TMC is an independent, primarily volunteer organization that relies on ad revenue to cover its operating costs. Please consider whitelisting TMC on your ad blocker or making a Paypal contribution here: paypal.me/SupportTMC

Purchasing out of state

Discussion in 'Model S: Ordering, Production, Delivery' started by chiv, Oct 31, 2014.

  1. chiv

    chiv New Member

    Joined:
    Oct 31, 2014
    Messages:
    2
    Location:
    Spencer
    Does anyone know if you purchase a Tesla in-person out of state at a service center if you can get financing that that state offers?
    Reason I ask, the preferred financing options with the resale guarantee are not available in my home state. The resale part is my last major obstacle for buying an S and I'm not interested in leasing.
     
  2. iadbound

    iadbound Member

    Joined:
    Apr 24, 2014
    Messages:
    637
    Location:
    No. VA
    I'm pretty sure this has been answered before. In any event, I believe the answer to your question is no. The service center is just the state where the vehicle is picked-up. It is the not the state where the vehicle will initially be registered nor the state you reside in, and the financing would necessarily include your home address information, not that of the service center. Tesla's website states that lending is only available in the listed states and that if you live outside of those states you should contact Tesla.

    Others will likely have plenty to say about the value of the resale guarantee.

    Oh -- Welcome aboard.
     
  3. breser

    breser AutoPilot Nostradamus

    Joined:
    Aug 28, 2014
    Messages:
    2,310
    Location:
    North Bend, WA
    I think there's a certain amount of resale protection you get just because other people have this. Think of it like "herd immunity" in immunization. If a significant group of people have the resale guarantee they won't sell their vehicle for any less than Tesla would give them. That helps hold up prices for everyone since there will be far fewer cars available for less than that. Given what I've seen of the used Tesla market so far I think the vehicles will hold their value well. If your concerned about resale market you might want to wait until after December/February and see how the used market looks after the AWD vehicles start hitting the streets. That's probably the first major chance for the vehicle to lose significant value. If that doesn't happen, then I wouldn't be too worried in the long term.
     
  4. randompersonx

    randompersonx Member

    Joined:
    Oct 10, 2014
    Messages:
    493
    Location:
    Miami, FL
    Honestly, I doubt there will be much 'herd immunity'. You only get that resale guarantee if you meet very very specific conditions. Under 15K miles per year, must have done the service every 12k miles or 1 year, and only in months 36-39. Must have at least $1 balance remaining at time of claim. Must finance at least 70% initially (interest expenses).

    The value they are guaranteeing is honestly not that great anyway, at only
    50% of the original base purchase price of the 60 kWh Model S plus 43% of the original purchase price for all of the options, including the upgrade to the 85 kWh battery pack.

    This guarantee costs something, and I wouldn't really bank on this making too big of a financial difference honestly.

     
  5. breser

    breser AutoPilot Nostradamus

    Joined:
    Aug 28, 2014
    Messages:
    2,310
    Location:
    North Bend, WA


    Tesla website says 60-90% of vehicle cost must be financed and that the account must be open for 36 months (not that it has to be open at time of claim). You can make the claim between 36-39 months. Excess mileage above the 15k per year reduces the guarantee by 25 cents a mile.

    I'm sure that leaves plenty of people in the position to take it. Clearly some people value it.

    If you're arguing that the guarantee isn't worth it, well I don't really disagree. But then again, the fact that some people have it at least helps to provide a backstop on Model S used prices in the future.

    My point was that you probably don't want to do backflips to get the guarantee when you're likely to benefit from it at least slightly without getting it.

    Edit: No idea what's up with the formatting of the quote, every time I change it once it's edited it breaks it like that again.
     
  6. chiv

    chiv New Member

    Joined:
    Oct 31, 2014
    Messages:
    2
    Location:
    Spencer
    Thanks a lot for the info everyone. It is most appreciated. I'll discuss the resale value a bit with my financial planner and see if I can come to a good decision. It's the second largest purchase I ever made so I am a little nervous!
     

Share This Page