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TESLA ENDS LEASE BUYOUTS FOR ALL VEHICLES STARTING APRIL 15, 2022


THE COMPANY DID NOT SAY WHY IT MADE THIS DECISION, BUT IT MAY HAVE SOMETHING TO
DO WITH WANTING TO CASH IN ON SKY-HIGH USED CAR PRICES.


Apr 16, 2022 at 11:16am ET
65
By: Dan Mihalascu


Customers who are leasing a Tesla from April 15, 2022, should know they no
longer have the option to buy the vehicle at the end of the lease contract.



The EV maker has updated the language on its website in the section dedicated to
lease-end options under the "Eligibility" chapter as follows.

> • All Tesla vehicles delivered on or after April 15, 2022 are not eligible for
> purchase. 
> 
> • Third-party dealerships and third-party individuals are not eligible to
> purchase leased vehicles.

Mind you, the decision does not apply to users who signed a lease contract
before April 15, 2022. They will still be able to buy the vehicle when their
lease is over, although a purchase fee of $350 applies to cars delivered after
April 13, 2019.

> If you leased your vehicle before April 15, 2022, you may be eligible to
> purchase your leased Tesla. Review your lease agreement to see if you qualify.

For those customers who want to own the vehicle, Tesla continues to offer the
option to buy it outright with cash or finance the acquisition with a loan.



Previously, Tesla offered lessees the option to buy the vehicle at the end of
the lease deal, with one notable exception. Starting in 2019, the automaker
denied that possibility to users leasing a Model 3, arguing that it planned to
use the vehicles for its upcoming autonomous ride-hailing network. 

Tesla offers no explanation for its latest decision, although it's not that hard
to realize why it's doing it. Used car prices have skyrocketed since 2020, and
electric vehicles make no exception. 



Actually, EVs are at the top of the pyramid when it comes to used car values
seeing as they are in limited supply, with Tesla vehicles commanding
particularly high prices. It's not uncommon to see a used Tesla EV offered up
for sale at a higher price than a brand-new equivalent vehicle.

Tesla likely wants to cash in on this and sell the used cars for profit as their
lease deals expire or lease them again as used vehicles. 

It could also be that the EV maker wants to use the vehicles as part of its long
overdue robotaxi fleet, but we wouldn't bet too much money on that given Elon
Musk's recent statement that Tesla is planning a dedicated robotaxi with
futuristic looks.



This suggests the automaker has moved on from its initial plan of using regular
Teslas with full self-driving capability as robotaxis.

More stories on Tesla electric vehicle leasing

⠀ Tesla Lease Or Loan: Don't Overpay For Model 3 Or Model Y
Tesla's New Financial Leasing Plan Offers 0 Down, There's A Catch


Source: Tesla via Electrek

By: Dan Mihalascu
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About this article

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Body Style
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