Thinking of selling....Oh My

[Target]

If you do sell / trade it, I second looking at a Bolt. A friend of mine reported being able to get a Bolt new for $25k. He was applying Costco discounts and has GM points credit card, but still. This was current model year too.

If you just want to go low cost to the store and back, buy a used Volt this winter.

Regardless of what you buy on the other side, selling from now until September is usually a good way to maximize the price you get for your current car. If you can wait until winter to buy it's replacement, it will work out well for you.

Good luck!

 

[SO16]

I no longer drive 60 miles RT to work either. But I still enjoy driving on the weekends.

 

[Marc AVL]

My job is now 100% remote. I have a 2018 M3 midrange with EAP. I probably spent another $3,000 on things like tint, front wrap, powder coat, etc.

I financed pretty much the entire amount, probably have about $43k left. It has 25k miles.

Before COVID-19, I was driving 50 miles RT for work, and of course, using EAP. Now, I rarely drive the car and so I am paying close to $900 per month including insurance and payment.

I thought about renting it out on Turo so that I can at least keep it and drive it around on the weekends. But the thought of cleaning, taxes, and meeting random folks seems stressful.

If I do sell the car, I'll probably get a low-mileage lease car for about $400 per month, including insurance (e.g, Civic, Camry).

I know this is my own personal decision, but I would leave your perspectives.

I would sell and try Uber for local trips and renting for longer trips if you take any. Work out the math that should be the cheapest way. I would not buy another car since it will depreciate rapidly and you will loose money. Tesla are not losing money due to depreciation.

 

[Grappicker]

My job is now 100% remote. I have a 2018 M3 midrange with EAP. I probably spent another $3,000 on things like tint, front wrap, powder coat, etc.

I financed pretty much the entire amount, probably have about $43k left. It has 25k miles.

Before COVID-19, I was driving 50 miles RT for work, and of course, using EAP. Now, I rarely drive the car and so I am paying close to $900 per month including insurance and payment.

I thought about renting it out on Turo so that I can at least keep it and drive it around on the weekends. But the thought of cleaning, taxes, and meeting random folks seems stressful.

If I do sell the car, I'll probably get a low-mileage lease car for about $400 per month, including insurance (e.g, Civic, Camry).

I know this is my own personal decision, but I would leave your perspectives.

I have a 2019 M3 standard+ with partial premium and 19". My payment is $680 because of a trade but I owe roughly $31K. I sent a request to tesla to try and trade out and move up to M3 long range. They quoted me $28K for my car. That car is on the market for roughly $38ish. Another online company offered $32K.

 

[petecrayton]

My job is now 100% remote. I have a 2018 M3 midrange with EAP. I probably spent another $3,000 on things like tint, front wrap, powder coat, etc.

I financed pretty much the entire amount, probably have about $43k left. It has 25k miles.

Before COVID-19, I was driving 50 miles RT for work, and of course, using EAP. Now, I rarely drive the car and so I am paying close to $900 per month including insurance and payment.

I thought about renting it out on Turo so that I can at least keep it and drive it around on the weekends. But the thought of cleaning, taxes, and meeting random folks seems stressful.

If I do sell the car, I'll probably get a low-mileage lease car for about $400 per month, including insurance (e.g, Civic, Camry).

I know this is my own personal decision, but I would leave your perspectives.

Depends on how much you like your car. Over my 60 year driving career I have had at least that many cars. I lost money every time. Many times I traded a high dollar car (911, AMG, XKE, etc.) to "economize" or to be more "practical". And every time I would trade back up taking another loss. Now maybe you will be happy in the Civic long enough to amortize you loss getting out of your M3, but as a lease particularly you will have no equity at the end and will have to ante up for something else, and if it is a Tesla.... I suspect you are chasing a false economy and if you really crunch the numbers 4 years from now you will be no better off than "even" and in the meantime you will have missed out on driving a Tesla and all the joy and hot chicks that come with it.

 

[SusanB.]

My job is now 100% remote. I have a 2018 M3 midrange with EAP. I probably spent another $3,000 on things like tint, front wrap, powder coat, etc.

I financed pretty much the entire amount, probably have about $43k left. It has 25k miles.

Before COVID-19, I was driving 50 miles RT for work, and of course, using EAP. Now, I rarely drive the car and so I am paying close to $900 per month including insurance and payment.

I thought about renting it out on Turo so that I can at least keep it and drive it around on the weekends. But the thought of cleaning, taxes, and meeting random folks seems stressful.

If I do sell the car, I'll probably get a low-mileage lease car for about $400 per month, including insurance (e.g, Civic, Camry).

I know this is my own personal decision, but I would leave your perspectives.

Okay... Are you still working but now from home? If you are, then you are actually making MORE money while still owning your M3 and keeping your miles low! If you were driving to work, you would be charging up at home and that costs money (not horrible but it's something). If you still get to work bur from home, you are actually saving money that you would be spending on electricity! Keep the 3!

 

[OCR1]

I'm only driving around 2 miles per day now because of COVID. But I sure do enjoy those two miles in my Tesla. We have no idea what the future looks like. Things could change quickly. Unless you plan on downgrading and staying with a very low cost vehicle for a long time I think you will find that it's not worth the loss you will incur after figuring in depreciation, taxes and fees on the replacement vehicle, and higher costs for gas and maintenance. Take your time to think it through. If you got a state rebate they will claw back about 1/3 of the rebate if I recall correctly.

 

[Fernand]

If I don't drive it, I go out and sit in it and listen to music. And polish it up a bit. It's got significant antidepressant value. Hard to put a precise dollar value on that. But losing that Tesla you incur both financial and psychological losses, and you know it

There's also the zombie apocalypse factor. Although I concede a model Y would be better for that, roomier, beggars can't be choosers. Makes a great zombie/Covid refuge. It's even got Youtube 'n stuff. If y'all can't go stand out in front of yer ante-bellum mansion with AR-15s, you can shelter in place in your Tesla.
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[StealthP3D]

Me? I like just having mine to look at in the garage.

I know, right? I've seen a lot of paintings that cost more than a Model 3 and don't look half as good.

 

[ThomasD]

Go drive it a few times a week Relieve stress

 

[chuckdolan]

I’m with you. I’m selling my MS after two glorious years of ownership. My wife’s car is a lease that we can’t get out of for another 16 months and it’s killing me to spend $1,400/month on payment, insurance and electricity to just sit in the garage. Selling now and will get into the MY in late-2021, after they’ve hopefully worked out all the bugs. Godspeed, my friends.

 

[hmgolds]

$900 per month is a lot to spend for something that depreciates in value and doesn't get used much. The technical term for that is a "boat".

But, as others have said, you're unlikely to get $43k for it now. And it's not valid to compare a loan (which eventually get paid off) with a lease that has zero value at lease end. And it depends on whether your $900 per month payment ends in 12 months, 24 months, or 36 months.

And don't forget the taxes and fees that that added to the cost of a new vehicle (whether you buy or lease).

So, until you have real numbers, I doubt you can make a good decision (unless you absolutely can't afford the $900 per month).

 

[Mr X]

$900 per month is a lot to spend for something that depreciates in value and doesn't get used much. The technical term for that is a "boat".

But, as others have said, you're unlikely to get $43k for it now. And it's not valid to compare a loan (which eventually get paid off) with a lease that has zero value at lease end. And it depends on whether your $900 per month payment ends in 12 months, 24 months, or 36 months.

And don't forget the taxes and fees that that added to the cost of a new vehicle (whether you buy or lease).

So, until you have real numbers, I doubt you can make a good decision (unless you absolutely can't afford the $900 per month).

Tesla Model 3 resale value is over five times better than industry average: study

 

[whydontwe]

I have an extra car, Prius, that's paid off. It runs, but does have some mechanical issues (check engine light, gas tank doesn't fill to full, etc.) What I am hearing is that if my goal is to save some dollars, why bother even leasing. The M3 loan is done in December 2025, so a little over 5 years from now. Payment is $725 and insurance is now $105/mo (just asked Tesla to reduce my annual mileage). Plus, the $10/mo for premium connectivity. So, all in, excluding electricity costs, is about $840.

I received the Federal tax credit, and CA rebate.

Again, in no rush here due to any dire financial situation. Having an extra $840/mo would be nice though.

 

[Sans-gas]

I have driven about 100 miles in the last 4 months and have paid ~$675/mo for the privilege. Sucks to be paying so much for a car and having it sit in the garage. But these are unprecedented times and there is zero chance I'm going back to driving an ICE car. So for now I'll eat the monthly payment and hope that things get back to normal soon enough.

It's hard to be fiscally responsible when driving that car, no doubt, but it IS wise to be frugal. You can bank the $ and buy an even newer one when you need it in the future. Just imagine what will be out there when you have the need to shop for your future ride!

 

[alloverx]

Dump the car if you can handle the financial hit.
Buy a used Bolt, Leaf or eGolf depending on the test drive and best deal you can get.

 

[alloverx]

Oddly enough just saw a Genesis G70 lease for zero down, $399 per month. 36 months, 10K per year. I recall service is included.

 

[Battpower]

Assuming OP's financial situation is relaxed and under control, then I suggest they should run through exactly why they took on the financial obligations to get the car in the first place.

I just feel lighter without it

I have had exactly this feeling with cars in the past. I over stretched to upgrade from previous Lotuses to the V8 Esprit back in the 80's. In that case, even though I had owned several other Esprits, I felt stressed all the time. The car was too expensive, had too many issues and I didn't enjoy it. Since power output was limited below 4th gear, you were doing 80mph before you got the full benefit of the motor, so all in all it was no fun to drive on public roads. Traded for an Elise at a significant financial loss but got a car that I loved driving with very little stress. Like a weight off my mind to see the Esprit go. With hindsight it was an expensive mistake but I had to move on.

Tesla are not losing money due to depreciation.

Umm..... then what do you call the reason the cost keeps dropping and my car is worth less?

I go out and sit in it and listen to music. And polish it up a bit. It's got significant antidepressant value.

There are many ways to enjoy cars, and for some that doesn't even involve driving them! Did the OP get this car purely as a means of transport? Is Tesla ownership just about transport to and from work and the mall? Or was it selected above other transport for other reasons like how it looks, how it feels, what it might say about you as a car owner..... etc. And how many of those things still apply? On the day you sign for the car you take a big hit in value purely driven by the perceived values that drove your choice to buy. If those values haven't changed, then getting out from the lease is actually forcing you to take the whole depreciation loss against a far shorter period of ownership, so your cost of ownership for the first months just shot up and you are still left with your same values..... so what do you buy next that's not going to possibly end the same way?

If your values / needs have changed, then fine. Take the loss. Change the plan. Move on and do whatever makes sense now / next. But don't just take the loss on the car (which could equate to several months of payments) only to realize that you weren't in such a bad spot after all.

 

[Fernand]

True all that. We all know that it IS a luxury car ... Mainly because when it came down to it, not many people wanted a $35-37k barebones Tesla, though it was available as promised. So that's how we got into a $50k+ car. For me, any extra power or fancy wheels or even long range were irrelevant. I wanted the full automation. My son nailed it back then: it's the whole point of a Tesla. I'd be giving up too much to get a cheaper car without it.

Now, looking at the Model Y, though it's a more practical and perfected design, roomier, it's certainly not worth all the losses of "trading up".

But the way I look at it, since my wife's Honda is long paid off, if or when it dies, we'll just be down to one car, and we will get by on the Tesla until it's paid off, and probably way beyond. I'd sure rather get by on one Model 3 than on one or two of something else.

One more detail. With my health issues I don't think I want or should be driving an all-manual car. With all the automation and assistance that I'm so used to, driving my wife's car feels way more dangerous.
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[Ofarlig]

Our 3 have been driven 1k miles since we got it in February, even before Covid it was mostly used 20 miles per day when the wife drives to work and back. When I took it out for a short trip yesterday it was the first time either of us sat in it for a month. I am more interested in switching it to a Model S after a refresh, Audi E-tron GT or a Polestar 2 than getting rid of it completely tbh. Just have to get out of my promise of keeping it at least 2 years this time around...

Having a fun car for the times we do drive is worth it in my book.