Model Y lease vs buy evaluation

[leaftoy]

If the new tax credit passes as written by the house, there is another reason why someone would want to consider leasing instead of purchase. Assuming Tesla passes along the tax credit to the lessee this is one way to get a credit that they might be otherwise ineligible for (make too much or have already used the credit and need to get a second EV in same calendar year).

 

[Liebo11]

If the new tax credit passes as written by the house, there is another reason why someone would want to consider leasing instead of purchase. Assuming Tesla passes along the tax credit to the lessee this is one way to get a credit that they might be otherwise ineligible for (make too much or have already used the credit and need to get a second EV in same calendar year).

Hmmm or the opposite argument, that they would get the full tax credit if they bought. Will that tax credit be retroactive? I'm in a major mental battle right now on if I should lease or buy, very tough choice.

I have an LLC
Prob don't drive more than 12k per year
Wouldn't have to worry nearly as much about the car if I did lease it

Very tough choice here. I just am not sure if this thing will hold it's CURRENT value in 3 years. But maybe this is the new "norm" in regards to pricing.

 

[Tooleman694]

I would never lease it if I did not have the option to keep it at the end. Unless the cost of the lease was incredibly cheap.

 

[Liebo11]

I would never lease it if I did not have the option to keep it at the end. Unless the cost of the lease was incredibly cheap.

And you are of the opinion that the value of the Model Y at this new MSRP will retain value in 3-4-5 years?

 

[leaftoy]

Hmmm or the opposite argument, that they would get the full tax credit if they bought.[...]

According to the current wording of the pending legislation, there is an AGI limit of $250k solo, $500k MFJ, and possibly this could be brought down further in the Senate. Also only one tax credit per tax payer per year. What I am saying is if you are excluded from the credit due to your personal circumstances, leasing might be a way around it (assuming Tesla cooperates and passed along their credit to the lessee).

 

[pcmike]

And you are of the opinion that the value of the Model Y at this new MSRP will retain value in 3-4-5 years?

It will not stay at this high price. It will 100% drop back down in your stated time frame. If you don’t need to worry about mileage on the lease and you also don’t care about not being able to buy it out, 100% lease it and forget about it. Especially if you’re able to write the lease off against your taxes.

 

[voxel]

I would never lease it if I did not have the option to keep it at the end. Unless the cost of the lease was incredibly cheap.

I personally would not lease BUT if you can write off the lease as a business expense then go ahead and lease.

 

[Tedkidd]

To me, part of the benefit of leasing is avoiding downside risk while maintaining most options of ownership including upside potential.
Tesla's leasing program removes a bunch of these, and that loss is pretty apparent given the way the car market changed this year.

I like not being exposed to excess depreciation, but I may also want to keep the car. And if the value of the car way exceeds the buyout, even if I don't want to keep it I'll get paid to hand off the option to buy.

Add wild cars of FSD, Tesla Taxi, desire to buy out early, etc.... and losing that purchase option really starts to look like a bad deal.

If there was a buyout option, leasing would be killer because I could switch cars as frequently as I want and I'd avoid the sales tax on all but the part of the car I use, and without that big hit.

Now that we are in December and the price has went up probably over 10k, does it still make sense to buy over lease? Questioning this from the perspective of "will the Model Y stay at 62k (that I am getting mine for, ordered last week)" and hold it's value to resell in 2-3 years? Or will it "normalize" and dip back down to 47-53k and then the 62k car I bought 3 years ago is way overvalued and a bad deal at the time? Part of me feels like this will be the new normal price BUT with production ramping up so much especially with Texas coming, I'm not so sure. Thoughts?

Lol. Right?

I would never lease it if I did not have the option to keep it at the end. Unless the cost of the lease was incredibly cheap.

I leased a Smart ED and a Bolt for $150 per month. Both of those cars depreciated so fast market value was $10k less than buyout.