Your car is $85K with the options. With applicable rebates, based on the state you live in you might be able to buy this car for right around $75K with all the rebates factored in.
So if you lease the car, you are looking at $6696 {due at signing} + $395 {disposition fee} + (35 * $1,001) {35 because the first payment is included in the "down payment"}
Your grand total for leasing the car is: $42,126. At the end of the 3 years, you basically own nothing and you return the car to them and be possibly responsible for excess mileage. At this point if you buy the car, you would have paid $84,126.
So if you decide to buy the car, you are about loosing about $10,000 -- or essentially the value of the rebate. They've done something awful with lease residuals by the way with how they treat the rebate. They apply the rebate to lower your lease payments but if you decide to buy the car at the end of the lease period, they add the rebate back to the residual and thereby essentially taking it away from you.
IMHO the only time leasing makes sense financially is if you own a business and can deduct pretty much the entire lease payment as a business expense.
By the way, if you lease you also need to return the car back in pretty much pristine condition. Here are the lease stipulations:
"We have based the Monthly Payment on the assumption that you will not subject the Vehicle to excess wear and use. You agree not to expose the Vehicle to excess wear and use. If you do so and if you do not purchase the Vehicle at the scheduled end of the Lease Term, you agree to pay us the amount that it would cost to makeall repairs to the Vehicle that are not the result of normal wear whether or not we, in our sole discretion, actually make the repairs. Any excess wear and use assessedat scheduled termination of this Lease will be based upon an estimate of the repair cost unless we actually make the repairs.Excess wear and use includes, but is not limited to, the amount it would cost to repair: (1) inoperative mechanical parts, including power accessories; (2) dented,scratched, chipped or rusted areas on the body; (3) mismatched paint or any special identification mark; (4) cracked, scratched, pitted or chipped windows, brokenor discolored windows or inoperative window mechanisms; (5) broken headlight lenses or sealed beams; (6) scratches more than two inches long through the chromeon bumpers or bumper dents; (7) broken grills or dents in the grille; (8) single dents or a series of dents on other trim parts, including headlight and tail light bezels;(9) electronic malfunctions; (10) seats, seat belts, headlining, dashboards, door panels or carpeting which is torn or damaged beyond ordinary wear and tear or isburned; (11) major fluid leaks; (12) damaged exhaust systems; (13) damage from flood, water, hail or sand; (14) damage which makes the Vehicle either unsafe orunlawful to operate; (15) all damage which would be covered by the required comprehensive, collision and upset insurance whether or not such insurance actuallyis in force; and (16) the Vehicle to restore any original equipment or accessories which were removed or altered during the Lease Term.Excess wear and use also includes, but is not limited to, the amount it would cost to replace: (i) any tire not part of a matching set of five tires (or four with emergency“doughnut” spare if initially so equipped); (ii) any tires with less than 1/8 inch of tread remaining at the shallowest point; (iii) any tire with gouged, cut, torn or pluggedsidewalls; (iv) any missing or dented parts, accessories and adornments, including bumpers, jacks, ornamentation, aerials, hubcaps, chrome stripping, rear view"
New member here. I am looking to buy 70D. 75 K base price plus 10 K in options.
Tesla leasing is quoting me about 1000 monthly payment with 5000 down payment.
In 36 months, i will pay 41,000. (36000 + 5000)
Residual value is about 42,000. (50% of 75000 and 43% of 10000)
If i pay down 42K and buy the car, the net amount i will pay is 83K for a 85K car. Also i have the option of walking away after 3 years if a better model is there.
It looks good to think this way. What am i missing? I there something i am not seeing?
I know i am assuming that if i want to keep the car, i am paying down 42K. So if that is financed, the cost will be more. Also i may be liable for the taxes on the 42K when i buy.
Gurus, please let me know the flaws in this.
Thanks
