Those who lease: thoughts on Model 3 Lease (details included)
04-19-19, 10:11 AM
#61
Lexus Fanatic
And this proves my point that you turned this thread into your personal narrative of why leasing makes no sense (to you). This has absolutely nothing to do with why I started the thread, but you came here to prove a point to yourself.
It would be awesome to get back on topic and have input of folks familiar with leasing to check my thought process on the model 3 lease structure.
It would be awesome to get back on topic and have input of folks familiar with leasing to check my thought process on the model 3 lease structure.
The best part is people who lease and buy new cars often never seem to feel the need to try and convince those who buy used cars and/or keep cars a long time that their way is wrong, but the reverse is another story.
04-19-19, 10:29 AM
#62
Lexus Fanatic
If the residual is not disclosed, this should give you pause and concern.
04-19-19, 10:30 AM
#64
Lexus Fanatic
04-19-19, 11:55 AM
#65
Lexus Champion
From looking at the Tesla forums, it looks like they have notoriously high MF. Seems like everyone gets 0.002 (5.04%) regardless of credit.
So playing around with a lease calculator, when I use a MF of 0.002, down payment of $4k, and residual of 50%, I come up with a lease payment, before tax, of $733. So I'm going to guess the money factor is 0.002 and residual is right around 50%.
So playing around with a lease calculator, when I use a MF of 0.002, down payment of $4k, and residual of 50%, I come up with a lease payment, before tax, of $733. So I'm going to guess the money factor is 0.002 and residual is right around 50%.
04-19-19, 12:44 PM
#66
Lexus Fanatic
iTrader: (20)
From looking at the Tesla forums, it looks like they have notoriously high MF. Seems like everyone gets 0.002 (5.04%) regardless of credit.
So playing around with a lease calculator, when I use a MF of 0.002, down payment of $4k, and residual of 50%, I come up with a lease payment, before tax, of $733. So I'm going to guess the money factor is 0.002 and residual is right around 50%.
So playing around with a lease calculator, when I use a MF of 0.002, down payment of $4k, and residual of 50%, I come up with a lease payment, before tax, of $733. So I'm going to guess the money factor is 0.002 and residual is right around 50%.
perhaps tesla, having no experience with leasing until recently, just took a stab at some conservative (for them) numbers so they can see how it goes.
tesla is a disruptor in so many ways but in particular by not having dealers, not having traditional bogus 'MSRPs' that dealers then 'discount' to show a sale and a 'great deal' and then the whole negotiation song and dance, "F&I" guy, etc. with tesla, it's straightforward. if you can live with the price, you go forward. if not, you don't. this doesn't appeal to many who pride themselves in having great negotiating skills, but the simplicity and straightforward nature of it does appeal to many, including me.
back to the lease and whether it's a 'good deal' or not, jrmckinley, regardless of whether it's a 'good lease' or a 'bad lease' you appear to have calculated what it will cost you over 3 years vs. keeping the old lexus another 3. while the lease payment itself may appear high, the offsets in reduced lexus value in 3 years, no gas to buy, likely no maintenance costs, etc., result in some number for you... you might have posted that, but can't find it right now. but if total tesla costs less total lexus costs for 3 years results in a monthly increase or decrease you can live with and you like the idea of driving a 3, then go for it! no doubt owning a 3 will be a 'radical' experience departure...
when i leased my g90 it was my first lease and all a bit bewildering to be honest, but in the end i felt i could live with the payments, i love driving the car, and so i did it. i have zero regrets, regardless as to whether keeping what i drove before for another 3 years might have been a few thousand net cheaper.
04-19-19, 12:53 PM
#67
Lexus Champion
For reference, the MF back on my 15 GS was 0.0002 (0.48%). My Highlander was considerably higher at 0.001 (2.4%).
04-20-19, 11:37 AM
#68
Lexus Fanatic
.002 is a really high MF...
04-20-19, 06:24 PM
#69
Lead Lap
Late to the party on this buyout thing: just realized that Tesla doesn't give a buy option on the Model 3 lease end...although that is different than the typical lease, i'm not sure what % of folks who lease actually opt to buy the leased car.
Maybe Tesla already figured it was too small a percentage to even offer the end of lease buyout option. But the reasoning behind it bewildering as they plan to use off-lease Model 3's in a ride-hailing service...not sure why they wouldn't they just use new cars for that service (anyway, thats a different topic)
Maybe Tesla already figured it was too small a percentage to even offer the end of lease buyout option. But the reasoning behind it bewildering as they plan to use off-lease Model 3's in a ride-hailing service...not sure why they wouldn't they just use new cars for that service (anyway, thats a different topic)
04-20-19, 09:21 PM
#70
Lease the T3. Good way to see how the future looks.
I’ve never rode/driven any Tesla myself, but with no other comparable options, you gotta pay to play.
i don’t think there’s a way to hack a Tesla lease. Maybe goto the dealer and see if they have any “demo” or factory-repaired new cars to lease.
remember, Demo cars lease as new and carry full new car warranty.
I’ve never rode/driven any Tesla myself, but with no other comparable options, you gotta pay to play.
i don’t think there’s a way to hack a Tesla lease. Maybe goto the dealer and see if they have any “demo” or factory-repaired new cars to lease.
remember, Demo cars lease as new and carry full new car warranty.
04-22-19, 07:09 AM
#71
Super Moderator
Between the residual being low, the unattractive money factor, and the loss of the tax credit, does not seem like a great lease. Really the only thing in favor of the lease is that FL doesn't charge sales tax on the full purchase price of leased cars. If you want to drive a Model 3 for the next 3 years, I'd probably just buy it, and then trade later. I suspect you'll come out significantly ahead.
04-23-19, 01:46 PM
#72
Lexus Test Driver
Tesla has high MF and low Residuals which makes their Leasing programs not competitive to other major automakers.
I would advise to look at existing inventory and try to negotiate a discount from the price of the car which would lower lease payment.
Tesla is not a value brand a la Lexus, Acura.
Its geared for techies and young professionals who are willing to pay for advanced technology.
In summary - plenty of other $50k cars you can lease and save a boatload of $$$ even factoring in gas savings. But none of them provide the Tesla experience.
I would advise to look at existing inventory and try to negotiate a discount from the price of the car which would lower lease payment.
Tesla is not a value brand a la Lexus, Acura.
Its geared for techies and young professionals who are willing to pay for advanced technology.
In summary - plenty of other $50k cars you can lease and save a boatload of $$$ even factoring in gas savings. But none of them provide the Tesla experience.
04-23-19, 01:58 PM
#73
Pole Position
Thread Starter
Between the residual being low, the unattractive money factor, and the loss of the tax credit, does not seem like a great lease. Really the only thing in favor of the lease is that FL doesn't charge sales tax on the full purchase price of leased cars. If you want to drive a Model 3 for the next 3 years, I'd probably just buy it, and then trade later. I suspect you'll come out significantly ahead.
04-23-19, 02:00 PM
#74
Pole Position
Thread Starter
Tesla has high MF and low Residuals which makes their Leasing programs not competitive to other major automakers.
I would advise to look at existing inventory and try to negotiate a discount from the price of the car which would lower lease payment.
Tesla is not a value brand a la Lexus, Acura.
Its geared for techies and young professionals who are willing to pay for advanced technology.
In summary - plenty of other $50k cars you can lease and save a boatload of $$$ even factoring in gas savings. But none of them provide the Tesla experience.
I would advise to look at existing inventory and try to negotiate a discount from the price of the car which would lower lease payment.
Tesla is not a value brand a la Lexus, Acura.
Its geared for techies and young professionals who are willing to pay for advanced technology.
In summary - plenty of other $50k cars you can lease and save a boatload of $$$ even factoring in gas savings. But none of them provide the Tesla experience.
04-23-19, 08:03 PM
#75
Lead Lap
Tesla has high MF and low Residuals which makes their Leasing programs not competitive to other major automakers.
I would advise to look at existing inventory and try to negotiate a discount from the price of the car which would lower lease payment.
Tesla is not a value brand a la Lexus, Acura.
Its geared for techies and young professionals who are willing to pay for advanced technology.
In summary - plenty of other $50k cars you can lease and save a boatload of $$$ even factoring in gas savings. But none of them provide the Tesla experience.
I would advise to look at existing inventory and try to negotiate a discount from the price of the car which would lower lease payment.
Tesla is not a value brand a la Lexus, Acura.
Its geared for techies and young professionals who are willing to pay for advanced technology.
In summary - plenty of other $50k cars you can lease and save a boatload of $$$ even factoring in gas savings. But none of them provide the Tesla experience.
If they start repacking the dealer experience.....idk what will those who dont pride themselves in having great negotiating skills do?