Buy new Juniper in cash?

You can buy one direct from Tesla

Premium is $45,000 right now. Did it still cost that much before the tax credit went away?

Why give tesla cash for the car when you can do 0.99 financing and earn 3+% on that cash in a HYSA while making payments? Unless your credit score is aweful, I don’t see any benefit to paying cash for a new car. For a used one, yeah cash would be better as used loan rates are quite high. Even though the basic warranty still transfers, now you’re at a warranty disadvantage (assuming juniper) as anything beyond battery / drivetrain doesn’t transfer to new owner, so you’re rolling the dice a little there.

Probably, I had a State, Federal and a State Trade in for an old ICE that really helped. Which made it very doable.

Can I DM you?

Never pay cash for a depreciating liability… Put the money in an investment instead, and take out a loan for the car.

Not sure why I didn’t think of that. How much would it come out to monthly?

My credit is really good I just didn’t think of that

Wouldn't this depend on the interest rate for the car?

They are handing out Teslas for free. I took mine on 0% APR.

That would definitely make sense at 0%. Not in the market for a car so didn't realize they were doing 0%.

Yeah it’s crazy out there, some are getting 0.99% they are literally handing them out for free.

Yeah, that depends on A LOT of factors, their online tool will give you all the details you need for this. It’s pretty amazing.

0.99% Apr too good to pass off. Can put a high down payment and sign up for a 2-3 year loan to keep your credit up.

Wait how did you get 0% that’s insane

I walked in the dealership and they said they had an offer. Go visit a dealership and see what you can get.

I was going to post this but thankfully you already did this. No offense to others, but I'm always amazed how many people I don't understand that you always take a 1% loan if you can. One thing I would add is if you are going to buy used, it's worth looking at used from Tesla as they add an additional year of warranty. Used is always a better value. So if you have the cash, that's the best total cost of ownership.

Tax credit is meaningless in the long scheme of things. If you can comfortably afford a $45k vehicle then your frustration about losing out on the $7500 credit is purely ego related. Jump in and enjoy the experience. Life is extremely short.

I paid for it in full and wish that I did not. I should have financed it and got the low apy and kept the cash in something else using the interest as free money towards the payments

why cash when 0.99% apr is available

Not sure I understand. What is “beyond battery / drivetrain”? My understanding is that any warranty that comes with the car should transfer to new owner. As long as it is within time and mileage.

How does that work? How do you the interest money towards the payment.

Is 0% an option too?

Put the money in wealthfront or something like that and let it collect interest

I didn’t even realize that .99 APR is a better option. It makes sense though

Borrowing is cheap (for Tesla) and I don’t even have the .99

It is if you out that extra money in stocks and easily make 5-8% back instead and also have a rainy day fund

They key is having the discipline to leave that cash in a HYSA rather than blowing it on something else. Could lock it away in a CD to avoid the temptation.

I double checked the terms, i was incorrect- looks like the new vehicle limited warranty is indeed transferrable but there is some fine print. Maybe i recalled from an earlier terms / diff model or conflated something else entirely. I do know that buying used from tesla has an advantage of additional warranty time regardless

yeah for the basic trim i think

I would only get a HW4 car btw, FSD is the main reason I own a Tesla.

what would you say is a reasonable cut off rate for APR percentage against a HYSA before it might not be worth it for this type of deal? When I bought my model Y last year, I dont believe there was a .99% APR. I believe it was anywhere from 2% to 4% for me. But I dont remember. And CDs at the time were only yielding 3-4%. Is it really worth doing lease over 1%ish gains? you still gotta pay tax against your interest gains.

If you buy used from Tesla they extend the warranty by 10,000 miles. Also, these cars depreciate really fast.

If you're flush with money, have income able to support ongoing payments, etc. then forget the HYSA and just leave it invested in the market. By the end of the loan term the increase in value will be enough to buy 2 cars.

Yeah, market rate is like 6.5% and that's a pretty iffy proposition to hold. Most decades the market will beat that handily but not all, and certainly not every 5 year period. And of course HYSA/CD/MM will never touch that. And of course if you have bad credit and are getting pitched stuff like 20% APR.

Sure if you like

I would always take the loan if the rate is lower than you’re earning in high yield savings or even if it’s the same because I can always close out the loan / lease early with no penalty. Here in NY at least. However I can’t get my liquidity back without selling the car and realizing the depreciation so i’d think it would make sense in most cases where the numbers are close - to just let them float the money and then course-correct and close it out if the central bank loosens to the point the numbers no longer make sense.

Always, above a certain threshold (or close to it) interest is brutal but that threshold isn’t low given ETFs like the S&P 500 exist which have generated 14.6% gains averaged over the past 10 years. Having $40,000-$50,000 in hand and throwing that at that ETF it will have eclipsed the value of the Juniper (without any further investment) well before the loan reaches maturity at those returns. Even if we take the conservative 11% of the past 20 years for the S&P 500 then $50,000 initial will be worth $93,518 at that rate by year 6. Also, all that’s before we even consider that the monthly payment is a static amount that’s worth 85-90% of the today value by year 5 simply because of inflation…the 0.99% APR probably won’t even keep up with inflation, so a 0% loan is effectively a discount below MSRP in terms of purchasing power over the term of the loan (however, this one is dicey given it’s contingent on the buyer’s wage keeping up with inflation).