Excellent question Mark. I wonder what the residual and money factors are?
The leasing program starts as low as
$500 a month with 10% down according to company….
sorta. That is if you factor in a whole bunch of intangibles, along with federal and state tax incentives. It appears as if the actual cost to least the new entry level Model S (60 kWh) still starts at
$1,051/month factoring in only the $7,500 federal credit.
The residual guarantee is available between months 36 and 39 lease, and is for
43% of the purchase price. Money Factor ? cheap I'm sure to arrive at such a low payment....one catch >
The way the program works is that you "buy" your Model S with a loan from US Bank or Wells Fargo, putting 10% down (Tesla helpfully notes that "[t]he 10% down payment is covered or more than covered by US Federal and state tax credits ranging from $7,500 to $15,000"), and then after 36 months you have the right to "sell" the Model S back to Tesla "for the same residual value percentage as the iconic Mercedes S Class". Get it? It's not a lease. It's an agreement to buy the car on credit and then sell it back later to the seller at a prearranged depreciation level.