I am surprised that we do not hear more about car leasing companies being in panic mode. With the latest news of autonomous AP coming sooner than expected, current cars will depreciate even more again.
The problem is not anymore only Tesla, it's the Germans in panic mode now coming with exciting BEV's. Why would I buy a BMW 3 series, Audi A4 or BMW C class if I know that in one year I can have a Tesla M3 and in two years a BMW 3 series for the same, or even cheaper price ? The pretty only reason to buy a S class or BMW 7 series is the much nicer interior and build quality. But once they have an electric offer, only a small minority will buy a German ICE.
Those ICE cars without AP will be worth nothing ! How bad it can be I just realized after talking to a good old friend from Germany. Showing off with my P85D acceleration he asked what the top speed is and laughed about the Tesla's 155 mph (for seconds) as his AMG 550 Mercedes with 500 HP goes 200 mph ! He bought it used and paid 10k !!!
I think that will be the value of a BMW 3 series, Audi A4, Mercedes C class bought today for 40k in 3 years. However looking at the lease rates, they should be worth almost 3 times that value !
What will we do with all those ICE's which nobody wants and become useless ? The Germans had a while ago a government sponsored "cash for clunkers" offer. I think something like this might happen again where you get an incentive to buy a BEV and your ICE's will go right into the junk press
It will be very interesting and I am glad I am not in the car lease business
The problem is not anymore only Tesla, it's the Germans in panic mode now coming with exciting BEV's. Why would I buy a BMW 3 series, Audi A4 or BMW C class if I know that in one year I can have a Tesla M3 and in two years a BMW 3 series for the same, or even cheaper price ? The pretty only reason to buy a S class or BMW 7 series is the much nicer interior and build quality. But once they have an electric offer, only a small minority will buy a German ICE.
Those ICE cars without AP will be worth nothing ! How bad it can be I just realized after talking to a good old friend from Germany. Showing off with my P85D acceleration he asked what the top speed is and laughed about the Tesla's 155 mph (for seconds) as his AMG 550 Mercedes with 500 HP goes 200 mph ! He bought it used and paid 10k !!!
I think that will be the value of a BMW 3 series, Audi A4, Mercedes C class bought today for 40k in 3 years. However looking at the lease rates, they should be worth almost 3 times that value !
What will we do with all those ICE's which nobody wants and become useless ? The Germans had a while ago a government sponsored "cash for clunkers" offer. I think something like this might happen again where you get an incentive to buy a BEV and your ICE's will go right into the junk press
It will be very interesting and I am glad I am not in the car lease business