Predicting the best time to buy in 23???

[watchdoc]

Looking to upgrade my 22 Leaf+ in 2023 to an AWD SUV EV that qualifies for the $7500 tax credit. Mach E and Model Y are the most likely suspects. The Leaf is financed at 0% so I'm not super motivated. It's been flawless over the last year but I wanna be ready to strike if the deals get good. To me, the signs look good for 2023.

Used car market falling in general
Carvana impending doom is going to flood the market
Tesla discounting the Model Y going into year end
Tesla shooting itself in the foot with Twitter nonsense
Mach E able to be purchased on X plan
Mach E used prices dropping
Looming recession and high interest loans turning buyers off.

Normally, I'm a end of the year buyer and I just try to find a dealer willing to do a crazy deal to make their year end numbers but 2023 has the potential to be a good buying year.

On the downside, Ford seems content to restrict their supply and mark up their vehicles. Tesla on the other hand is setting production records for the Model Y.

What does everyone think about the 23 prospects?

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[generaltso]

There are at least a couple flaws in your list. The 2023 MME does not qualify for X-Plan, and it‘s very likely that it won’t qualify for the full $7500 tax credit. If those are essential, you should try really hard to find a 2022 to buy in the next 2 weeks.

 

[watchdoc]

My Leaf is using my tax credit for 22. 23 is my only option. Interesting about X plan. Local dealer has been trying to get me to order one at X plan for sometime. Thanks for the clarification. What would it not qualify for the full $7500? Battery content?

 

[generaltso]

My Leaf is using my tax credit for 22. 23 is my only option. Interesting about X plan. Local dealer has been trying to get me to order one at X plan for sometime.

There is no limit on tax credits for 2022 unless you don’t have enough tax liability. Unfortunately, dealers are often clueless.

 

[RickMachE]

My Leaf is using my tax credit for 22. 23 is my only option. Interesting about X plan. Local dealer has been trying to get me to order one at X plan for sometime. Thanks for the clarification. What would it not qualify for the full $7500? Battery content?

You are under the mistaken impression that tax credits are limit to one car per year. That is not the case. The limitation is your tax liability only.

Also, there is no such thing as "order one at X-Plan" or any other plan. You pay with plan, orders don't indicate type of plan or payment.

 

[watchdoc]

My current household income will barely use up the credit for the Leaf and I am not under a mistaken impression in that regard.

Ive purchased several Fords with X plan that were orders. My local dealer made it the order/purchase feel like a seamless transaction so that was my mistake. Thanks for the clarification.

 

[RickMachE]

My current household income will barely use up the credit.

You can raise your income, if it makes financial sense, by:

- Doing a Roth conversion of a traditional IRA or traditional 401K.
- Creating enough taxable gain by selling appreciated assets to cover the tax (not usually advised).

Many retirees have to do the conversion. We did last year, and will do again this year. The recent market dip makes that a bit more palatable, because you can convert more shares with prices down.

 

[generaltso]

My current household income will barely use up the credit.

You can certainly plan a purchase for next year. But I wouldn’t bank on getting the full tax credit on any car in 2023. Things have changed.

 

[watchdoc]

Rick, that's a great tip and what I did last year. I did a Roth conversion to increase my income when I purchased a RAV4 Prime for the 21 tax year.

 

[Monke]

Rick, that's a great tip and what I did last year. I did a Roth conversion to increase my income when I purchased a RAV4 Prime for the 21 tax year.

MY22 AWD ER Premium is $9k lower than MY23 and $7500 tax credit is good for this year delivery. Total saving would be $16.5k plus sale tax.

 

[watchdoc]

MY22 AWD ER Premium is $9k lower than MY23 and $7500 tax credit is good for this year delivery. Total saving would be $16.5k plus sale tax.

Wow, I had no idea Ford raised the price of the Mach E that much for 23. I wonder if that's more than a Model Y at this point? I did a quick build on the Ford website and came up with $67.575 with destination. That's nearly identical to the Model Y.

 

[Monke]

Wow, I had no idea Ford raised the price of the Mach E that much for 23. I wonder if that's more than a Model Y at this point? I did a quick build on the Ford website and came up with $67.575 with destination. That's nearly identical to the Model Y.

I test drove Model Y. For Mach E 22, I would not consider Model Y. If I had to wait for Mach E 23, Model Y is quite attractive with $3750 off this month. I like storage space of a Model Y and the Tesla autopilot in Model S (not Model Y) with the driver screen. It was quite useful under foggy condition. Model Y does NOT have a driver screen and the vinyl seats is not as good as Mach E Select. I have never driven BC on Mach E in foggy condition so I could not compare BC to Tesla autopilot. For the autopilot, once you get a red card from not being a good polit, the autopilot will not be available until you put the car to park. I hate that thing.

Edit: added "NOT"

 

[4sallypat]

IF you are looking at 2023, why not consider the Chevy Bolt EUV ?

 

[generaltso]

IF you are looking at 2023, why not consider the Chevy Bolt EUV ?

No AWD. But the Equinox or Blazer may be good options.

 

[watchdoc]

IF you are looking at 2023, why not consider the Chevy Bolt EUV ?

I’m actually really happy with my Leaf. The Bolt is smaller and the seats are a deal breaker. I also want AWD. Equinox may be an option.

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