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Re-Sale Value - Elon Tweet

Discussion in 'Australia & New Zealand' started by brewster, Jun 23, 2015.

  1. brewster

    brewster Member

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    #1 brewster, Jun 23, 2015
    Last edited: Jun 23, 2015
  2. TesAus

    TesAus Member

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  3. qwk

    qwk Model S P2681

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    To be fair, you cannot compare MSRP prices because few people pay those at dealers. The Model S has pretty poor resale when you take all relevant factors into account.
     
  4. finallybuying

    finallybuying Member

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    This is a pretty interesting topic. I've been reading threads here for a while and it has been interesting to juxtapose the resale values we see on the CPO thread with the arguably high lease rates in the leasing thread and the tweets here. And also to factor in the one time fed/state rebate first time buyers get. My gut reaction after following for a while - without any kind of rigor behind it, a pure guess - is that the resale value might just be industry average when one factors everything is.

    But really have no evidence for that and would love to someone rigorously figure out how it compares to other luxury ICE and EV cars, factoring in everything.
     
  5. andrewket

    andrewket 2014 S P85DL, 2016 X P90DL (soon 100)

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    I agree that you can't use MSRP for this comparison; you should use average selling price. That will compress the range. Also, while I have no doubt that the Tesla has retained it's value better when compared to other EVs, the real test is how it compares to other cars in it's class (large luxury sedan, 5 seater). Yes, I'd ignore the 3rd row for this.
     
  6. CmdrThor

    CmdrThor Member

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    It depends on what methods KBB used for these resale values compared to the Tesla calculation, but Model S appears to be right in line with the best resale values for luxury sedans:

    http://www.kbb.com/new-cars/best-resale-value-awards/best-resale-luxury-car/

    The trade-in value of 57% also exceeds Tesla's Resale Value Guarantee (50% of base price and 43% of options) they offered before leases were available. That would indicate few if any people will need to exercise the resale value guarantee to get a minimum resale out of their car.
     
  7. apacheguy

    apacheguy Sig 255, VIN 320

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    One would think with an 8 year unlimited mile drivetrain warranty the Model S should be top of its class for resale value. What factors drag it down?

    So perhaps deduct the rebate value from the initial purchase price.
     
  8. green1

    green1 Active Member

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    Maybe you hadn't noticed, but a 3 year old MS has a LOT fewer features than a new MS, but the price of a new MS isn't much more than it was 3 years ago. So regardless of what people are willing to pay for used vs new, and for condition of the upholstry, etc, you also need to factor in mileage, battery degradation, several years of that warranty already being gone, and then on top of that factor in the value of the better fit and finish of newer cars, the autopilot suite of sensors, the all wheel drive, and all the other things you can have now that you couldn't get 3 years ago. Then take off rebates and it's shocking the prices have held up so well, and it's basically only because of the delay to buy a new one I think.
     
  9. apacheguy

    apacheguy Sig 255, VIN 320

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    @green - True, but all of that can be said of most high end luxury cars. There are improvements made to each model year and the deterioration argument absolutely applies to an ICE as well.
     
  10. green1

    green1 Active Member

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    Not really, Tesla has been improving far faster than any other car on the market.
     
  11. ChrsiH314

    ChrsiH314 Member

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    Based on this guy 2015 Tesla Model S 85 Auto people may be taking the notes about high resale value a bit too far. Wow, good luck there! If it was a P85D loaded with every option there is, maybe. But a plain ol' S85 with as far as I can see very few options?
     

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