-in value they will give you, sans inflation of course.

More than likely it’s just that Tesla doesn’t want it back because they don’t want to sell used cars. If they do get it back, they want it cheap so they can make good margin. It’s not that they know it will be crappy.

 

[CapeOne]

More than likely it’s just that Tesla doesn’t want it back because they don’t want to sell used cars.

If that were the case, Tesla shouldn't have added the federal tax credits (when they still qualified) to the residual values. This results in artificially high LEVs, thereby discouraging people from buying the cars at lease end. Also, Tesla doesn't even give the option for lessees to buy M3s or MYs at lease end. If anything, Tesla's lease terms have done more to ensure they do get the cars back than don't get the cars back.

 

[domodan]

If that were the case, Tesla shouldn't have added the federal tax credits (when they still qualified) to the residual values. This results in artificially high LEVs, thereby discouraging people from buying the cars at lease end. Also, Tesla doesn't even give the option for lessees to buy M3s or MYs at lease end. If anything, Tesla's lease terms have done more to ensure they do get the cars back than don't get the cars back.

It seems they want 3’s and Y’s, but not S or X.

 

[CapeOne]

It seems they want 3’s and Y’s, but not S or X.

Then they shouldn't have added the tax credits to MS and MX residuals. It will be interesting to see if they do the same if/when Teslas qualify for federal tax credits again.

 

[Jbapckfan]

If you are like me and lease but end up writing off 95%+ of the cost of the lease as a work expense it complicates the comparison. So this would essentially save close to 35-40% of the monthly payment as a deduction. Looking at leasing a new MS LR the lease cost is HIGH.

 

[Jbapckfan]

The cost of the MS lease seems so high I would be better off getting a freaking MX LR or plaid and using section 179 deduction … even though driving the MS would be more fun.