Keep Tesla Model 3 after settlement figure on company lease or take out a new private lease?

blue_eyes777

Hi All,

I have been given a settlement figure on a June 2020 registered Tesla Model 3 standard range plus of £18,500 - mileage aproximately 25k and in good condition. I am no longer elgible for a company car to be leased by the company but have a company car allowance of £5500
My company car allowance is £5500 and I would like to keep running an EV car but unsure whetehr to accept this settlememnt figure and am considering the following options:

1.) Take out a personal loan to purchase at £357 a month at an APR of 6.1 % and pay this using my monthly companyc ar allowance which is £458
2.)Lease a brand new Tesla Model  Y on a 36 month PCH at £399 pcm after a downpayment of 9 x months, a PCP of 48 months witha  downpayment of £4,800, APR 1.8 % at £449 -OCP of £20,695 or a hire purchase at 0.5 % -term 60 months - downpayment £10000 at payment of £591 a month.

The Y is currently available on much lower interest terms at the moment. Cash price £44000 for the Y, £40000 for the 3.

My concern about option 1 is that the battery is only guaranteed for 8 years/100000 miles - so in 4 years - no warranty for a replacement battery of around £6,500 in 4 years potentially! PLus second EV prices look likely to nosedive should I want to sell and clear the loan.

born_again

Do you like the car you have now, does it suit your family needs?
As you know it's history.
Price is under what is on Autotrader.
Tesla's are well know for not having battery issues even when 100K +

Supposed to be a new model Y coming out which will hit old one value, even worse than keeping your current one. Older EV's are holding prices quite well, compared to new.

blue_eyes777

Yes, we like it and find it cheap to run in terms of energy with Octopus at 7.5 p per KW from 11.30 to 5.30 am meaning that 30 miles costs around 23 p.

DrEskimo

If secondhand prices of EVs are a concern, that would be a major reason not to buy the brand new Model Y...Even if the Model 3 halves in value over the next few years, it will be substantially less in absolute terms relative to the brand new Model Y!

If it helps, I currently have a 2016 Model S that I use regularly and it just ticked over 108k miles. No problems at all and range hasn't dropped noticeable at all.

I vote for keeping the Model 3 with the loan, as £18.500 seems a good price for a car you have owned from new and know well, but borrow as little as possible and pay it down as quickly as possible to reduce on interest charges. Then just pocket your car allowance.

blue_eyes777

Thanks for all the advice so far - I really appreciate it!

ididgetwhereiamtoday

You would probably have to sell it in 4 years anyway under your company terms of a car allowance. 

Either way I would keep the model 3 and trade it in when the battery warranty runs out. £18.5k is a very good price. 

Bigwheels1111

Car dealers are not taking EV’S as trade ins.
No one wants to buy them.
I would get a price from we buy any car etc.
See how close they are and try to bargain if you want the car.

blue_eyes777

Your valuation (We buy any car).

£15,315

Assumptions & add damage for an

Petriix

blue_eyes777 said:

Your valuation (We buy any car).

£15,315

Assumptions & add damage for an

Obviously good luck finding one to buy at anything close to that price (or indeed the £18.5k you're being offered it for). Some people seem to think that WBAC is the definitive guide to car prices but it's just one company showing low appetite for EVs. You could easily sell privately for more. 

At current prices it's a cracking deal. Future prices are hard to predict but I'd wager that it will be worth around £8-10k in 4 years. What's the cheapest 2016 Model S on Autotrader?

blue_eyes777

Petriix said:

blue_eyes777 said:

Your valuation (We buy any car).

£15,315

Assumptions & add damage for an

Obviously good luck finding one to buy at anything close to that price (or indeed the £18.5k you're being offered it for). Some people seem to think that WBAC is the definitive guide to car prices but it's just one company showing low appetite for EVs. You could easily sell privately for more. 

At current prices it's a cracking deal. Future prices are hard to predict but I'd wager that it will be worth around £8-10k in 4 years. What's the cheapest 2016 Model S on Autotrader?

View gallery

£18277:
https://www.autotrader.co.uk/car-details/202401105423632?sort=year-asc&advertising-location=at_cars&make=Tesla&maximum-mileage=30000&model=Model S&postcode=ha73ra&fromsra

born_again

Bigwheels1111 said:

Car dealers are not taking EV’S as trade ins.
No one wants to buy them.
I would get a price from we buy any car etc.
See how close they are and try to bargain if you want the car.

Maybe some dealer who do not have a clue how to deal with a EV..

This guy gives good honest figures on EV market, using Autotrader data...

https://youtu.be/XB3vEHOEQXs?si=YVWZz9gLm5FFVkg7