DBC

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(You failed to mention what model you are using)
I used the model he was interested in. The fact Tesla doesn't offer what in your mind is a "comparable" model just speaks to how limited Tesla's offerings are.

You can keep tossing up examples but the fact remains that the only situation when the MME isn't less expensive than the Model Y is when comparing a lower trim Model Y to a higher trim MME. And in this case the MME lease is minimally more expensive but for the vast majority of people a better value because of the low buyout price and the options available at lease end.

This should not be that difficult to understand.





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JoseLuisDeLaCruz

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Anybody from Jersey or anywhere really know if they are really strict with the NJ EV incentive? The Premium Mach-E ER I am configuring has an msrp $55,300 which is $300 over. Do you think they are really that strict and they wouldn’t give me the $5,000 incentive?
 

DBC

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Quite a bit of difference here in TX. No incentives, no sales tax rebate. And the $7500 is only helpful if it’s delivered before January 1, 2021. Even assuming it Is delivered before the end of December here is what I get.
Sorry about the NJ part. For some reason I was thinking that is where you were.

When I used my old Houston zip code with the Ford calculator I get a monthly of $538.39 with a $7500 downpayment. That includes $1000 of bonus cash. Since the down equals the tax credit cash back, that is also with effectively a zero down. If you add your $5000 trade you used in your BMW deal to the down, that lowers the monthly to $390.66.

That will be more than the BMW lease since it doesn't include tax, but it includes the option to buy or trade with a basis of $18,477.90 without any further tax. That's probably a much more valuable option than you have with the BMW.
 

DBC

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Anybody from Jersey or anywhere really know if they are really strict with the NJ EV incentive? The Premium Mach-E ER I am configuring has an msrp $55,300 which is $300 over. Do you think they are really that strict and they wouldn’t give me the $5,000 incentive?
The answer would most definitely be "Yes".
 

JTK44

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I used the model he was interested in. The fact Tesla doesn't offer what in your mind is a "comparable" model just speaks to how limited Tesla's offerings are.

You can keep tossing up examples but the fact remains that the only situation when the MME isn't less expensive than the Model Y is when comparing a lower trim Model Y to a higher trim MME. And in this case the MME lease is minimally more expensive but for the vast majority of people a better value because of the low buyout price and the options available at lease end.

This should not be that difficult to understand.
What model is that?
 

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OK for the last time in ascending order of cost:

I have treated the taxes as following:

  • Most states charge sales tax on EV's. If your state does not, then disregard the taxes.
  • When you lease, 44 out of 50 states charge sales tax on the sum of the payments. I will use this method in computing taxes: monthly payment X 36 X 8.625% divided by 36 (months)
  • Where I live the sales tax is 8.625%. Some states have higher and some states have lower taxes.
Tesla Model Y Lease:

The monthly payment for the Model Y is $633. The sales tax, $633 X 36, $22,788 X 8.625% is $1,966, monthly $55.

Total monthly payment including tax $688.

Screenshot (15).png



Premium AWD LR: Option plan:


The first example will use:

  • Full Federal tax credit of $7,500 as a down payment
  • Include the $2,500 incentive:
The monthly payments come to $675.

As this is a sale and not a lease, the sales tax is calculated on the Sales Price, $55,800 X 8.625%, $4,813. This is $134 a month.

Total monthly payment including tax $809.


Screenshot (23).png



The second example is without the $2,500 incentive:

The monthly payments are $749 a month. The sales tax is the same, $4,813. The monthly tax payments are $134.

Total monthly payment including tax $883 a month.


Screenshot (26).png



Nest is a typical lease assuming:

  • MSRP $55,800
  • Residual of 57%
  • Interest rate of 5.4%
The residual and interest rate have been posted by others.

The monthly payments are $864. The sales tax, $864 X 36, $31,104 X 8.625% is $2,672, monthly is $75

Total monthly payment including tax $939.


Screenshot (27).png



Now here is what a "normal lease" should look like for 36 months, 10K per year:

If Ford offered this lease, it would make sense

  • MSRP $55,800
  • Residual of 54%
  • Interest rate of 3%
  • Includes Federal tax credit of $7,500 as a cap cost reduction
The monthly payments come to $603 a month. Sales tax is $603 X 36, $21,708 X 8.625% $1,872, monthly payment is $52.


Total monthly payment including tax $655.

This monthly payment including tax is less than the Model Y as you expect, as the MSRP of the Premium LR AWD, $55,8000 less the Federal Tax Credit of $7,500, $48,300 is less than the MSRP of the Model Y, $51,190.


Screenshot (29).png



So here is what we have for monthly payments, including tax:

  • Model Y: $688
  • Premium AWD LR with $2500 incentive and Federal Tax Credit $809
  • Premium AWD LR without $2500 incentive and Federal Tax Credit $883
  • Lease on Premium AWD LR, residual 57%, interest 5.4% $939
  • Normal lease on Premium AWD LR, residual 54%, interest 3%, Federal Tax Credit of $7,500 included $655

If my math is incorrect please advise.

Hope this clarifies once and for all.
Thanks for this. I have saved this entire post so I can keep it for reference!
 

Gimme_my_MME

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Good evening friends today I will tell you how I was able to climb the career ladder thanks to one mortgage site. Earlier, at the age of 16, I dreamed of a good future. Now it came, I wanted to have money, but I didn't want to work. A friend recommended the Mortgage Advice Cardiff and I believed him and moved on. The first thing that caught my eye was the responsive support that will always answer your questions. And I took out a mortgage on this site almost immediately, and after I took out a mortgage, I opened my own business, and bought a cheap island. What site would you recommend?
Umm, what?

Are you inviting us all to come visit you on your private island?
 
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JoseLuisDeLaCruz

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Why even advertise that horrible lease. The competition is probably close to $350 a month cheaper when you factor everything in.
Because that is what Ford is showing us as the RCL price right now. We still have to wait until we get to the dealer for final pricing but right now that is the price they are showing us.
 

malba2366

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Because that is what Ford is showing us as the RCL price right now. We still have to wait until we get to the dealer for final pricing but right now that is the price they are showing us.
The lease is what it is, but why post it on the website...one look at that and a potential buyer will look elsewhere.
 

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