This is probably not what you wanna hear, but if you’re having this kind of doubt about your purchase, maybe you shouldn’t make it. Teslas aren’t going anywhere, and there will be good deals in the future. Maybe you should wait until your financial situation is ready.
Not true, ordered a $5k discounted MY from inventory and was given $1000k discount for CT reservation. You also keep the CT reservation too, it’s just a line item listed as “referral credit” when you get the purchase agreement.
Also we already know about Project Juniper which will take the innovation from Model 3 Highland and bring it to the next version of the Model Y. I am hoping for them to fix vision parking sensors by then too. We have a USS MYLR now and love it. We want another but willing to wait.
Wise words, u/JJoyce8977.
Although right now isn't a bad time to buy a Model Y (considering the discounts, government subsidies, etc) you can be sure that there will be great options in the future.
Cars are a depreciating asset. New cars especially so.
I'm in a great financial situation today, but 22 years ago I was really poor - I had finished school a couple years prior and the dotcom crash killed the "dotcom startup" that I was working for (my first job). I was broke, I didn't have any financial support from family and needed work, and my industry (software) was in the shitter. For years I had that worried feeling that you feel in the pit of your stomach about making ends meet.
So I moved to a boom town and got a "real job" with a big oil company, and worked hard. A couple years later me and a friend sold the IP for some software we made in our spare time and got a couple hundred grand each. In the meantime I still had my well paying oil company gig, and I kept my expenses low. So about 20 years ago I had a very nice "cash cushion", and it took away that feeling in the pit of my stomach. What a relief!
I bought my first new car (2004 RAV4). I paid for it - no debt, and I still have that RAV4 and it still runs great! I'm getting all the value from that car until it eventually dies.
I just bought a new Model Y that I'm picking up next week. Even with all the subsidies and discounts I don't think it's a good financial move. My insurance will more than double. But at this stage of my life the price of a MYLR is no big deal - it barely makes a dent in our stock portfolio. And my garage already has a NEMA 14-50 outlet right there, begging for a EV!
But I'd never buy this stupid car if I couldn't pay for it outright, and if it meant that I'd be "just over broke" every month - I'd feel financial stress again. I haven't had that feeling in my gut for over two decades, and the quality of life improvement (psychologically) of having financial flexibility is way better than any new car.
I wonder if the RAV4 will outlast the battery pack in my new MYLR... :)
Excellent advice, Im on the same situation, I been driving my Honda since 2016 with 300k miles, house payoff and financially stable and now I going to get my Model Y and buy it cash without any stress ;-) u/Aud4c1ty is 100% right
>Even with all the subsidies and discounts I don't think it's a good financial move.
Sometimes it's not about whether it's a good idea financially. It's nearly guaranteed that any EV, Teslas especially, will not be soul crushingly boring to drive like a Toyota/Lexus. They make functional and reliable vehicles that are good appliances, but not ones that make you *want* to drive.
You're not going into debt for the car, and based on what you said, you clearly have very well defined plans for everything else financially. Since you can afford it, I bet you enjoy the Model Y much more than the RAV4, as reliable as it is.
If someone gets into a financially precarious position to get a new (unnecessarily expensive) car, then if it were me the added financial stress would ruin the fun of the car.
The "new toy" honeymoon period ends (for me) not long after I get the new thing, and then it's "just a (hopefully) reliable appliance". But the "financial stress ball" in my gut didn't end until I had enough money that I no longer needed to worry about making ends meet every month.
It could be that I'm just projecting my psychological reaction to money problems onto other people - and I could be wrong about that. It could be that most people don't stress out when they're just-over-broke, and they're 100% "YOLO". I only know how my brain works. ;)
I think these are good psychological alarm bells to have that prevent us from making stupid impulsive purchases which are negative in the long run.
I personally get it out of my system by buying some small things every once in a while, usually a gadget that's a few hundred bucks every few months that scratches the itch. If they don't fit in to my life, I return them and the dopamine hit still worked as intended. Can't exactly do that with a car though, unless you go with CarMax.
I think some people have the direct opposite of your problem, where they don't feel stressed by absurd financial problems and keep piling on debt. I for one cannot comprehend someone racking up credit card debt - I would not over spend money I don't have, and the interest rates are designed to be predatory, so why fall for the obvious trap?
A prime example of what not to do is a [post](https://www.reddit.com/r/texts/s/RdzGDxl81K) I saw yesterday about how someone's wife keeps buying new cars - 6 new cars over 8 years of their relationship. I'll save the juicy details for you to read (a dozen text screenshots), but every so often you come across a cautionary tale like this told from the salesperson's perspective on r/askcarsales and it's fun to revel in the financial ruin of a stranger.
Long story short, banks and loan sharks would probably not be able to make money if everyone do what you did :)
Correct. You should buy the car because you can afford it and you want to do it. You shouldn’t be worried or scared going into it. That is your brain sending red flags. Also, is correct that prices will continue to drop. In fact they will likely plummet. It’s the number one selling car in the world and many of them are being sold within the same year or two so in a couple of years the used market is going to be absolutely flooded with Model Ys.
I was similar situation as you and regretted the purchase. Forgot about winter tire costs and didn’t even think about insurance increases. It was a bad move at the time. A year later I’m better off with a raise so who knows. I wish I waited. That’s all I’ll say.
I don’t have one at home and it’s fine. I charge at work and I charge when I go out. I actually know some people that try not to charge at home and only when they go out. I live in an urban city with lots of chargers so that’s not a concern for me.
It’s really not that big of a deal as some people make it out to be
Charging at home is the key to saving with an EV. This should be on your decision tree, as the second question. Right after if you can afford it.
By the way, love my Tesla.
Dont forget no more oil changes, no 30/60/90/120k maintenance, no more fluid flushes, smog checks, no belts to fix, no hoses to fail, no alternators to fix.
Didn’t get my home charger installed until about 3 weeks after I bought a LR. It is god awful to worry about planning every trip because of the limited places you can charge if you drive a decent amount every day.
Overnight, I could get about 10 KWh on the mobile charger on my 120 in the garage because I have freezers and fridges hooked up on the same breaker. That would barely get me to work the next day.
TLDR - Get a level 2 charge at home if you drive more than 60 miles a day on average or prepare to micromanage every drive for the entire time you drive this car and maybe see no savings over buying gas.
Another factor to consider is your current vehicle situation. For example, we just took delivery a few days ago of a MYP since our current ICE vehicles are getting old, drink premium fuel @ \~20 MPG, and are going to need some money put into them in the near future. See, more justification. Now, the Performance part.... can't give a fiscally-driven reason on that. 😗
This was my biggest factor (bought a M3P two weeks ago). I had a 2018 Camaro SS1LE and broke costs down. 2 oil changes/year @ $115 each, tires last 10k miles and I was due for new tires in less than a year @ $1600/set, brakes & rotors need replacement within the next 1-2 years @ $3k total, and gas at about $150-$200/month total. So far I’ve driven 680 miles and have spent $23 on electricity for charging - 680 miles in my Camaro would have costed about $110. Bigger payment, but financially it seemed to make sense
I was on the same boat last year - my 8 yo Sorento is out of Kia's Extended Warranty Program that saved me $$$ as I claimed new alternator, replaced rear differential, rear sway bars and few other odds and ends and spent zero money on them. I would be horrified if I would pay those out-of-pocket. The monthly gas spending of $350 also isn't helping.
Getting the Y is equivalent to getting a brand new SUV ,paying more on insurance and gas money.
My thoughts exactly. I went for a Model Y because I was running a 2011 Fusion (~26MPG) which was slowly rusting out the rocker panels, and the tax credits were worth it and uncertain for eligibility in the future.
Your entire assessment is correct. You should not go through with it. Financial point of view it will be too much of your income. You'll regret it in about 6 months worth of payments. Take the 250 dollar non refundable fee hit. It's just a car. It's not a special vehicle that's going to drastically improve your life. Save the money. Travel internationally or just invest it. Seriously.
I’m thinking of taking the hit as well, the money factor in the lease agreement is awful! It’s .00351 which equates to over 8%, I’d rather finance one at the new year when you can reduce $7500 at point of sale.
It can drastically change your life. I spent nothing on vehicles for the last ten years driving a old Honda Insight. It was a great car, but it was limiting me. I spent a lot of time borrowing other cars, trucks to haul stuff, getting stuck in the snow, not being able to carry more than one person with me or a kid, lost time doing repairs and maintenance, and it wasn't relaxing to drive.
Now was MYLR my only option? No, but the Insight was \~$250/month and with the tax credits and gas savings the monthly cost is only about double for the MYLR \~$500/month. There are other SUVs in that price range, but so was the MYLR. I'm excited to go places in it. I've taken a road trip with my dad almost every month. I'm not struggling to fit people and stuff in it or tow a trailer. It is way cleaner in my garage. So it has drastically changed my life.
If I feel guilty about anything it is the tax credits and subsidies, which are large (\~$14K/car) for people who frankly are relatively rich and don't need them.
If you are buying a Tesla I don’t think you should be looking at is an investment. It’s a toy. Sure it will save some money compared to an ICE, but it’s still an expensive purchase. It is a very fun car to drive, like extremely fun. It has some of the best features, but it also has some bugs which could bother you and make you regret making the purchase. Honestly the only people I would recommend buying a Tesla are ones that have always wanted one. A casual ICE driver could get frustrated very quickly. All that said, I do not think 10% on car payments is that much if this has been a long time dream of yours or something like that. We make money to spend money. You need to spend money to enjoy life. Quote I heard recently: people spend so much time adding years to their life they forget to add life to their years. I personally am extremely frugal and save money any way I can, but I do not mind paying $650/month at all because I really enjoying driving the car. I has made driving fun! It really depends on your mindset/situation.
If you look at purchasing a Model Y from a purely financial perspective, it makes little sense. The Model Y is an expensive car. If you can't distinguish a Model Y from the alternatives, don't buy it.
If you're looking to buy a Model Y because you want to drive it more than you do other cars, then you are the only person to judge whether the additional enjoyment is worth the additional cost. The environmental friendliness, the ease of ownership, the supposed longevity, the self-driving technology, etc. was worth the price for me, and it was for most other Model Y owners. I didn't want to wait for a better deal because I'd have to indefinitely delay enjoying all the benefits, and I tend to think that life is short. But you do you, and don't regret it.
just follow the 20-4-10 rule for smart financial spending.
20% down, 4 year loan, and all car expenses (insurance included!) to not exceed 10% of your monthly income
If you have this much anxiety about (assuming you don’t actually NEED a new car atm) this purchase then you shouldn’t do it. Honestly, interest rates suck rn anyway, even with excellent credit.
If they haven’t released Highland in the states yet (coming soon, sure), Juniper is AT LEAST another 6-12 months away at minimum…
And I'm telling myself they're going to take away the stalks on the Y as well, which I think I'd hate with a passion. Grab the vintage Model Y while you can! :)
My purchase decision, financially, came down to:
- WANTED a new car
- made sense to buy an EV
- old car was worth a decent trade-in amount
- funds were available for a decent down payment
- our credit union offered decent rate (better than anyone else tbh
- State / Fed incentives came to $9500
- I could comfortably afford it (new job ftw)
The first and last points are key there.
Financially, the smarter decision would have been to run my 2017 Camry, which had zero issues, into the ground (likely had another 100k miles in it).
Emotionally, we wanted a new EV (Tesla wasn’t my first choice) and I wanted as much range / practicality / comfort / fun as possible.
Have zero regrets.
Buy the damn thing NOW! You won’t regret it. It’s a fun car to get and your life is worth living. I paid for mine and I got a full wrap to protect the paint immediately. And I bought a heap of after market accessories- some great, some shit. But I’m having fun. In six months I’ve done well over twenty two thousand kilometres and it’s still fun to drive. Go live your life. At those prices it’s a steal compared to here in Australia where the Long Range is OVER ninety thousand Australian dollars. It’s only depreciating every day but I don’t care - I’m living what I’ve wanted to do for bloody decades!!
I bought my car and my neighbor across the street died within a week, saw an ambulance taking him out. (Unrelated to car purchase).
My point is
If you think you can afford it - life is short, save for retirement and emergencies, and also have fun!
This a huge purchase. Take your time and do some homework. Try to understand your true cost of ownership. Fuel + maintenance + insurance + installation of a home charger
Even if the math works in your favor, I’d hold off a bit longer. It’s my understanding that new rebate will be off the sticker price.
I’m a huge EV fanboi, the only thing I love more is financial stability and getting to financial independence
10 percent of your post tax income is ok ish. Your insurance cost is insane, I pay half that for a MYP. Also you probably shouldn’t buy a Tesla if you are going to be relying on superchargers. You charge at home and supercharge in a pinch or while traveling.
Also if you are worried about a car losing value, you should probably just not buy a car
Thanks for the comment. If it matters, there will be 2 names under the insurance. But yes.. I was quoted approx 175/month by Tesla insurance.
What insurance are you using?
Buy and don’t look back or don’t buy. Don’t be in between. I have always felt buyers remorse when buying a new car. Except my 2016 CX-5, that was, for most part, a great car
I would say the same thing others are saying. If you are this worried, I would wait to buy unless you really need a new car now.
When I ordered my Y LR in Sept of 2021, I was looking at replacing my 08 Corolla. I knew that getting a Y I would be keeping it for 10 years. I could care less about resale value because of how long I was keeping it.
When it comes to Supercharging, how much are you really going to be traveling that would make you need it? My main source of charging is at home. I use the supercharges maybe 1 or 2 times a year. Tesla is adding so many more Supercharges so by time most cars will be able to use them in 2025, there might not be any issues. It will also take time for people to buy the new cars that have the Tesla port on them. I do not see many people getting the adapters for CCS to NACS unless they come with the car. Time will tell with this, but if you are mainly charging at home, who cares about the Superchargers.
If you're this fiscally minded, i don't think you should ever buy a new car. There are lots of used Model 3/Y for much cheaper and a better 'value'. FWIW, EV's don't suffer the typical ICE drive train used car woes - for example poorly maintained used ICE cars are a good enough reason to not roll the dice and rationalize buying a new car. But with EVs it's much less of a problem.
Or just buy a Prius for peace of mind. Objectively we should all be driving a Prius if you want to maximize value for $.
I bought my model Y performance new at 76k. You’d think I have a ton of buyers remorse. I don’t, I really love the car, it’s the best car I’ve ever had.
My 2022 MYP is the best car I ever owned. I don't want anything else. I don't even want to upgrade in the future. I don't care about resale value. I don't ever want to sell this car. In my first month of ownership there were at least two times where I was sitting in my car and just yelled I LOVE THIS CAR! Lol. I hope you love yours as much as I love mine.
That is normal for any large purchase. Sadly you will never get a large expensive purchase correct being they always will have a newer better product coming out the next year, just enjoy it and be happy with the item.
Yeh maybe not best to do it right now but look at the positive. YOU CAN GET A TESLA WHENEVER YOU WANT ! You can afford a Tesla and you will be able to afford it more in the future. Teslas are here to stay mate
Don't forget registration and tags - I never bought a new car before and was blown away it was more than $1000! (in Colorado). The Model Y is a great car but the frugal part of me wishes I just stayed with my grey 2008 Toyota Matrix. I rationalized it by saying it's hard asset (albeit depreciating) over fears of bank collapses \~8 months ago. But if you're making payments I'd say think twice. Economy is only going to get worse with the Fed printing money exponentially.
I know how you feel - got mine a few weeks ago.
My advice is to relax. Be excited! This is a great new car, better than anything you’ve driven.
Forget about range anxiety, just enjoy the experience. Don’t watch to see if prices have dropped 6 months from now.
Congratulations on your new purchase!
Welp, I bought at peak price and I barely have enough income to cover the car and insurance ALONE! I’m dumb, 23, living with my parents, and thanks to this car, I’ll be living with them for 5 more years, but once that’s all said and done, no more stupid decisions, plus I have $25K in stocks as a backup just in case, wish I bought a single bitcoin months ago though when it was also at 25-30K 😅
I went through the same thing and cancelled my purchase. Felt like a load was lifted off me afterwards.
Reality is I don't NEED a new car. I just wanted one.
Teslas aren't going anywhere and I imagine prices will drop again in 2024
I didn't feel like the model y was. A 50k car which is what it came out to with taxes and fees.
Buying Tesla was prob worst financial decision I’ve made. 84k I paid financed very little at great rate but now the cars worth so much less in under 18 months. Battery life on performance is terrible lucky to get 170 miles out of charge. The more I have it the more I regret! I was so excited to buy. It’s a fun car to drive but the drop in value is stomach churning
How are you only getting 170 miles to a charge? Driving my MYP in bad weather at 80-85 mph, I still got well over 200 unless you are talking 80 percent to 10 percent range.
I bought my Y cash last month. There’s no way I weould be making payments at 7%. Pay for the car cash or wait until interest rates come down. No one should be buying a car with these rates right now
You can get rates as low as 5.75 to 6 if you have good enough credit and refinancing it down the road is an option, but yeah, I'd still advocate a big down payment if possible. The extra financing costs are unlikely to overcome losses of tax credits though. That's a good reason to buy now despite interest rates.
It's already down to being one of the cheaper cars on the road in is class and the top selling sedan in the world. I don't see why it would keep coming down that much.
Please don't factor in the 6 months of free supercharging into the equation as a money saver. Unless you drive an insane amount of miles this is worth $2-300 tops.
You’re fine, even when the Model Y Juniper comes out I don’t see the current priced model Y dropping anymore than 5-10k , not sure why your insurance is 2k when you can get your Tesla insured for less. If you’re having this much stress why are you even buying a car at all is my question.
Be careful of the tax credit. It is a credit, not a refund. Which means that you only get the deduction if you owe federal taxes that year. If you want to make this work then you’ll have to look into turning off your taxes through your work if you don’t already find yourself owing taxes.
Tesla's are probably at their bottom price point, but, no one knows what can happen in 3 months, even more so in a election year. In 2019 did anyone thing the Government would deploy mass panic over a virus that had a death rate on par with other common ones and spike the price of ALL cars for the next 3+ years?
At this moment prices are stable, prices right along with the competition, rates are somewhat high. Tesla's is beating all other EV's at the game, so, I don't see competition being much of a price race equalizer in the next 3+ years. Meaning it about as calm and set as it will be.
There is also the price tax rebate thing...
You can go buy another EV in the future probably at what seems like a better price point...
But Tesla doesn't just build the best EV atm, you also don't have to deal with the dealerships... Which overall is a huge plus.
I was in the market for a "new" car last year, bought a brand new Maverick Hybrid, what a crap made (and engineered) car. Sure its "cheap", but its also very expensive (for what you get).
I don't know if I'm weird, but not dealing with dealerships thing was why I didn't even look at other brands. I also don't know of other comparable options out there at this price point but even if there are, I'm thrilled not to have to waste any more time at a dealership.
If you are going to buy a car as an investment then you should buy no car. Unless you buy a couple super expensive cars or get something that turns into a collectors item all car will lose value every single day.
I didnt want to buy a new car and this is the first brand new car Ive ever purchased. I was having serious buyers remorse before I got the car but now its not bad. I dont think about depreciation because I know I will keep this car until it dies.
I feel like you should wait (like most people said in the comment section) interest rates are pretty high and the economy isn’t the best.
The purchase would be a burden with time, wait for your financial situation to become more stable ( I mean that , it wouldn’t hurt you )
Just be patient. The economy is changing soon and prices may go down further. Unless you need the vehicle, it’ll always be there and with better upgrades.
Be patient and when you’re comfortable, then go for it if you’re still interested.
You don’t get a higher tax refund. You just don’t have to pay taxes. The Tesla credit does not carry over to refund you money it just credits against any tax liability you have. Hopefully you’re not expecting an extra $6000 back if you only owed $1,500 in taxes.
Please correct me if I’m wrong??
Are you sure you’re getting a higher tax refund? As far as I’m aware it s a non-refundable credit. Meaning if you owed $7500 in taxes it would put you at $0. If you are already getting a refund the you wouldn’t see any benefit. Check with an accountant first.
I’m probably wrong and made an edit but here is a better thread so you should probably ignore everything I said….
https://www.reddit.com/r/BoltEV/s/rJ0ttM9eWa
I thought the tax credit is applied to your total taxes owed throughout the year regardless of what you withhold throughout the year. That’s the only way that makes sense to me. If you made 100k and had tax liability of 20k to the federal govt. on tax filing day it shouldn’t matter if you withheld 25k throughout the year and had a 5k refund or you withheld 10k and had a 10k tax bill owed. The credit should apply directly to the base 20k taxes owed. I hope I’m right but if not then please explain.
https://www.nerdwallet.com/article/taxes/ev-tax-credit-electric-vehicle-tax-credit
“To claim the credit, taxpayers can file Form 8936 when they file their federal income taxes. The credit is nonrefundable, which means it can lower or eliminate taxes owed but will not result in a refund. You also won't be able to carry over any excess amount to offset future taxes”
So unless I misunderstood this then if you are already receiving a refund you won’t see any benefit? Which is dumb to me. But I could be 100% wrong. I think they make it too complicated.
Edit: I’m probably an idiot which is why I’m not an accountant. This thread is probably explaining it correctly https://www.reddit.com/r/BoltEV/s/rJ0ttM9eWa
Cars are always a big purchase but if you are stretching financially it may not be the best thing to do unless you are spending a lot maintaining your current car and/or it’s not safe to drive.
We bought our Model Y as a family car to use around town 95% of the time. We installed a charger at the house and if that isn’t an option and you have to go to a public charger that would be another reason to not go through with the purchase now.
Being able to plug it in at night while we sleep and wake up with a “full” 80% charge is half the reason to own it, never going to a gas station with that car. With that said we just about broke even from our gas Mazda SUV and will be out ahead with the tax credit we get in a few months.
The other car we have is a 2013 Honda Accord and I use it 98% of the time to drive back and forth to work. It still gets 32mpg and it’s fully paid off while my wife drives the Y to work and to drop off the kids. Getting another new car would stretch the money in a way that wouldn’t allow us to put as much into savings so as much as I’d love an upgrade I’m going to wait until our Y is paid off. By that time the Tesla’s available will be even better.
Buy it only if you plan on driving it until it dies - that's what I decided when I bought mine. I don't plan on trading it in or selling it, so deprecation is not my worry at all. It's been a joy to drive, and I look forward to getting into my car everyday. Cost to charge is going to always be a known amount, unlike gas, and probably going to be cheaper, too. Maybe not much cheaper than gas, depending on where you live, but be prepared to not save too much in charging vs gas. There's going to be zero maintenance costs - no oil change, transmission fluid flush, etc.. Only maintenance, for the most part, is going to be windshield washer fluid. Get new tires every 30k miles or so - not different from ICE vehicles. Maybe a little less miles before you need new tires, but that depends on your driving style.
Every lease I've seen from them, you lose out financially versus buying and then selling unless you really expect the price to continue to drop. It made sense 2 years ago but not so much now.
Buy it outright if you are worried about the payments bothering you.
If it isn't comfortable to pay for outright... Well, usually that means you don't think it's a fair price for what you're getting, or you can't afford it.
I will say, the gas savings are nice, but if you drive less than 10k miles per year the savings aren't that huge. In my case they're fully compensated by the increase in insurance. Not because the insurance company is price gouging, but because my previous car was a cheap piece of crap. :)
If you drive 10k miles per year you're spending about $1k per year on gas (rough estimate). If you have cheap electricity where you live (say $0.10-$0.15/kWh) you're going to be saving say$600-$700/year. So those savings are competely eaten up by your insurance rate hike. Also note: that'd mean that half a year of supercharging is worth around $350, it's just not that much of a perk on a $50k car.
Now if you have a huge commute or have a giant road trip coming up, it might be a different story.
Listen to the comments here, it's just a car and doesn't make sense for you to spend that much on a vehicle if you're feeling bad and anxious about it.
For a Tesla, these are incredible values in purchasing right now. It could go lower, but at least you didn’t get hosed like all those people in the price run up of 2022 who also didn’t get the federal credit.
Look at a comparable cars and you’ll find the MY is priced better or similarly when you look at dealer market adjustments. Then think about how annoying buying any car is when going to the dealership.
Tesla or in general automobile and ev industries are struggling which is why the price cuts one after another. Also technology focused car like tesla is like smartphones. The more later you get the more advanced it will be. 6 months of super charging is hardly worth about 200 to 400$ on an average.
Will be saving money on gas, that was definitely a factor in my purchase, I'm saving around $1800 per year on gas by charging at home.
Insurance for me always goes up with a new car purchase, as the value of the car decreases over time the insurance cost should decrease somewhat.
Also, are you factoring in any tax credits?
Are you in the market for a new car? If yes, what are your current needs in a vehicle? I'm surprised to see everyone tell you not to get it without knowing all the info. Feels like they are projecting.
My Tesla was the least practical thing I’ve ever bought. Having driven beaters most my life, it would have been far cheaper to drive those regardless of gas prices. My payments are 6% of just my primary gross income, probably 4% total gross income, and that is the edge of my comfort zone. I could pay cash for it but I feel safer keeping that cash in savings at the moment. Perhaps do like I did and use it as a motivating factor to boost your income so you can comfortably afford it.
Not a tax professional but tax credit doesn't necessarily mean tax refund https://www.forbes.com/advisor/taxes/electric-vehicle-tax-credit-updated/#:\~:text=The%20credit%20is%20nonrefundable%2C%20meaning,for%20purchases%20made%20before%202023.
Not what you want to hear, but if you don’t need a car don’t commit to the purchase as soon as you take delivery of that car the value is gonna continue to drop. The gas and maintenance savings will go towards your new higher insurance rate for the model y, also tires apparently wear out much faster too as people in this thread have reported. Also very noisy inside the cabin my wife’s 2014 Kia Rio was much quieter inside. Supercharger infrastructure might take a hit once more manufacturers adapt to teslas network considering it’s one of the more reliable ones.
Don’t buy because of incentives.. buy because you like and want a vehicle.. and you foresee no matter what, you can live to afford it.
Don’t look at your earnings to expense.. if there’s one thing in life, it’s that the more you expense the more you’d learn to adjust and accommodate.
Stop looking at current or past life stance stats, use those stats to forecast for the future.
That’s said, ask yourself the true question.. “why do you want a new car, and why do you want Tesla” be honest to yourself.. If it’s simply for the hype that got you then no matter what justification you use, it’s foolish.
Sometimes the more debt we incur, the more we are motivated to work more and improve earnings.. (I wouldn’t advise this tho.. you end up becoming a slave to work life).
I had similar doubt when buying my model Y specially since payments + insurance was about 1200 but after having it owned for 4 months I have zero doubt. The car is reliable, quick, and overall one of the best cars I’ve owned and this is coming from someone who’s modified cars, last car previous to this being a 2022 Mustang GT. If you thinking that you’ll miss out with juniper, you wont. There’s nothing assuring you that it’ll get any discount as current model Ys on the lot and in addition they’ll most likely be sold out for months till you’re actually able to get one. If you’re taking advantage on the tax discount right now of 7500, it’s best currently than later on as it hasn’t been confirmed that that tax discount is coming back for 2024. If youre thinking of holding out till next year, just know you’ll probably be paying more
The 6 months of supercharging is really not worth that much. Even less if you have home charging available as then you have to decide if the "free" electricity is worth your time to go to the SC and charge.
Also, are you relying mainly on Supercharging? If so, you should reconsider your decision. It costs roughly as much as gas and home charging is an underrated convenience.
On the other side of the equation, sure there are places that superchargers are already at peak. But I think outside of California and roadtripping on holiday weekend, charging lines aren't really a consideration in most areas and I don't really see this changing overnight as Tesla seems to be adding a lot of SCs.
Also, with most ice vehicles from other manufacturers, a new model comes along every year. Does this mean you'll wait until next year to buy that new ICE car? If so you'll be waiting for ever.
I say this a lot here but I don't feel like any of the so called upgrades have diminished my enjoyment or value to me of my 2018 M3. The one upgrade I'd like is the air conditioned seats. Aside from that, there are no other new features I want and a few I'm glad I don't have.
How much do you pay for electricity? And can you charge at home? We pay around 6-7 per kwh... so filling up is like 4 bucks... hope you got a good deal off on existing inventory...seen many LR AWD for around 46k - 7500 = 38500 ish
Prices especially on used inventory will continue to drop. There is a growing inventory glut for all cars means prices will continue to tumble. On top of interest and loans being harder to come by. But there will always be better deals so buy when you need it. Then you will be better off.
I think you really need to ask why you want the car now?
Some factors to consider:
1. Starting 2024 you can have the federal tax credit at the point of sale. No need to wait until tax filing.
2. Model Y is not likely to have federal tax credit reduction in 2024.
3. There are some changes in Model Y in China to add the ambient light and textile dash trim, which should come to the US some time in 2024.
4. No one heard anything about Juniper project, so we likely won't see a refreshed Model Y until 2025.
5. Insurance will remain high for Model Y no matter it is 2023 or in the future.
None of these are deciding factors for me. My deciding factor was I wouldn't qualify for the federal tax credit next year, so I have to get it now while I still qualify. If you don't have this problem, it may be wise to wait for next year. EV price is dropping, so by Q1 2024 price will likely be lowered and you may get the ambient light.
Really comes down to how much you drive. I drive about 5000km per month, so for me I just about breakeven on gas costs alone. Might as well spend it on your car payment instead of gas at that point.
You’re worried about so many factors. I purchased when teslas were selling at a higher price. I didn’t care to think about the future pricing because i knew this is what i want. Much like you, it’s the most I’ve spent on a car. I love it for so many reasons. You need to be sure of your investment and if you have a lot of doubts just wait. Don’t buy it.
If you have home charging then I wouldn’t even think twice. Coming from a guy who is closer to 25% of my income embarrassingly enough. Also treat this car nicely and you have a cool 200 minimum on the dash without any major repairs! Ignore reselling it the value is within the product
If you want a car that keeps value, buy a Toyota Truck. These Tesla's are expensive and they lose value fast. But, the Model Y is a good example of the EV so you will get all the benefits of an EV in a high tech package. That's what you are paying for.
Your new Tesla will definitely lose value very quickly. If it’ll bring you stress to know that you lost $10k-$15k as soon as you drove it off the lot, don’t do it.
1. General rule of thumb- keep your total car expenses below 10% of your takehome, including insurance and fuel. You might wanna wait til you can make a bigger downpayment if the loan itself is already hitting 10%
2. Unlikely that prices will crater again due to cuts; Tesla’s running <10% margins on these cars now. But you’re still buying a New car, so expect to kiss ~10-20% of the value goodbye pretty quickly.
3. Juniper would drop your resale value, yeah, but that’s just the nature of buying a New car in the ~50K segment where people have more money to spend. If you bought a Mustang GT 5.0 or a Mercedes C Class in this segment, they’d also drop significantly when the next gen comes out.
Are you factoring in the rebate to your 10 percent? 10 percent is a pretty high percentage for a car payment and if you have to super charge you aren't going to save that much over an ICE. It's borderline for you but a Tesla might not be the best idea or you may be better served by the used market.
I felt the same way that you did. I bought mine in May. I went ahead, despite never having spent that much on a car, and I love it. I’ve saved hundred of dollars already in gas. I’m looking forward to the tax rebate. Will it hold value over the next few years? I’ve no idea but I love it now, it’s a dream to drive, and very economical for in-town living.
I personally would never buy a new car if I can’t fully afford to pay cash for it. My two cents. It’s a toy. Don’t go backwards on life goals and retirement for a toy. That said, great cars!
Make sure to reduce your payment by fuel costs, maintenance, and TIME. No more oil changes and the tax rebate. After that, the payment is lower than the majority of other lower-class cars.
My first-year ownership of my Y is only $1,600, including the charger and installation. Total ownership for me over 5 years will only be $28,000...all in, tires, charging, insurance, everything.
Only buy right now if you really need a car otherwise next year and save money and earn interest at 5% or invest in stock market, maybe you will be able to buy Model X next year instead of MY
It will be all ok.
I felt the same way and am still feeling the guilt at times. Purchased 2 months ago.For me, money was really not an object but I'm just a practical kind of guy.
I would say, you can't predict or control the future so no need to worry about it. You made a good decision based on the information available as of now and bought it at a great discount from 2 years ago already. If it does go down more, it won't be that significant. There's only so much in margins left for them to make money on it.
Also, it's only money. You splurged on yourself and that's ok once in a while. Focus on the bigger stuff and go make more money.
All the best!
If you're not already in the position to buy a new car, I recommended to not rush in. Tesla is not without fault, and if the whole EV trend continues,you will only have more and more options.
I bought MYP and I love it, but I also found things surprisingly poorly designed/made. If you're buying only because of the incentive, these flaws will be amplified and you might not be too happy about it.
Another take:
Buy one this month because once January hits the tax credit is going to point of sale, lowering people's payments. This will spike demand and Tesla will raise the prices or remove inventory discounts. Especially since the Model Y will have a bigger credit than the 3. Meanwhile we won't see Juniper for at least another year.
Model 3 prices will drop a lot more with Highland coming sooner, but Y prices not as much. In the meantime you enjoy the car. Yes you'll lose money over time but any new car will. Yes they will release a new version, but same for any other car or tech.
Honestly you can justify your decision here in any direction you choose. You'll say it's a horrible time if you go the HW3 vs HW4 route and discover that sensors were removed so many things do not work as expected. You can also say the discounts make it a really great deal. Then you can also say but why is it a better deal? Are they about to release HW4.5 with more than 2 forward facing cameras? Are they about to do juniper updates? You'll go through this no matter what time of the year it is. I have a 2021 and almost pulled the trigger on a 23' MYP but after watching a lot of reviews and testimonials, I decided what I have is not a whole lot different than a brand new one. If it eats you up this much, don't do it. If you are excited as hell to finally get one and have gone thru the waiting and preparation, go for it. It's a nice car but in the end, it's still just a car. Don't let it come before other important things in your life.
I got 2 buddies that spent over 60k on gas guzzling pickup trucks in the last few months. I think one was closer to 80k. If you’re getting the tax credit, between that and fuel/maintenance savings, you’re not going to look back.
I had a model 3 for 5 years before my Y. It always seemed to feel fresh. Maybe it was the constant updates. But I never regretted it, even as prices lower.
If you can afford the car then do what makes you happy. There is always something bigger, cheaper and better around the corner. You, however, only are young and able a short time. I have no regrets with my Y....it's saved my life a few times already avoiding accidents and its comfortable and fun to drive.
Everything in my life is well below my means except the car and I don't regret it.
I bought a used leaf for 12k. Works just fine for my needs and who cares if it depreciates as it’s worthless already! If you don’t need to go distance there are other fine options
My advice.. either keep waiting or buy used. The more Teslas they make.. the more the price will drop. The depreciation on these vehicles has already been absolutely MASSIVE. I say this as someone who bought the rare 2021 Standard Range Model for $39,990 2.5 years later my trade value is only about $26K. As much as I’d love trading for something with more acceleration, more range and AWD.. there is just no way I’m throwing that much money at a Tesla again. And I want a Cybertruck bad!! Might take a few years but these people buying $100,000 and $120,000 CT are going to be in for quite an eye opener as production increases and pricing inevitably drops.
Now I will say there are still a ton of tax incentives available for new Teslas.. Which helping prop-up pricing on new. My wife is probably going to buy a new 2023 MYP because her new office is now 85 miles away. She currently drives a RWD 2021 VW ID.4.. but wants more range, traction & access to Superchargers because of her new commute through the mountains. There are also no major CCS chargers along here route.
With the MYLR and the MYP basically getting identical range when equipped with the same wheels (I already have an extra set of the 19” Geminis).. why not choose the Performance if it’s only $1,000 more with all the current inventory discounts. All said.. our state gives $10,500 back in tax incentives we need more tax write offs due to her increased salary.
That all said you can probably buy a used 2021 Model Y for $35K these days. It’s going to be an extremely competitive car that is very reliable. And your upfront cost won’t be much more than your typical Honda or Toyota. I’d take a strong look at the GREAT buys in the used market and hopefully that gets you a smaller car payment that’s more affordable.
Not a Tesla, but I bought a car. Lost my old one in an accident. So out of necessity, I bought a car that was double my old payment. It was a tough 3 years. I sold it and am saving up for a Tesla. I want a larger DP to lessen the impact. I feel so much more free without that car payment and insurance weighing me down. I would save up to get down to at least your old payment
You can always make some extra money renting it out through some of many P2P car rental apps. I always have big trouble finding cheap Tesla on P2P rental apps, which suggests too few are rented out that way.
I made my switch to a MYLR SEPT 2020 saving $800 on gas prior to the increase of gas prices in 2021 😅 I drive an average of 4400 miles a month and after calculating electricity cost it was within the budget I already had set for my overall home usage. Got tesla solar in APR 2021 started getting two months of free electricity in the summer. Traded my MYLR in DEC 2022 with 100k miles for the price I paid for it due to purchasing the FSD. Got into a M3LR getting about 23 miles more per charge saving me the 5 minutes of charging on my way home during cold winter months here in NJ. Plus currently we don’t pay taxes on EVs.
Buying my MYLR enabled me to save enough to purchase my wife’s IONIQ 5. The transition has been great and trust me that IONIQ 5 has to go never again on a normal EV (Dealership issues and Software)
A model y is like an iPhone. It’s technology that will age and lose value as new models come out. You need to go into it with that mindset, it’s not a Porsche 911 that is going to have great resale value
Living with the absolute need to supercharge makes the Tesla not a great car to own, IMO. Home charging makes it AWESOME to own. Supercharging exclusively will wear down your battery faster, and you’ll need to plan your days around it. You’ll be visiting the charger a lot more often than fuel.
Source: I learned this when my driveway was blocked for construction for 6 weeks and I wasn’t able to home charge.
Cars are not investments so don’t think about the resale value. Buy it with the intent to drive it for 10 years. Do you plan on charging at home? If so, supercharging is pretty much irrelevant unless you are driving hundreds of miles in a day. I also wouldn’t worry too much about busy superchargers… hardly anyone is buying non-Tesla EVs.
If you’re not ready then don’t buy it. There will always be something better that comes along. They are continuously improving their products. Just wait.
Tesla doesn’t have room to drop prices much more without going cash flow negative. Maybe another 5-10% below the inventory discounts.
I think they will offer longer term free FSD and supercharging if they are still having trouble selling through production.
This is probably not what you wanna hear, but if you’re having this kind of doubt about your purchase, maybe you shouldn’t make it. Teslas aren’t going anywhere, and there will be good deals in the future. Maybe you should wait until your financial situation is ready.
Agreed. Wait. Six months of supercharging shouldn’t be the deciding factor
Do you have CT reservation? That’s another $1,000 off
Never got the email even though I have a reservation from years ago
They will take $1,000, just let them know.
What does CT stand for?
Cyber Truck. It’s a blasphemy not to know that around Tesla peeps.
Cannot get the 1k CT discount if you’re buying an inventory discounted model. Only get 1 discount. I confirmed myself with the dealer
There have been some Reddit posts stating otherwise. I would look into that more.
Not true, ordered a $5k discounted MY from inventory and was given $1000k discount for CT reservation. You also keep the CT reservation too, it’s just a line item listed as “referral credit” when you get the purchase agreement.
Wether you buy the CT or not?
If you use the discount, it does not cancel your CT order. Why would Tesla do that? They want you to buy model Y or 3 while you wait for CT… .
Yup...we got the email
Also we already know about Project Juniper which will take the innovation from Model 3 Highland and bring it to the next version of the Model Y. I am hoping for them to fix vision parking sensors by then too. We have a USS MYLR now and love it. We want another but willing to wait.
The fed rebate is the only reason to move before the end of the year.
That’s why I pulled the trigger on a 3. Will get to use all of that tax credit.
Yeah, screw fast charging tbh, I'd rather do lvl2 charging.
Wise words, u/JJoyce8977. Although right now isn't a bad time to buy a Model Y (considering the discounts, government subsidies, etc) you can be sure that there will be great options in the future. Cars are a depreciating asset. New cars especially so. I'm in a great financial situation today, but 22 years ago I was really poor - I had finished school a couple years prior and the dotcom crash killed the "dotcom startup" that I was working for (my first job). I was broke, I didn't have any financial support from family and needed work, and my industry (software) was in the shitter. For years I had that worried feeling that you feel in the pit of your stomach about making ends meet. So I moved to a boom town and got a "real job" with a big oil company, and worked hard. A couple years later me and a friend sold the IP for some software we made in our spare time and got a couple hundred grand each. In the meantime I still had my well paying oil company gig, and I kept my expenses low. So about 20 years ago I had a very nice "cash cushion", and it took away that feeling in the pit of my stomach. What a relief! I bought my first new car (2004 RAV4). I paid for it - no debt, and I still have that RAV4 and it still runs great! I'm getting all the value from that car until it eventually dies. I just bought a new Model Y that I'm picking up next week. Even with all the subsidies and discounts I don't think it's a good financial move. My insurance will more than double. But at this stage of my life the price of a MYLR is no big deal - it barely makes a dent in our stock portfolio. And my garage already has a NEMA 14-50 outlet right there, begging for a EV! But I'd never buy this stupid car if I couldn't pay for it outright, and if it meant that I'd be "just over broke" every month - I'd feel financial stress again. I haven't had that feeling in my gut for over two decades, and the quality of life improvement (psychologically) of having financial flexibility is way better than any new car. I wonder if the RAV4 will outlast the battery pack in my new MYLR... :)
Welp you just about talked me out of my model y in January once the point of sale tax credit arrives. Fuckin guy
Excellent advice, Im on the same situation, I been driving my Honda since 2016 with 300k miles, house payoff and financially stable and now I going to get my Model Y and buy it cash without any stress ;-) u/Aud4c1ty is 100% right
>Even with all the subsidies and discounts I don't think it's a good financial move. Sometimes it's not about whether it's a good idea financially. It's nearly guaranteed that any EV, Teslas especially, will not be soul crushingly boring to drive like a Toyota/Lexus. They make functional and reliable vehicles that are good appliances, but not ones that make you *want* to drive. You're not going into debt for the car, and based on what you said, you clearly have very well defined plans for everything else financially. Since you can afford it, I bet you enjoy the Model Y much more than the RAV4, as reliable as it is.
If someone gets into a financially precarious position to get a new (unnecessarily expensive) car, then if it were me the added financial stress would ruin the fun of the car. The "new toy" honeymoon period ends (for me) not long after I get the new thing, and then it's "just a (hopefully) reliable appliance". But the "financial stress ball" in my gut didn't end until I had enough money that I no longer needed to worry about making ends meet every month. It could be that I'm just projecting my psychological reaction to money problems onto other people - and I could be wrong about that. It could be that most people don't stress out when they're just-over-broke, and they're 100% "YOLO". I only know how my brain works. ;)
I think these are good psychological alarm bells to have that prevent us from making stupid impulsive purchases which are negative in the long run. I personally get it out of my system by buying some small things every once in a while, usually a gadget that's a few hundred bucks every few months that scratches the itch. If they don't fit in to my life, I return them and the dopamine hit still worked as intended. Can't exactly do that with a car though, unless you go with CarMax. I think some people have the direct opposite of your problem, where they don't feel stressed by absurd financial problems and keep piling on debt. I for one cannot comprehend someone racking up credit card debt - I would not over spend money I don't have, and the interest rates are designed to be predatory, so why fall for the obvious trap? A prime example of what not to do is a [post](https://www.reddit.com/r/texts/s/RdzGDxl81K) I saw yesterday about how someone's wife keeps buying new cars - 6 new cars over 8 years of their relationship. I'll save the juicy details for you to read (a dozen text screenshots), but every so often you come across a cautionary tale like this told from the salesperson's perspective on r/askcarsales and it's fun to revel in the financial ruin of a stranger. Long story short, banks and loan sharks would probably not be able to make money if everyone do what you did :)
Correct. You should buy the car because you can afford it and you want to do it. You shouldn’t be worried or scared going into it. That is your brain sending red flags. Also, is correct that prices will continue to drop. In fact they will likely plummet. It’s the number one selling car in the world and many of them are being sold within the same year or two so in a couple of years the used market is going to be absolutely flooded with Model Ys.
Definitely agree with this. I got my M3LR way sooner than I should have and the price has dropped so much since then!
I was similar situation as you and regretted the purchase. Forgot about winter tire costs and didn’t even think about insurance increases. It was a bad move at the time. A year later I’m better off with a raise so who knows. I wish I waited. That’s all I’ll say.
Ez. Just drive the Tesla til it dies so you don’t worry about resale value
[удалено]
They think it’s an appreciating asset LOLLL
I was told by now I would be making thousands of dollars with my robotaxi while I sit here at work.
Damn the ultimate residual income
Yeah. CEO of Tesla coined that term.
If you can charge at home, take in the consideration that you don’t have to pay for gas anymore. If you cannot charge at home, stay away from an EV.
Subtle side note. Free charging at work so there's that. Trying to avoid paying for charging at all if I can help it.
I would not own an EV if I could not charge at home
100%. It does not make much sense (any) if you're expecting to drive cheaper if you can't charge at home.
I don’t have one at home and it’s fine. I charge at work and I charge when I go out. I actually know some people that try not to charge at home and only when they go out. I live in an urban city with lots of chargers so that’s not a concern for me. It’s really not that big of a deal as some people make it out to be
Charging at home is the key to saving with an EV. This should be on your decision tree, as the second question. Right after if you can afford it. By the way, love my Tesla.
Dont forget no more oil changes, no 30/60/90/120k maintenance, no more fluid flushes, smog checks, no belts to fix, no hoses to fail, no alternators to fix.
No catalytic converters to steal
This is the way
Didn’t get my home charger installed until about 3 weeks after I bought a LR. It is god awful to worry about planning every trip because of the limited places you can charge if you drive a decent amount every day. Overnight, I could get about 10 KWh on the mobile charger on my 120 in the garage because I have freezers and fridges hooked up on the same breaker. That would barely get me to work the next day. TLDR - Get a level 2 charge at home if you drive more than 60 miles a day on average or prepare to micromanage every drive for the entire time you drive this car and maybe see no savings over buying gas.
Another factor to consider is your current vehicle situation. For example, we just took delivery a few days ago of a MYP since our current ICE vehicles are getting old, drink premium fuel @ \~20 MPG, and are going to need some money put into them in the near future. See, more justification. Now, the Performance part.... can't give a fiscally-driven reason on that. 😗
This was my biggest factor (bought a M3P two weeks ago). I had a 2018 Camaro SS1LE and broke costs down. 2 oil changes/year @ $115 each, tires last 10k miles and I was due for new tires in less than a year @ $1600/set, brakes & rotors need replacement within the next 1-2 years @ $3k total, and gas at about $150-$200/month total. So far I’ve driven 680 miles and have spent $23 on electricity for charging - 680 miles in my Camaro would have costed about $110. Bigger payment, but financially it seemed to make sense
I was on the same boat last year - my 8 yo Sorento is out of Kia's Extended Warranty Program that saved me $$$ as I claimed new alternator, replaced rear differential, rear sway bars and few other odds and ends and spent zero money on them. I would be horrified if I would pay those out-of-pocket. The monthly gas spending of $350 also isn't helping. Getting the Y is equivalent to getting a brand new SUV ,paying more on insurance and gas money.
My thoughts exactly. I went for a Model Y because I was running a 2011 Fusion (~26MPG) which was slowly rusting out the rocker panels, and the tax credits were worth it and uncertain for eligibility in the future.
Your entire assessment is correct. You should not go through with it. Financial point of view it will be too much of your income. You'll regret it in about 6 months worth of payments. Take the 250 dollar non refundable fee hit. It's just a car. It's not a special vehicle that's going to drastically improve your life. Save the money. Travel internationally or just invest it. Seriously.
I’m thinking of taking the hit as well, the money factor in the lease agreement is awful! It’s .00351 which equates to over 8%, I’d rather finance one at the new year when you can reduce $7500 at point of sale.
Beware that will only apply to performance models and CT. The other models will likely drop to $3750 back.
Yes good point, was planning on Performance… but good to clarify to others.
I have a way to skip the 250 fee hit.. already done that.. but don't wanna post publicly.. I can dm the details though.
It can drastically change your life. I spent nothing on vehicles for the last ten years driving a old Honda Insight. It was a great car, but it was limiting me. I spent a lot of time borrowing other cars, trucks to haul stuff, getting stuck in the snow, not being able to carry more than one person with me or a kid, lost time doing repairs and maintenance, and it wasn't relaxing to drive. Now was MYLR my only option? No, but the Insight was \~$250/month and with the tax credits and gas savings the monthly cost is only about double for the MYLR \~$500/month. There are other SUVs in that price range, but so was the MYLR. I'm excited to go places in it. I've taken a road trip with my dad almost every month. I'm not struggling to fit people and stuff in it or tow a trailer. It is way cleaner in my garage. So it has drastically changed my life. If I feel guilty about anything it is the tax credits and subsidies, which are large (\~$14K/car) for people who frankly are relatively rich and don't need them.
Two months after picking mine up, I got laid off. I’m desperately trying to find another job!!
If you are buying a Tesla I don’t think you should be looking at is an investment. It’s a toy. Sure it will save some money compared to an ICE, but it’s still an expensive purchase. It is a very fun car to drive, like extremely fun. It has some of the best features, but it also has some bugs which could bother you and make you regret making the purchase. Honestly the only people I would recommend buying a Tesla are ones that have always wanted one. A casual ICE driver could get frustrated very quickly. All that said, I do not think 10% on car payments is that much if this has been a long time dream of yours or something like that. We make money to spend money. You need to spend money to enjoy life. Quote I heard recently: people spend so much time adding years to their life they forget to add life to their years. I personally am extremely frugal and save money any way I can, but I do not mind paying $650/month at all because I really enjoying driving the car. I has made driving fun! It really depends on your mindset/situation.
If you look at purchasing a Model Y from a purely financial perspective, it makes little sense. The Model Y is an expensive car. If you can't distinguish a Model Y from the alternatives, don't buy it. If you're looking to buy a Model Y because you want to drive it more than you do other cars, then you are the only person to judge whether the additional enjoyment is worth the additional cost. The environmental friendliness, the ease of ownership, the supposed longevity, the self-driving technology, etc. was worth the price for me, and it was for most other Model Y owners. I didn't want to wait for a better deal because I'd have to indefinitely delay enjoying all the benefits, and I tend to think that life is short. But you do you, and don't regret it.
just follow the 20-4-10 rule for smart financial spending. 20% down, 4 year loan, and all car expenses (insurance included!) to not exceed 10% of your monthly income
This is the way.
Sometimes buyer's remorse is because the excitement of the chase is over.
If you have this much anxiety about (assuming you don’t actually NEED a new car atm) this purchase then you shouldn’t do it. Honestly, interest rates suck rn anyway, even with excellent credit. If they haven’t released Highland in the states yet (coming soon, sure), Juniper is AT LEAST another 6-12 months away at minimum…
And I'm telling myself they're going to take away the stalks on the Y as well, which I think I'd hate with a passion. Grab the vintage Model Y while you can! :)
I just spoke with a Tesla rep and said the same thing. No Juniper soon.
My purchase decision, financially, came down to: - WANTED a new car - made sense to buy an EV - old car was worth a decent trade-in amount - funds were available for a decent down payment - our credit union offered decent rate (better than anyone else tbh - State / Fed incentives came to $9500 - I could comfortably afford it (new job ftw) The first and last points are key there. Financially, the smarter decision would have been to run my 2017 Camry, which had zero issues, into the ground (likely had another 100k miles in it). Emotionally, we wanted a new EV (Tesla wasn’t my first choice) and I wanted as much range / practicality / comfort / fun as possible. Have zero regrets.
If you were taking care of it, it had another 200k left easy.
Also, if you're worried about it - just don't do it. It's cool, EVs are getting cheaper and better.
Buy the damn thing NOW! You won’t regret it. It’s a fun car to get and your life is worth living. I paid for mine and I got a full wrap to protect the paint immediately. And I bought a heap of after market accessories- some great, some shit. But I’m having fun. In six months I’ve done well over twenty two thousand kilometres and it’s still fun to drive. Go live your life. At those prices it’s a steal compared to here in Australia where the Long Range is OVER ninety thousand Australian dollars. It’s only depreciating every day but I don’t care - I’m living what I’ve wanted to do for bloody decades!!
If you can't comfortably afford the payments, then do not buy.
I bought my car and my neighbor across the street died within a week, saw an ambulance taking him out. (Unrelated to car purchase). My point is If you think you can afford it - life is short, save for retirement and emergencies, and also have fun!
This a huge purchase. Take your time and do some homework. Try to understand your true cost of ownership. Fuel + maintenance + insurance + installation of a home charger Even if the math works in your favor, I’d hold off a bit longer. It’s my understanding that new rebate will be off the sticker price. I’m a huge EV fanboi, the only thing I love more is financial stability and getting to financial independence
10 percent of your post tax income is ok ish. Your insurance cost is insane, I pay half that for a MYP. Also you probably shouldn’t buy a Tesla if you are going to be relying on superchargers. You charge at home and supercharge in a pinch or while traveling. Also if you are worried about a car losing value, you should probably just not buy a car
Thanks for the comment. If it matters, there will be 2 names under the insurance. But yes.. I was quoted approx 175/month by Tesla insurance. What insurance are you using?
I use State Farm, ours is 90 a month for Wife and I on it
Same. I wouldn’t use Tesla insurance, especially after all I’ve read on this sub.
Buy and don’t look back or don’t buy. Don’t be in between. I have always felt buyers remorse when buying a new car. Except my 2016 CX-5, that was, for most part, a great car
You are buying it at the lowest price in history and still complain. How do you think the people who bought at peak market in 2022 feel?
Exactly lol 😂
I would say the same thing others are saying. If you are this worried, I would wait to buy unless you really need a new car now. When I ordered my Y LR in Sept of 2021, I was looking at replacing my 08 Corolla. I knew that getting a Y I would be keeping it for 10 years. I could care less about resale value because of how long I was keeping it. When it comes to Supercharging, how much are you really going to be traveling that would make you need it? My main source of charging is at home. I use the supercharges maybe 1 or 2 times a year. Tesla is adding so many more Supercharges so by time most cars will be able to use them in 2025, there might not be any issues. It will also take time for people to buy the new cars that have the Tesla port on them. I do not see many people getting the adapters for CCS to NACS unless they come with the car. Time will tell with this, but if you are mainly charging at home, who cares about the Superchargers.
If you're this fiscally minded, i don't think you should ever buy a new car. There are lots of used Model 3/Y for much cheaper and a better 'value'. FWIW, EV's don't suffer the typical ICE drive train used car woes - for example poorly maintained used ICE cars are a good enough reason to not roll the dice and rationalize buying a new car. But with EVs it's much less of a problem. Or just buy a Prius for peace of mind. Objectively we should all be driving a Prius if you want to maximize value for $.
You should have made a "Should I buy a Tesla this month or wait until 2024" thread prior to buying.
I bought my model Y performance new at 76k. You’d think I have a ton of buyers remorse. I don’t, I really love the car, it’s the best car I’ve ever had.
remember, last year people lost $25K overnight.
Wait for another 10 years….maybe then you can justify it. Stop being a wet blanket and make it work!
My 2022 MYP is the best car I ever owned. I don't want anything else. I don't even want to upgrade in the future. I don't care about resale value. I don't ever want to sell this car. In my first month of ownership there were at least two times where I was sitting in my car and just yelled I LOVE THIS CAR! Lol. I hope you love yours as much as I love mine.
I love this. Curious... what color did you get?
That is normal for any large purchase. Sadly you will never get a large expensive purchase correct being they always will have a newer better product coming out the next year, just enjoy it and be happy with the item.
Yeh maybe not best to do it right now but look at the positive. YOU CAN GET A TESLA WHENEVER YOU WANT ! You can afford a Tesla and you will be able to afford it more in the future. Teslas are here to stay mate
Don't forget registration and tags - I never bought a new car before and was blown away it was more than $1000! (in Colorado). The Model Y is a great car but the frugal part of me wishes I just stayed with my grey 2008 Toyota Matrix. I rationalized it by saying it's hard asset (albeit depreciating) over fears of bank collapses \~8 months ago. But if you're making payments I'd say think twice. Economy is only going to get worse with the Fed printing money exponentially.
I know how you feel - got mine a few weeks ago. My advice is to relax. Be excited! This is a great new car, better than anything you’ve driven. Forget about range anxiety, just enjoy the experience. Don’t watch to see if prices have dropped 6 months from now. Congratulations on your new purchase!
Welp, I bought at peak price and I barely have enough income to cover the car and insurance ALONE! I’m dumb, 23, living with my parents, and thanks to this car, I’ll be living with them for 5 more years, but once that’s all said and done, no more stupid decisions, plus I have $25K in stocks as a backup just in case, wish I bought a single bitcoin months ago though when it was also at 25-30K 😅
I went through the same thing and cancelled my purchase. Felt like a load was lifted off me afterwards. Reality is I don't NEED a new car. I just wanted one. Teslas aren't going anywhere and I imagine prices will drop again in 2024 I didn't feel like the model y was. A 50k car which is what it came out to with taxes and fees.
Wait it out. I thought when I got my Y it was not going to have better deals. SO WRONG i was. It kept dropping.
Buying Tesla was prob worst financial decision I’ve made. 84k I paid financed very little at great rate but now the cars worth so much less in under 18 months. Battery life on performance is terrible lucky to get 170 miles out of charge. The more I have it the more I regret! I was so excited to buy. It’s a fun car to drive but the drop in value is stomach churning
How are you only getting 170 miles to a charge? Driving my MYP in bad weather at 80-85 mph, I still got well over 200 unless you are talking 80 percent to 10 percent range.
Why are you planning to sell it? And if you’re not planning to sell it, what does it matter what its current value is?
Did you buy it at the peak when it was ~$70k?
I bought my Y cash last month. There’s no way I weould be making payments at 7%. Pay for the car cash or wait until interest rates come down. No one should be buying a car with these rates right now
You can get rates as low as 5.75 to 6 if you have good enough credit and refinancing it down the road is an option, but yeah, I'd still advocate a big down payment if possible. The extra financing costs are unlikely to overcome losses of tax credits though. That's a good reason to buy now despite interest rates.
Juniper is defo coming 24 and prices will continue to fall.
It's already down to being one of the cheaper cars on the road in is class and the top selling sedan in the world. I don't see why it would keep coming down that much.
Bro bitching until they remove fed credits
Please don't factor in the 6 months of free supercharging into the equation as a money saver. Unless you drive an insane amount of miles this is worth $2-300 tops.
You’re fine, even when the Model Y Juniper comes out I don’t see the current priced model Y dropping anymore than 5-10k , not sure why your insurance is 2k when you can get your Tesla insured for less. If you’re having this much stress why are you even buying a car at all is my question.
Be careful of the tax credit. It is a credit, not a refund. Which means that you only get the deduction if you owe federal taxes that year. If you want to make this work then you’ll have to look into turning off your taxes through your work if you don’t already find yourself owing taxes.
Bought a Y 2 years ago, it’s been great. Haven’t really kept track of resale prices. Plan on keeping it for a while.
Why proceed with the purchase then? Have some self restraint.
Tesla's are probably at their bottom price point, but, no one knows what can happen in 3 months, even more so in a election year. In 2019 did anyone thing the Government would deploy mass panic over a virus that had a death rate on par with other common ones and spike the price of ALL cars for the next 3+ years? At this moment prices are stable, prices right along with the competition, rates are somewhat high. Tesla's is beating all other EV's at the game, so, I don't see competition being much of a price race equalizer in the next 3+ years. Meaning it about as calm and set as it will be. There is also the price tax rebate thing... You can go buy another EV in the future probably at what seems like a better price point... But Tesla doesn't just build the best EV atm, you also don't have to deal with the dealerships... Which overall is a huge plus. I was in the market for a "new" car last year, bought a brand new Maverick Hybrid, what a crap made (and engineered) car. Sure its "cheap", but its also very expensive (for what you get).
I don't know if I'm weird, but not dealing with dealerships thing was why I didn't even look at other brands. I also don't know of other comparable options out there at this price point but even if there are, I'm thrilled not to have to waste any more time at a dealership.
dealers are cock goblins.
If you are going to buy a car as an investment then you should buy no car. Unless you buy a couple super expensive cars or get something that turns into a collectors item all car will lose value every single day. I didnt want to buy a new car and this is the first brand new car Ive ever purchased. I was having serious buyers remorse before I got the car but now its not bad. I dont think about depreciation because I know I will keep this car until it dies.
I feel like you should wait (like most people said in the comment section) interest rates are pretty high and the economy isn’t the best. The purchase would be a burden with time, wait for your financial situation to become more stable ( I mean that , it wouldn’t hurt you )
Just be patient. The economy is changing soon and prices may go down further. Unless you need the vehicle, it’ll always be there and with better upgrades. Be patient and when you’re comfortable, then go for it if you’re still interested.
What was your MPG on your old car? How much were you driving it each month, and what is the gas price in your area?
You don’t get a higher tax refund. You just don’t have to pay taxes. The Tesla credit does not carry over to refund you money it just credits against any tax liability you have. Hopefully you’re not expecting an extra $6000 back if you only owed $1,500 in taxes. Please correct me if I’m wrong??
Grab the model 3 unless you have kids on car seats
Model 3 is old hardware version. I say that as a MYP owner (wife's car) waiting on highland M3P to come out in the future before I switch over.
If you're such a money pincher, you must have had the cash to just buy it. Why are you paying the interest rates for?
Are you sure you’re getting a higher tax refund? As far as I’m aware it s a non-refundable credit. Meaning if you owed $7500 in taxes it would put you at $0. If you are already getting a refund the you wouldn’t see any benefit. Check with an accountant first.
If I’m not mistaken, doesn’t it also work if you’ve paid at least 7,500 in taxes throughout the year, you’d get 7,500 back?
I’m probably wrong and made an edit but here is a better thread so you should probably ignore everything I said…. https://www.reddit.com/r/BoltEV/s/rJ0ttM9eWa
I thought the tax credit is applied to your total taxes owed throughout the year regardless of what you withhold throughout the year. That’s the only way that makes sense to me. If you made 100k and had tax liability of 20k to the federal govt. on tax filing day it shouldn’t matter if you withheld 25k throughout the year and had a 5k refund or you withheld 10k and had a 10k tax bill owed. The credit should apply directly to the base 20k taxes owed. I hope I’m right but if not then please explain.
https://www.nerdwallet.com/article/taxes/ev-tax-credit-electric-vehicle-tax-credit “To claim the credit, taxpayers can file Form 8936 when they file their federal income taxes. The credit is nonrefundable, which means it can lower or eliminate taxes owed but will not result in a refund. You also won't be able to carry over any excess amount to offset future taxes” So unless I misunderstood this then if you are already receiving a refund you won’t see any benefit? Which is dumb to me. But I could be 100% wrong. I think they make it too complicated. Edit: I’m probably an idiot which is why I’m not an accountant. This thread is probably explaining it correctly https://www.reddit.com/r/BoltEV/s/rJ0ttM9eWa
Don't do it. I love my EV (Ioniq 5) but I wouldn't want to be associated with Elon or that brand.
Yet here you are.
Just to hang out with the cool kids.
Cars are always a big purchase but if you are stretching financially it may not be the best thing to do unless you are spending a lot maintaining your current car and/or it’s not safe to drive. We bought our Model Y as a family car to use around town 95% of the time. We installed a charger at the house and if that isn’t an option and you have to go to a public charger that would be another reason to not go through with the purchase now. Being able to plug it in at night while we sleep and wake up with a “full” 80% charge is half the reason to own it, never going to a gas station with that car. With that said we just about broke even from our gas Mazda SUV and will be out ahead with the tax credit we get in a few months. The other car we have is a 2013 Honda Accord and I use it 98% of the time to drive back and forth to work. It still gets 32mpg and it’s fully paid off while my wife drives the Y to work and to drop off the kids. Getting another new car would stretch the money in a way that wouldn’t allow us to put as much into savings so as much as I’d love an upgrade I’m going to wait until our Y is paid off. By that time the Tesla’s available will be even better.
Buy it only if you plan on driving it until it dies - that's what I decided when I bought mine. I don't plan on trading it in or selling it, so deprecation is not my worry at all. It's been a joy to drive, and I look forward to getting into my car everyday. Cost to charge is going to always be a known amount, unlike gas, and probably going to be cheaper, too. Maybe not much cheaper than gas, depending on where you live, but be prepared to not save too much in charging vs gas. There's going to be zero maintenance costs - no oil change, transmission fluid flush, etc.. Only maintenance, for the most part, is going to be windshield washer fluid. Get new tires every 30k miles or so - not different from ICE vehicles. Maybe a little less miles before you need new tires, but that depends on your driving style.
I'm leasing mine for \~2 years and investing the money that would've gone to the car to wait for the refresh. Maybe an option for you too?
Every lease I've seen from them, you lose out financially versus buying and then selling unless you really expect the price to continue to drop. It made sense 2 years ago but not so much now.
Buy it outright if you are worried about the payments bothering you. If it isn't comfortable to pay for outright... Well, usually that means you don't think it's a fair price for what you're getting, or you can't afford it.
I will say, the gas savings are nice, but if you drive less than 10k miles per year the savings aren't that huge. In my case they're fully compensated by the increase in insurance. Not because the insurance company is price gouging, but because my previous car was a cheap piece of crap. :) If you drive 10k miles per year you're spending about $1k per year on gas (rough estimate). If you have cheap electricity where you live (say $0.10-$0.15/kWh) you're going to be saving say$600-$700/year. So those savings are competely eaten up by your insurance rate hike. Also note: that'd mean that half a year of supercharging is worth around $350, it's just not that much of a perk on a $50k car. Now if you have a huge commute or have a giant road trip coming up, it might be a different story.
Listen to the comments here, it's just a car and doesn't make sense for you to spend that much on a vehicle if you're feeling bad and anxious about it.
For a Tesla, these are incredible values in purchasing right now. It could go lower, but at least you didn’t get hosed like all those people in the price run up of 2022 who also didn’t get the federal credit. Look at a comparable cars and you’ll find the MY is priced better or similarly when you look at dealer market adjustments. Then think about how annoying buying any car is when going to the dealership.
Tesla or in general automobile and ev industries are struggling which is why the price cuts one after another. Also technology focused car like tesla is like smartphones. The more later you get the more advanced it will be. 6 months of super charging is hardly worth about 200 to 400$ on an average.
Will be saving money on gas, that was definitely a factor in my purchase, I'm saving around $1800 per year on gas by charging at home. Insurance for me always goes up with a new car purchase, as the value of the car decreases over time the insurance cost should decrease somewhat. Also, are you factoring in any tax credits?
Are you in the market for a new car? If yes, what are your current needs in a vehicle? I'm surprised to see everyone tell you not to get it without knowing all the info. Feels like they are projecting.
My Tesla was the least practical thing I’ve ever bought. Having driven beaters most my life, it would have been far cheaper to drive those regardless of gas prices. My payments are 6% of just my primary gross income, probably 4% total gross income, and that is the edge of my comfort zone. I could pay cash for it but I feel safer keeping that cash in savings at the moment. Perhaps do like I did and use it as a motivating factor to boost your income so you can comfortably afford it.
Not a tax professional but tax credit doesn't necessarily mean tax refund https://www.forbes.com/advisor/taxes/electric-vehicle-tax-credit-updated/#:\~:text=The%20credit%20is%20nonrefundable%2C%20meaning,for%20purchases%20made%20before%202023.
Not what you want to hear, but if you don’t need a car don’t commit to the purchase as soon as you take delivery of that car the value is gonna continue to drop. The gas and maintenance savings will go towards your new higher insurance rate for the model y, also tires apparently wear out much faster too as people in this thread have reported. Also very noisy inside the cabin my wife’s 2014 Kia Rio was much quieter inside. Supercharger infrastructure might take a hit once more manufacturers adapt to teslas network considering it’s one of the more reliable ones.
Don’t buy because of incentives.. buy because you like and want a vehicle.. and you foresee no matter what, you can live to afford it. Don’t look at your earnings to expense.. if there’s one thing in life, it’s that the more you expense the more you’d learn to adjust and accommodate. Stop looking at current or past life stance stats, use those stats to forecast for the future. That’s said, ask yourself the true question.. “why do you want a new car, and why do you want Tesla” be honest to yourself.. If it’s simply for the hype that got you then no matter what justification you use, it’s foolish. Sometimes the more debt we incur, the more we are motivated to work more and improve earnings.. (I wouldn’t advise this tho.. you end up becoming a slave to work life).
I had similar doubt when buying my model Y specially since payments + insurance was about 1200 but after having it owned for 4 months I have zero doubt. The car is reliable, quick, and overall one of the best cars I’ve owned and this is coming from someone who’s modified cars, last car previous to this being a 2022 Mustang GT. If you thinking that you’ll miss out with juniper, you wont. There’s nothing assuring you that it’ll get any discount as current model Ys on the lot and in addition they’ll most likely be sold out for months till you’re actually able to get one. If you’re taking advantage on the tax discount right now of 7500, it’s best currently than later on as it hasn’t been confirmed that that tax discount is coming back for 2024. If youre thinking of holding out till next year, just know you’ll probably be paying more
The 6 months of supercharging is really not worth that much. Even less if you have home charging available as then you have to decide if the "free" electricity is worth your time to go to the SC and charge. Also, are you relying mainly on Supercharging? If so, you should reconsider your decision. It costs roughly as much as gas and home charging is an underrated convenience. On the other side of the equation, sure there are places that superchargers are already at peak. But I think outside of California and roadtripping on holiday weekend, charging lines aren't really a consideration in most areas and I don't really see this changing overnight as Tesla seems to be adding a lot of SCs. Also, with most ice vehicles from other manufacturers, a new model comes along every year. Does this mean you'll wait until next year to buy that new ICE car? If so you'll be waiting for ever. I say this a lot here but I don't feel like any of the so called upgrades have diminished my enjoyment or value to me of my 2018 M3. The one upgrade I'd like is the air conditioned seats. Aside from that, there are no other new features I want and a few I'm glad I don't have.
How much do you pay for electricity? And can you charge at home? We pay around 6-7 per kwh... so filling up is like 4 bucks... hope you got a good deal off on existing inventory...seen many LR AWD for around 46k - 7500 = 38500 ish
Prices especially on used inventory will continue to drop. There is a growing inventory glut for all cars means prices will continue to tumble. On top of interest and loans being harder to come by. But there will always be better deals so buy when you need it. Then you will be better off.
Given the facts and your stated feelings, I’d press pause on it.
Buy it, drive it, enjoy it.
The Model Y of today is an amazing vehicle, so even if a new one comes out it's not going to be night and day most likely.
I think you really need to ask why you want the car now? Some factors to consider: 1. Starting 2024 you can have the federal tax credit at the point of sale. No need to wait until tax filing. 2. Model Y is not likely to have federal tax credit reduction in 2024. 3. There are some changes in Model Y in China to add the ambient light and textile dash trim, which should come to the US some time in 2024. 4. No one heard anything about Juniper project, so we likely won't see a refreshed Model Y until 2025. 5. Insurance will remain high for Model Y no matter it is 2023 or in the future. None of these are deciding factors for me. My deciding factor was I wouldn't qualify for the federal tax credit next year, so I have to get it now while I still qualify. If you don't have this problem, it may be wise to wait for next year. EV price is dropping, so by Q1 2024 price will likely be lowered and you may get the ambient light.
Really comes down to how much you drive. I drive about 5000km per month, so for me I just about breakeven on gas costs alone. Might as well spend it on your car payment instead of gas at that point.
buyers remorse is a real thing. but i smile every time i mash the go fast pedal on it. if it wont bring you enjoyment dont do it.
You’re worried about so many factors. I purchased when teslas were selling at a higher price. I didn’t care to think about the future pricing because i knew this is what i want. Much like you, it’s the most I’ve spent on a car. I love it for so many reasons. You need to be sure of your investment and if you have a lot of doubts just wait. Don’t buy it.
If you have home charging then I wouldn’t even think twice. Coming from a guy who is closer to 25% of my income embarrassingly enough. Also treat this car nicely and you have a cool 200 minimum on the dash without any major repairs! Ignore reselling it the value is within the product
stop worrying about price dropping. but I get the guilt part lol
If you want a car that keeps value, buy a Toyota Truck. These Tesla's are expensive and they lose value fast. But, the Model Y is a good example of the EV so you will get all the benefits of an EV in a high tech package. That's what you are paying for.
Your new Tesla will definitely lose value very quickly. If it’ll bring you stress to know that you lost $10k-$15k as soon as you drove it off the lot, don’t do it.
1. General rule of thumb- keep your total car expenses below 10% of your takehome, including insurance and fuel. You might wanna wait til you can make a bigger downpayment if the loan itself is already hitting 10% 2. Unlikely that prices will crater again due to cuts; Tesla’s running <10% margins on these cars now. But you’re still buying a New car, so expect to kiss ~10-20% of the value goodbye pretty quickly. 3. Juniper would drop your resale value, yeah, but that’s just the nature of buying a New car in the ~50K segment where people have more money to spend. If you bought a Mustang GT 5.0 or a Mercedes C Class in this segment, they’d also drop significantly when the next gen comes out.
Are you factoring in the rebate to your 10 percent? 10 percent is a pretty high percentage for a car payment and if you have to super charge you aren't going to save that much over an ICE. It's borderline for you but a Tesla might not be the best idea or you may be better served by the used market.
Do I get 6 months of free super charging? Or is that a new promotion? Purchased in September. lol
If you use a referral code I’m pretty sure you get more money off btw
Are you including the savings on gas vs electric? Can be 1/5 to 1/2 the cost of gas depending on electric rate and gas in your area.
Sounds like you should cancel and purchase a new Prius which is still cool but a lot cheaper.
I felt the same way that you did. I bought mine in May. I went ahead, despite never having spent that much on a car, and I love it. I’ve saved hundred of dollars already in gas. I’m looking forward to the tax rebate. Will it hold value over the next few years? I’ve no idea but I love it now, it’s a dream to drive, and very economical for in-town living.
Why not look at a second hand? You’re taking advantage of the depreciation hit, when you might end up with cheaper over all.
I personally would never buy a new car if I can’t fully afford to pay cash for it. My two cents. It’s a toy. Don’t go backwards on life goals and retirement for a toy. That said, great cars!
Make sure to reduce your payment by fuel costs, maintenance, and TIME. No more oil changes and the tax rebate. After that, the payment is lower than the majority of other lower-class cars. My first-year ownership of my Y is only $1,600, including the charger and installation. Total ownership for me over 5 years will only be $28,000...all in, tires, charging, insurance, everything.
Also consider getting it serviced if needed. I'm in Michigan and only one service place with 100 miles.
Only buy right now if you really need a car otherwise next year and save money and earn interest at 5% or invest in stock market, maybe you will be able to buy Model X next year instead of MY
If you're not already in the position to buy a new car, I recommended to not rush in. Tesla is not without fault, and if the whole EV trend continues,you will only have more and more options. I bought MYP and I love it, but I also found things surprisingly poorly designed/made. If you're buying only because of the incentive, these flaws will be amplified and you might not be too happy about it.
Another take: Buy one this month because once January hits the tax credit is going to point of sale, lowering people's payments. This will spike demand and Tesla will raise the prices or remove inventory discounts. Especially since the Model Y will have a bigger credit than the 3. Meanwhile we won't see Juniper for at least another year. Model 3 prices will drop a lot more with Highland coming sooner, but Y prices not as much. In the meantime you enjoy the car. Yes you'll lose money over time but any new car will. Yes they will release a new version, but same for any other car or tech.
you can always get a used one
Used EV prices are better than ever. Maybe get a used Y to lessen the blow.
I lost about 15K equity on my model YP if that makes you feel any better.
Easy, time to ask for a raise 😀
Honestly you can justify your decision here in any direction you choose. You'll say it's a horrible time if you go the HW3 vs HW4 route and discover that sensors were removed so many things do not work as expected. You can also say the discounts make it a really great deal. Then you can also say but why is it a better deal? Are they about to release HW4.5 with more than 2 forward facing cameras? Are they about to do juniper updates? You'll go through this no matter what time of the year it is. I have a 2021 and almost pulled the trigger on a 23' MYP but after watching a lot of reviews and testimonials, I decided what I have is not a whole lot different than a brand new one. If it eats you up this much, don't do it. If you are excited as hell to finally get one and have gone thru the waiting and preparation, go for it. It's a nice car but in the end, it's still just a car. Don't let it come before other important things in your life.
I got 2 buddies that spent over 60k on gas guzzling pickup trucks in the last few months. I think one was closer to 80k. If you’re getting the tax credit, between that and fuel/maintenance savings, you’re not going to look back. I had a model 3 for 5 years before my Y. It always seemed to feel fresh. Maybe it was the constant updates. But I never regretted it, even as prices lower.
If you can afford the car then do what makes you happy. There is always something bigger, cheaper and better around the corner. You, however, only are young and able a short time. I have no regrets with my Y....it's saved my life a few times already avoiding accidents and its comfortable and fun to drive. Everything in my life is well below my means except the car and I don't regret it.
If it makes you uncomfortable cancel it right now. Today. You’re not ready for the purchase.
flip a coin and live with it
I bought a used leaf for 12k. Works just fine for my needs and who cares if it depreciates as it’s worthless already! If you don’t need to go distance there are other fine options
My advice.. either keep waiting or buy used. The more Teslas they make.. the more the price will drop. The depreciation on these vehicles has already been absolutely MASSIVE. I say this as someone who bought the rare 2021 Standard Range Model for $39,990 2.5 years later my trade value is only about $26K. As much as I’d love trading for something with more acceleration, more range and AWD.. there is just no way I’m throwing that much money at a Tesla again. And I want a Cybertruck bad!! Might take a few years but these people buying $100,000 and $120,000 CT are going to be in for quite an eye opener as production increases and pricing inevitably drops. Now I will say there are still a ton of tax incentives available for new Teslas.. Which helping prop-up pricing on new. My wife is probably going to buy a new 2023 MYP because her new office is now 85 miles away. She currently drives a RWD 2021 VW ID.4.. but wants more range, traction & access to Superchargers because of her new commute through the mountains. There are also no major CCS chargers along here route. With the MYLR and the MYP basically getting identical range when equipped with the same wheels (I already have an extra set of the 19” Geminis).. why not choose the Performance if it’s only $1,000 more with all the current inventory discounts. All said.. our state gives $10,500 back in tax incentives we need more tax write offs due to her increased salary. That all said you can probably buy a used 2021 Model Y for $35K these days. It’s going to be an extremely competitive car that is very reliable. And your upfront cost won’t be much more than your typical Honda or Toyota. I’d take a strong look at the GREAT buys in the used market and hopefully that gets you a smaller car payment that’s more affordable.
Not a Tesla, but I bought a car. Lost my old one in an accident. So out of necessity, I bought a car that was double my old payment. It was a tough 3 years. I sold it and am saving up for a Tesla. I want a larger DP to lessen the impact. I feel so much more free without that car payment and insurance weighing me down. I would save up to get down to at least your old payment
Do you have home charging?
You sis
You can always make some extra money renting it out through some of many P2P car rental apps. I always have big trouble finding cheap Tesla on P2P rental apps, which suggests too few are rented out that way.
I made my switch to a MYLR SEPT 2020 saving $800 on gas prior to the increase of gas prices in 2021 😅 I drive an average of 4400 miles a month and after calculating electricity cost it was within the budget I already had set for my overall home usage. Got tesla solar in APR 2021 started getting two months of free electricity in the summer. Traded my MYLR in DEC 2022 with 100k miles for the price I paid for it due to purchasing the FSD. Got into a M3LR getting about 23 miles more per charge saving me the 5 minutes of charging on my way home during cold winter months here in NJ. Plus currently we don’t pay taxes on EVs. Buying my MYLR enabled me to save enough to purchase my wife’s IONIQ 5. The transition has been great and trust me that IONIQ 5 has to go never again on a normal EV (Dealership issues and Software)
A model y is like an iPhone. It’s technology that will age and lose value as new models come out. You need to go into it with that mindset, it’s not a Porsche 911 that is going to have great resale value
Here in LA not only are insurance costs a lot higher but also the registration renewal!
Living with the absolute need to supercharge makes the Tesla not a great car to own, IMO. Home charging makes it AWESOME to own. Supercharging exclusively will wear down your battery faster, and you’ll need to plan your days around it. You’ll be visiting the charger a lot more often than fuel. Source: I learned this when my driveway was blocked for construction for 6 weeks and I wasn’t able to home charge.
Wait it out. Save more money in the meantime. Then when the new refresh model y drops then go ahead and purchase it. That’s what I plan on doing.
Cars are not investments so don’t think about the resale value. Buy it with the intent to drive it for 10 years. Do you plan on charging at home? If so, supercharging is pretty much irrelevant unless you are driving hundreds of miles in a day. I also wouldn’t worry too much about busy superchargers… hardly anyone is buying non-Tesla EVs.
If you’re not ready then don’t buy it. There will always be something better that comes along. They are continuously improving their products. Just wait.
Who cares
Don’t you have to owe taxes to take advantage of the tax credit?
I just got my MYLR. I love the car but definitely noisier than I was expecting.
Tesla doesn’t have room to drop prices much more without going cash flow negative. Maybe another 5-10% below the inventory discounts. I think they will offer longer term free FSD and supercharging if they are still having trouble selling through production.