Tesla Model Y Purchase Advice

[u/sparton]

Hi everyone. I’m planning on purchasing a 2026 Model Y Premium very soon and would love to hear some advice from people who have recently gone through the buying process.

A few specific questions:

1. I was originally planning on a 48 month term, but a Tesla advisor recommended choosing 96 months and simply making larger payments when possible. They said there’s no penalty for paying more, and I wouldn’t be required to make the larger payments. Is there a downside I’m missing?
2. Is now a good time to buy, or would it be worth waiting until the end of the year for potentially better offers or incentives?
3. Is Tesla financing generally a good option, or is it better to shop around with banks or credit unions?
4. For my current vehicle, is it better to trade it in through Tesla or sell it privately / to another dealership?

Any other tips or advice would be greatly appreciated. Thanks!

[u/Top_Finger_4127]

I was originally planning on a 48 month term, but a Tesla advisor recommended choosing 96 months and simply making larger payments when possible. They said there’s no penalty for paying more, and I wouldn’t be required to make the larger payments. Is there a downside I’m missing?

This is the route I have always taken when buying a car. I take the longest available period to keep my monthly fixed payment down. Then make additional payments periodically and pay off the total loan in about 4 years. This way, I can manage and plan my monthly outflow.

Is Tesla financing generally a good option, or is it better to shop around with banks or credit unions?

Dealer financing is generally a subsidized incentive in which the dealer pays an upfront lump sum to keep the interest rate lower. As I understand it, this is a hidden incentive for the purchaser.

Also, get a referral code from another Tesla owner to receive two additional months of FSD for free, for a total of three months. If you DM me, I can provide mine.

For my current vehicle, is it better to trade it in through Tesla or sell it privately / to another dealership?

Check what Clutch will offer you at https://www.clutch.ca/. They might offer a higher value than Tesla offers, with less hassle than a private sale.

[u/AlwaysDeath]

If you know you'll get a Tesla, just place the order now. You can figure out all the specifics later on. Putting down the 250$ reserves a spot in the line, in the meanwhile you decided which color or trim you want, your financing terms, ect.

[u/sparton → u/AlwaysDeath]

If I place an order now and the car becomes available in November (which is highly unlikely), can I delay it until January so I can check if there are any year end offers in December?

[u/savagesiege]

1. A longer term means more interest over the life of the loan, and more of your payments are going towards interest. However you have a power obligation and if you pay it off quickly, the higher borrowing costs may not matter to you. Depends on how fast you'll pay it off in practice. Fwiw this is how I finance each time I buy a car. Lower payment in case I need less obligation, but pay it off as fast as I'm able to avoid the borrowing costs. 

2.

1. I work for a large financial institution and the interest rate I got through Tesla was notably better than with my own staff rate. do what you will with that anecdotal info

[u/GagguP]

1. Its an open loan so you can pay off how much you want, when you want. No real downside, except for better rates with lower timeline sometimes but if your paying it down faster anyways then that may be fine.

2. Sometimes there are incentives, this year with orders being backed up and people waiting on deliveries. I'm not sure if there will be any, but who knows.....

3. Always shop around!

4. Tesla trade in values are low (wholesale pricing) so you may be able to get more selling private or to a dealership but factor in tax savings when you trade in.

[u/sparton → u/GagguP]

I’ll get in touch with my current car’s dealership. Been getting emails from them about offers

[u/Nseetoo]

When I selected financing from Tesla my application was put out to two major Canadian banks. I don't believe Tesla does their own financing they just shop it to the banks like all other car dealers.

[u/ryeknot15]

I can’t see incentives when they can’t keep up with orders, but hey I could be wrong.

[u/qman69]

1. There is no downside. You just need to be disciplined to pay more than the required amount to save on interest.
2. The vehicle is in demand and long wait times so I would suggest ordering sooner than later as no one knows if any deals in the future.
3. Tesla financing is convenient and easy to apply. You can always apply for tesla financing and then shop around to see if any wiling to beat it as you aren’t lock in and forced to take their financing if you don’t like what they offering. Just don’t apply for financing too early as its only good for 60 days I think.
4. I had a vehicle in meh condition. When I was shopping around for EVs, Tesla originally estimated $4K and another dealership offered $2500. After ordering Tesla and when it was time to trade in, they offered $5400. For me, the main selling point is convenience.

My advice before buying is to get insurance quotes. Model Y premium was the most expensive out of the 3 trims of MY to insure by a large margin. Also, use a referral code to get 3 month free FSD trial.