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Zero down leases

Discussion in 'Model X: Ordering, Production, Delivery' started by oogabooga, Aug 11, 2017.

  1. oogabooga

    oogabooga Member

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    My OA just mentioned to me Tesla is now allowing zero down leases. If you are the leasing type then you'll probably see that as a big deal. Wanted to share that info as i updated my order to a zero down from the previous prerequisite 5000. If anything changes, as i just did it a few mins ago, ill update this post.
     
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  2. kort677

    kort677 Banned

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    this is a case of pay me now or pay me later, all the down payment does is lower the money factor and the payment of a zero down is just raised to cover the cost of the zero down.
     
  3. TJtv

    TJtv Member

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    Down payment does not change the money factor at all.
     
  4. oogabooga

    oogabooga Member

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    Down payment in a lease just lowers your payment. Doesn't affect money factor or residual. If your car is totaled you lose the money. Most highly recommend putting as little down on a lease as possible.
     
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  5. kort677

    kort677 Banned

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    really? I'll agree with your comment regarding the lease, however the reason why the payment is lowered is because of the money you put up front which reduces the amount of the "loan".
    when you're leasing a car, all you are really leasing is the money
     
  6. oogabooga

    oogabooga Member

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    I think we are saying the same thing or at least similar! With a lease when you put a down payment, or cap cost reduction, it lowers your payment but since your residual is the same the risk is losing that down payment if something where to happen.
     
  7. SoCal Jimmy

    SoCal Jimmy Member

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    I can confirm zero down is now available too. The only thing they may request down is the registration and acquisition fee. I didn't get clarification on that part. Most banks don't like financing that.

    That $5k down thrown back in the payment ends up costing you $5800 over the life of the lease and adds $150-160 a month to your payment though. Pretty steep payment hit
     
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  8. oogabooga

    oogabooga Member

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    My guy said they are requiring the acquisition and fees. So in most states, if you put 2500 as deposit, you'd be covered on delivery. From what i can tell, if you have any intention of buying at the end of the lease, it makes no sense at all to do a lease on a tesla in any circumstance today. Interest is high, residual is inflated and you basically are double hit on the fed tax credit. If you are just a perpetual leasor, hard to beat the deals on the 90d right now.
     
  9. kort677

    kort677 Banned

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    fwiw: an inflated residual is a good thing for someone looking to have lower monthly payments. how exactly do you take a double hit on the tax credit? the tax credit is taken by tesla and should lower the cost factor.
     
  10. oogabooga

    oogabooga Member

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    Agreed that the high residual is great for people who love to lease. In this case, and honestly the numbers are not clear, I believe Tesla uses the 7500 to inflate the residual. Assuming that’s the case, as compared to purchasing where you see directly in the bottom line, you lose that and in 3 years essentially have that again as part of the inflated residual. The lower payment would make up for some of that of course. And, again if you are all in on leasing, staying within the miles, and turning it in at the end of the lease it’s a fantastic option on these. Just all stuff to consider, win win on the 90d’s that are out there.
     
  11. Stasla

    Stasla Member

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    Last year the lease deals on inventory cars took the discount out of cap cost (or were added to residual - whatever floats your boat) It was a steal and people ended up with lease payments of less than half of a new order lease. I think they changed it now to be proportionate to the residual.

    Also, even though i never leased, I've always been told that it's best to put 0 down in case you total the car shortly after inception. Apparently they will cancel your remaining payments, but get to keep whatever you put down along with the payments they already recieved. I'm not 100% sure on whether even gap insurance covers lease down payments.
     
  12. t3sla613

    t3sla613 Member

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    I found a great deal on an inventory model x, and can confirm they have a "0" lease option, which is essentially just your $2500 deposit down.
     

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