New Lease numbers seems very high

[bell2041]

Hello, My Tesla 75D is in route to me now and Tesla sent me a Lease Estimator.

MSRP is $97,750 + $4870 NY Tax, (Money Factor 5.04%) (12K miles)
with $7500 Due at signing, my monthly payment is set to $1,433

I looked at swaplease.com to see what people are paying and not sure why but my price is very hight.

For example
1. 2017 Tesla Model X lease in Brooklyn, NY
The MSRP of this car is $102K and the monthly payment is $1,284.06 per month

2. 2017 Tesla Model X lease in Jamaica, NY
The MSRP of this car is $114K and the monthly payment is $1,141 per month

I understand that this is might be an inventory or showroom car that was sold with discount, but I don't see any car 75D at the same price as I got.

Please share your thoughts

 

[Peteybabes]

you're right, way more than when i leased mine...even the starting lease used to be like $600-$700 for a Model S 75 for 24 months.

now at 36 months a 75D is over $1000 with not many options...

my 7-seat model x P90D $1183/month...these days seem long over. (MSRP $138K reduced to $111K as a Demo)

 

[bell2041]

but what changed?

 

[Krazaak]

Doesn't look like the money factor changed. Perhaps the residual dropped due to higher than expected depreciation.

 

[CUBldr97]

is it depreciation? they are saying the residual value at the end of the term is lower?

 

[bro1999]

That interest rate/MF is sky high. Leases I've seen with most cars have rates between 1-2%.

 

[outie]

Please keep in mind the ones you see on swaplease are very likely inventory cars in the first place so the comparison is moot.

 

[P85_DA]

That is high for 75D..

 

[jeffro01]

That's exceptionally high which either means your credit doesn't qualify you for a better MF or Tesla is having problems getting reasonable rates...

Jeff

 

[bell2041]

My Credit Score is 800+

 

[jeffro01]

My Credit Score is 800+

Then you're being absolutely raked over the coals with that MF... That's so egregiously high I'd flat walk away...

Jeff

 

[bell2041]

Yeah, but they will ask me why do I think it high?
I'm trying to understand logically based on numbers given why is that so hight

ps. they took my $2500 deposit already, so can't just walk away

 

[Krazaak]

That's the same MF Tesla's been offering since I bought mine last July when I got 0.99% to purchase. It's a horrible money factor and it only makes sense when you've got a showroom adjustment that gets tacked onto the residual, making the depreciation seem much lower.

5.04% MF translates to a 12.1% APR and it doesn't get any better with higher credit.

 

[Zaphod]

Hello, My Tesla 75D is in route to me now and Tesla sent me a Lease Estimator.

MSRP is $97,750 + $4870 NY Tax, (Money Factor 5.04%) (12K miles)
with $7500 Due at signing, my monthly payment is set to $1,433

I looked at swaplease.com to see what people are paying and not sure why but my price is very hight.

For example
1. 2017 Tesla Model X lease in Brooklyn, NY
The MSRP of this car is $102K and the monthly payment is $1,284.06 per month

2. 2017 Tesla Model X lease in Jamaica, NY
The MSRP of this car is $114K and the monthly payment is $1,141 per month

I understand that this is might be an inventory or showroom car that was sold with discount, but I don't see any car 75D at the same price as I got.

Please share your thoughts

This is main reason why --> Money Factor 5.04%. Technically the money factor is 0.0021 and 5.04% is the equivalent APR. So basically you are paying "loan" based on 5% interest rate. Tesla leases have always been horrible, especially how they handle the tax credit by incorporating into the residual value and not into cap reduction. Only reason it made sense to lease is if someone can utilize it as business/tax write-off. You are probably better off looking into loan instead as you can surely get better rate and (assuming) you can utilize the full tax credit yourself.

 

[outie]

That's exceptionally high which either means your credit doesn't qualify you for a better MF or Tesla is having problems getting reasonable rates...

Jeff

That’s probably the standard lease rate they offer. Tesla leases have always been high when you compared to German makers that subsidize their leases with both MF and inflated residual. However leases are much more favorable when it’s an inventory car because all the adjustments come as capital reduction and residual is still based on original MSRP.

 

[Krazaak]

This is main reason why --> Money Factor 5.04%. Technically the money factor is 0.0021 and 5.04% is the equivalent APR. So basically you are paying "loan" based on 5% interest rate. Tesla leases have always been horrible, especially how they handle the tax credit by incorporating into the residual value and not into cap reduction. Only reason it made sense to lease is if someone can utilize it as business/tax write-off. You are probably better off looking into loan instead as you can surely get better rate and (assuming) you can utilize the full tax credit yourself.

If they're actually reporting the APR in place of the money factor, that's still bad, but not as bad as if the money factor is really .00504.

 

[mattack4000]

5.04 is the interest rate, not money factor

 

[Stasla]

Have you considered financing? You can still get a decent rate and if you have a trade, NY state will only apply sales tax to the difference between trade and new car... You still get the $7500 tax credit and a $500 NYSREDA rebate. Sell or trade it in 3 years if you don't plan to keep longer.

 

[bell2041]

Have you considered financing? You can still get a decent rate and if you have a trade, NY state will only apply sales tax to the difference between trade and new car... You still get the $7500 tax credit and a $500 NYSREDA rebate. Sell or trade it in 3 years if you don't plan to keep longer.

They want $10K less then my current payoff for my current car and I paid sales tax on 25K on my current car, so I will still need to pay taxes on 75K for Tesla. Doesn't make sense

 

[Krazaak]

5.04 is the interest rate, not money factor

Ah, yes, Thanks. I went back and re-read the original leasing email they sent me.

Money Factor (0.0021) Convert to Rate* 5.04%