Resale vale in case....

[globalmax]

Long time lurker. Thanks everyone. Fantastic people and great info here.

I have decided that my next car will be a Model Y... whenever that happens.

Here is the situation though. Have a reasonably stable job. With my current job, I can comfortably afford a Y. In fact, I will be in a position to put half the price as down payment.

But given the current situation, anything can happen on the job front. Inc ase I loose my job, and I may think about selling the Y down the line

To get a sense of what I will be dealing with, following is what I was thinking. Appreciate your comments and inputs

- What you all think about resale value of Y. What will be a best guesstimate on what I might loose if I sell after 1 year?

- Is there a used car market for Tesla's? or people tend to buy new

 

[Ronc783]

If you have any worry about losing your job in the current economic situation, I wouldn’t bother putting half of the overall cost of the car as a down payment on the car. To each their own. Good luck.

 

[globalmax]

Thanks. Its not that I am worried about loosing the job or I am in a industry where job cuts are happening, just a possibility that can happen....may be applicable to others as well..

My only question which I need some pointers is on resale value of the car. After spending just above $50k for AWD non performance model, how much can i loose if I have to sell it after 1 year/at the max 8k Miles?

My estimate 20% drop....as in $10k depreciation?

 

[KyleATMn]

Thanks. Its not that I am worried about loosing the job or I am in a industry where job cuts are happening, just a possibility that can happen....may be applicable to others as well..

My only question which I need some pointers is on resale value of the car. After spending just above $50k for AWD non performance model, how much can i loose if I have to sell it after 1 year/at the max 8k Miles?

My estimate 20% drop....as in $10k depreciation?

Sounds like we are similar, although I'm putting about 33% down just to ensure I'm comfortable with payments and not dumping too much initially into the car. If you haven't already, read up on the model 3. Over the past 3 years, it has lost very few % in resale across the trim levels. In fact, its rated #1 in overall resale value, I believe. If I were to lose my job in the next year and felt that giving up the model Y had to coincide with that, I would expect to sell it for a few % under retail. What used Tesla cars have OVER new is that they are instantly available, probably in better (or at least known) condition as far as alignment/paint/etc than some model when rolling the dice with a new car (I've rejected 1 model y, hopefully accepting their second try next week).

My use case is less losing my job, but this will be my first Tesla. I'm giving it a 100% fair chance with a Tesla charger in my garage, etc. But I am worried about range for my profession (territory based sales) so my IF is centered around IF this model Y creates a heavier than perceived inconvenience while traveling 300 mile distances. Hope this helps!

 

[TomServo]

The Y is too new to have any baseline numbers to work from. The usual 20% first year loss sounds like a good starting point.

 

[SidetrackedSue]

My estimate 20% drop....as in $10k depreciation?

No, insanely lower than that. Except I don't understand how the resale market will work.

Tesla Model 3 Three-Year Depreciation Is 10%: EV Industry Average Is 52%

If estimated depreciation is 10% after 3 years, that means buying a 3 year old car only saves $5K (in Canada), so why would you not buy new and get warranty and no wear and tear?

 

[KyleATMn]

No, insanely lower than that. Except I don't understand how the resale market will work.

Tesla Model 3 Three-Year Depreciation Is 10%: EV Industry Average Is 52%

If estimated depreciation is 10% after 3 years, that means buying a 3 year old car only saves $5K (in Canada), so why would you not buy new and get warranty and no wear and tear?

I think for some of the reasons I listed above, but I'm in the same boat of paying a few thousand more for new. The Y doesn't have much used obviously right now, but even the Model 3s in the area get scooped up VERY quick. Warranty still exist even upon sale, right? In terms of battery, etc.

 

[Uncle Paul]

The basic car should depreciate very little. It is the expensive options like FSD, Larger Wheels, aftermarket upgrades that loose their initial cost quickly.

Would worry far more about the depreciation of any gassers as governments are clamping on restrictions.

 

[Demonofelru]

Honestly I may be in the minority here, and perhaps very wrong. That being said I do expect it to hover around 10%-20%. Yes, Model 3's held their value crazy well, but that seems to be starting to change much more quickly recently. Tesla is producing cars much faster as of late, supply is catching up to demand. I think the 3 is a rare occurrence that is not going to hold true for th Y. I also believe 3's will have much faster depreciation as well.

I do hope I'm wrong though.

 

[Robert2020]

You should spend less than 10% of your annual pretax income on car payment, IMO