get_amped
Member
Purchase price*: $85,370.
Loan start date: 8/15/2013
Loan 1: 2.95% / 72 months / $72,565 (price - 15%)
- Your monthly payment is $1,100.91.
- As of September 2016, you'll have paid $5,045.76 in interest and have a principal balance of $36,877.21.
Loan 2: 2.95% / 72 months / $42,685 (price - 50%**)
- Your monthly payment is $647.59.
- As of September 2016, you'll have paid $2,968.07 in interest and have a principal balance of $21,692.33.
You get $41,684 for the car. With Loan 1, you get $4,807 back. With Loan 2, you get $19,992 back.
* In reality this number should include registration, sales tax, and the document & delivery fee.
** $42,685 instead of the $42,670 in your question.
---------
Remember that if you're comparing these two options, the actual difference is the amount you'll pay in interest vs. the opportunity cost of a larger down payment, not really anything that you might "get back" in the end (since that is directly related to how much you put down).
Loan 1: pay $2078 more in interest and weather larger monthly payments ($1101), but only have to put 15% down.
Loan 2: pay $2078 less in interest and have smaller monthly payments ($648), but have to put down 50%.
---------
I used this loan calculator in the above calculations. You might find it helpful.
Thanks Colasec. I think I'll go with the lowest rate I could find (1.49% at Alliant) instead of the Tesla offered financing.
i find it hard to believe that a $92,000 Model S will only be worth $41,684 after three years.
In this scenario I would hope the car will be worth closer to $60,000 after three years.