Tesla resale and depreciation concerns as prospective buyer

[skilly]

Tesla is in a market dominated by perfect substitutes and perfectly competitive EVs.

Since I can practically buy any other vehicle that has all of Tesla's pros without all the cons of a Tesla.

Since the cons outweigh the ownership benefits of OP,

OP should not buy a Tesla.

'Tis better to have loved and lost than never to have loved at all.'

Quote may or may not be relevant to the discussion at hand.

Ive read this three times and I cant make sense of it...besides don't buy a Tesla, what are you trying to say? Since a big part of the value prop with Tesla is its electric propulsion, what are you measuring as pro and con?

Most of the OP statements aren't accurate. And, if depreciation is table stakes for any vehicle the whole position doesn't hold true.

 

[kort677]

Right, but how is that different than throwing your Wh/mi away on an EV?

When I drive in the city doing errands I need to recharge every other day. If I was driving an ICE I can go a week or 1.5 without refueling.

I think you've missed the beauty of the tesla, plenty of range for daily usage and at night you come home plug it in and voila you wake up to a fully fueled car.

 

[MXWing]

Ive read this three times and I cant make sense of it...besides don't buy a Tesla, what are you trying to say? Since a big part of the value prop with Tesla is its electric propulsion, what are you measuring as pro and con?

Most of the OP statements aren't accurate. And, if depreciation is table stakes for any vehicle the whole position doesn't hold true.

Sarcasm post. There is NOTHING at all like a Tesla experience.

Some cars may do SOME things better than a Model X but not for what I value.

Actual/perceived loss in resale value is out of our control.

Knowing that, you can buy a Tesla or not.

All of our future cars are going to be Tesla's.

 

[kort677]

Tesla is in a market dominated by perfect substitutes and perfectly competitive EVs.

which perfect and perfect substitutes would those be?

 

[MXWing]

which perfect and perfect substitutes would those be?

Most of my posts are in the investor forums. I wouldn't be in TSLA if I believed there was competition.

There are no substitutes so OP using perceived/actual resale value as the reason not to get a Tesla is irrelevant.

As some have mentioned the best strategy is to own it forever.

 

[Canuck]

since I rarely play the pedantic role, do you realize that the first autos were either steam or electric powered? ICE was an afterthought

Most people sold their horse and bought an ICE -- not steam or electric. Very few steam or electric vehicles were sold and there was no major shift to them like happened with the ICE. And I'm talking about a massive shift which I predict we will soon see with EVs which I why the analogy from horse to ICE was used.

I just love being able to get up to speed really fast without drawing any attention to myself like an ICE does when you gun it, not to mention that you throw your gas mileage out the window driving like that in an ICE and I drive like that a lot.

Right, but how is that different than throwing your Wh/mi away on an EV? When I drive in the city doing errands I need to recharge every other day. If I was driving an ICE I can go a week or 1.5 without refueling.

I'm not all that concerned about my Wh/mi unless I'm on a trip and range is an issue, which doesn't apply to my daily driving. The cost is a whole lot less than gunning it with an ICE -- plus over 90% of my electricity comes from renewable rain water but even if it did not, the environmental impact of a lead foot in an EV is so better than an ICE. Then there's the noise, head turning and a far greater possibility of a ticket when you take off fast in an ICE. I used to say here that it's not illegal getting up to speed fast until someone here got a ticket. Granted, he said he looked over at the cop then floored it when the light turned green which isn't the brightest thing to do, even though he said he never exceeded the speed limit.

I don't get your point about refuelling. With a Tesla, you plug it in every day regardless of how much power you used, or at least I do anyway since it take seconds and is recommended by Tesla...

And plugging in every day is so much better than going to the gas station even if you do it more frequently, at least for me.

 

[outie]

I think you've missed the beauty of the tesla, plenty of range for daily usage and at night you come home plug it in and voila you wake up to a fully fueled car.

Except when I go to an overnight weekend trip it's became an issue for us.

I didn't miss the point. All I was trying to say you also waste a lot of energy gunning an EV, in fact a lot more.

 

[Canuck]

All I was trying to say you also waste a lot of energy gunning an EV, in fact a lot more.

Right -- and the same applies to driving fast but I can't drive 55!

There's no doubt that gunning it, like driving fast, also uses a lot more energy. Before they put a supercharger in Hope BC (half way to my cabin), I had to accelerate slowly, and drive at about 55 mph, in order to make it on a single charge. With the supercharger, I can do the drive much more spirited just by stopping for 10 minutes or so while I grab a coffee.

 

[kort677]

Except when I go to an overnight weekend trip it's became an issue for us.

www.plugshare.com is your friend, use it!

 

[JohnnyCakes]

"Sparky" that's cute...electric car forum and all. Pretty clever.

i'm glad you liked it. it just came to me, no thought whatsoever. it actually was not a pun on EV's, rather a tip of the hat to your glowing personality.

 

[skilly]

i'm glad you liked it. it just came to me, no thought whatsoever. it actually was not a pun on EV's, rather a tip of the hat to your glowing personality.

Sounds like you're all hurt because I disagree with you. I was giving you the "Sparky" thing to help you out knowing full well that you didn't really see the connection through the dig you were looking to get in. Its all cool though; sorry I hurt your feelings - it wasn't intentional.

 

[LP925]

I was going to have my broker find me a car at Manheim or Adesa Auctions from Tesla Remarketing BUT i heard those cars that are under 4 years / 50k miles they void the warranty because they are selling the car at wholesale lol. Anyone heard of this?

 

[TaoJones]

I was going to have my broker find me a car at Manheim or Adesa Auctions from Tesla Remarketing BUT i heard those cars that are under 4 years / 50k miles they void the warranty because they are selling the car at wholesale lol. Anyone heard of this?

Haven't heard that.

One thing to keep in mind is that cars ordered after 15 January 2017 won't have supercharging included *after they are sold by the original owner*.

Cars ordered before 15 January 2017 sold by the original owner are supposed to retain included supercharging as is the case with almost all cars sold prior thereto.

Of course, it's unclear how a resold post-15-January car will pay for SCing since 4 months later Tesla refunded all fees charged to those who started paying fees (post 15 January orders), but presumably it will be via credit card prepaid balance at the same rates that were publicized at the beginning of the year.

What this means is that cars ordered prior to 1/15 and delivered by 3/31 will ostensibly have greater resale value because their new owners won't have to pay thousands of dollars per year in SC costs, using CA's $0.20/kW and 30% efficiency loss for urban driving as an example.

Yes, with a referral code now, supercharging is included but *only for the original owner*.

 

[LP925]

so to fill up a 85 battery it would be around $20? Might just be smart to just buy up to a 2016 model for as long as possible.

If anybody has bought a car from a independent dealer it would be nice to know how they are doing warranty wise. The few vins I looked up, it only came with the main battery warranty and the factory warranty - disqualified.

Haven't heard that.

One thing to keep in mind is that cars ordered after 15 January 2017 won't have supercharging included *after they are sold by the original owner*.

Cars ordered before 15 January 2017 sold by the original owner are supposed to retain included supercharging as is the case with almost all cars sold prior thereto.

Of course, it's unclear how a resold post-15-January car will pay for SCing since 4 months later Tesla refunded all fees charged to those who started paying fees (post 15 January orders), but presumably it will be via credit card prepaid balance at the same rates that were publicized at the beginning of the year.

What this means is that cars ordered prior to 1/15 and delivered by 3/31 will ostensibly have greater resale value because their new owners won't have to pay thousands of dollars per year in SC costs, using CA's $0.20/kW and 30% efficiency loss for urban driving as an example.

Yes, with a referral code now, supercharging is included but *only for the original owner*.

 

[rohitgarewal]

One thing that dramatically changes the calculus if you're a business owner is the ability to take a 179 deduction on the X. Ive created a spreadsheet comparing new / used model x and model s, and the total cost of ownership with a 27% depreciation factor over 2 years (which is what Im seeing on Autotrader) is only $6K.

For those who dont know, in 2018 the 179 deduction allows you to deduct a whopping $50,780 from an $87500 purchase, PLUS the $7500 tax credit. Those numbers are if you claim 80% of the drive is for business, which I do.

Model S's, for a business owner, are dramatically more expensive because they dont qualify for 179 due to the weight.

 

[Ketchups]

You're hired! PM me your contact info please.

 

[Canuck]

For those who dont know, in 2018 the 179 deduction allows you to deduct a whopping $50,780 from an $87500 purchase, PLUS the $7500 tax credit. Those numbers are if you claim 80% of the drive is for business, which I do.

But how many people can do that? I assume you're in real estate? That is one of the few professions I can think of who get the max deduction on their vehicle because they're driving around all day showing properties. Or you could be in construction, doing deliveries, or transporting people in your X? I guess it works there too, to get to 80% business use.

Good tip, though, for those who can use it. It just seems quite restricted if you need to show 80% business use for the vast majority of people. People will say "we have two vehicles" and one is for personal and the other business, but most professionals work in offices they drive to -- and to/from office doesn't count towards the 80% or any deduction -- then you're stuck at work and don't even have the business vehicle -- unless you leave it there.

Those numbers are if you claim 80% of the drive is for business, which I do.

Not really just for claiming it. It also has to be true in fact, especially if you like to sleep well at night.