3Victoria
Active Member
Selling off demo and loaner cars, with discounts, and then an immediate break to repair/reconfigure the line would appear to be an opportune time to introduce new hw. Just saying ;-)
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Why AP 2.0 Won't Be Here Soon, and It Won't Be What You Think It Is
- Thread starter Todd Burch
- Start date
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- Model S
As someone taking delivery in last 3 days of this quarter I hope you are wrong (but I agree and also think the same thing)
The $7500 reduced the residual which lowered the payments. Since I can't be trusted not to want whatever latest stuff Tesla comes up with every three years, leading made sense (yes I ran multiple financial models). We also got the $2500 from California.
But you didn't get 100% of $7500.
Basically if my residual or trade in value in 3 years is within $15,000 of lease residual buying was better option.
PLUS whatever you think or can do with $15,000 cash for 3 years.
<Something about 2.0 to get back on topic>
Compared to residual? Actually no I have not, but residuals can't be that high either.
Canuck
Well-Known Member
Reeler
Decade of Pure EV Driving
I think that is plausible. Tesla is shutting down for a few days at the end of the quarter to give everyone a rest I had heard. Maybe AP 2.0 will be rolled out.
⚡️ELECTROMAN⚡️
Village Idiot
Off topic still, but how can you say buying outright is a smarter financial decision than getting a loan at 1.5%? If you're not making well over that in your investments then you're doing something wrong.
As far as leasing, there's a good chance you will pay more in lease payments than the car depreciates over three years. It's not like you can't sell the car in two or three years if you want the latest and greatest. Buying offers greater flexibility. You can hold on to it after it's paid off and have no payments. You can sell it whenever you want and not be out the down payment you made to get the lease. Maybe leasing makes more sense when getting the higher end Model S. They seem to take a much larger depreciation hit than the lower end models. Unless you get a deal like the guy claiming to be paying $700 a month for a P90D I don't get the appeal of leasing. Sorry about staying off topic.
As far as leasing, there's a good chance you will pay more in lease payments than the car depreciates over three years. It's not like you can't sell the car in two or three years if you want the latest and greatest. Buying offers greater flexibility. You can hold on to it after it's paid off and have no payments. You can sell it whenever you want and not be out the down payment you made to get the lease. Maybe leasing makes more sense when getting the higher end Model S. They seem to take a much larger depreciation hit than the lower end models. Unless you get a deal like the guy claiming to be paying $700 a month for a P90D I don't get the appeal of leasing. Sorry about staying off topic.
We are in a period of rapid evolution - not just for Tesla but for all car manufacturers, similar to what happened in the TV industry when HD was first introduced. Over the next several years, Tesla and the other manufacturers will be introducing successively improving generations of driver assist/self-driving technologies - and that will continue to happen until the hardware stabilizes on a configuration sufficient to enable completely autonomous driving.
So anyone buying a car today, from any manufacturer, is going to be disappointed when the next hardware iteration is released, and they find their car is now "obsolete".
The same is true for EVs. Tesla was the first with a long range EV - and we still enjoy driving our early 2013 P85. But Tesla will start getting competition for long range EVs soon. The Bolt is the first to come on the market, and other manufacturers are planning to introduce long range EVs in the next few years.
EV technology is still also relatively early stage, so anyone buying an EV should expect to see new innovations in the next few years.
And as all of this technology matures, the pace of innovation will slow - and there will be fewer changes between "model years".
For anyone looking to purchase a car today - and have that be the "state of the art" for years - is going to be disappointed. And that's going to be true for any car with AP type functionality or is a long range EV, at least for the next few years.
So, accept this - wait until there is a configuration you like today - buy it - and get over the feature envy with the newer cars.
We've don't have many of the new Tesla features in our car - no power folding mirrors, no parking sensors, no TACC, no AutoPilot, no summons, no auto parking, ... - and we still enjoy driving our P85. And the major reason why we'll replace it in the next year - is because we'd like to get the extra 20% range we're likely to see in a 100D.
So anyone buying a car today, from any manufacturer, is going to be disappointed when the next hardware iteration is released, and they find their car is now "obsolete".
The same is true for EVs. Tesla was the first with a long range EV - and we still enjoy driving our early 2013 P85. But Tesla will start getting competition for long range EVs soon. The Bolt is the first to come on the market, and other manufacturers are planning to introduce long range EVs in the next few years.
EV technology is still also relatively early stage, so anyone buying an EV should expect to see new innovations in the next few years.
And as all of this technology matures, the pace of innovation will slow - and there will be fewer changes between "model years".
For anyone looking to purchase a car today - and have that be the "state of the art" for years - is going to be disappointed. And that's going to be true for any car with AP type functionality or is a long range EV, at least for the next few years.
So, accept this - wait until there is a configuration you like today - buy it - and get over the feature envy with the newer cars.
We've don't have many of the new Tesla features in our car - no power folding mirrors, no parking sensors, no TACC, no AutoPilot, no summons, no auto parking, ... - and we still enjoy driving our P85. And the major reason why we'll replace it in the next year - is because we'd like to get the extra 20% range we're likely to see in a 100D.
So the Volkswagen ID concept car which is arriving in 2020 will have autonomous driving and a steering wheel that retracts into the dashboard. If you still think autopilot 2.0 will not have fully autonomous CAPABLE sensors by now then you just do not have a proper grasp of the future.
Fully autonomous sensors will ship with Tesla vehicles next year. It will be a couple years after that when the software will allow full autonomy.
Fully autonomous sensors will ship with Tesla vehicles next year. It will be a couple years after that when the software will allow full autonomy.
RogerHScott
Active Member
* unicorn not included
Eh, if we are talking about imaginary cars VW might just throw in the unicorn anyway. Doesn't cost anything extra to photoshop in a unicorn on their pictures, or glue a horn onto a horse to present next to their non drive able concept car shells.
MichFin
Member
When I bought my Model S new I was looking at used ones. I almost bought a used one but it didn't have autopilot so I bought new. I think deprecation will accelerate as the new technology gets added. But different people have different needs... But if you're waiting for a model 3 but just can't wait those 2 year leases look really good
⚡️ELECTROMAN⚡️
Village Idiot
FlatSix911
Porsche 918 Hybrid
Canuck
Well-Known Member
This reasoning makes no sense to me. I'd never borrow money to buy an expensive vehicle that just depreciates rapidly -- even at 1.5% -- and I can't imagine someone like Warren Buffett saying that is a smart financial decision. Yes, some financial planners might tell you that makes sense, but they usually say that because they make money on people trying to make money and they themselves have less money than the clients they are advising. Wealthy investors know you need a range of investments from rental properties to stocks to money in the bank, the latter of which is making less than 1.5%. But you need those assets, and mortgages, before a bank loan for a Tesla. Then when you want to buy a toy and depreciating asset like a Tesla, you use that money in the bank, because your rental income and dividends will replenish it.
That's proper financial advice but it's a much more disciplined road than fooling yourself that borrowing money to buy a Tesla is smarter financial advice that buying one outright. That's laughable.
Your reasoning makes less sense.
Unless you think you may default on said asset... a loan is a loan.
Tax implications and whether you might fault on a separated asset is only reason for treating money different than money.
Everyone has a cost of money and a rate at the can earn (averaged).
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