Mid 20s, recent grad - would I be mad to get an electric car?

ifeelabreeze

I feel I'm probably coming at this from a different place to most here but I'm hoping to get your insight nonetheless.

I'm in my mid 20s, recently graduated college and have started a grad job that I'm really enjoying but is tying me to the midlands. I've moved out of my parents house but have quite quickly found that - it's still the midlands, there's nothing to do, and it's just not worth the price of rent.. So I'm moving back home for the foreseeable future.

I want to change my car - 2016 2L diesel Golf, it's been reliable, but I just want to change.

Having looked at some sporty options, I'm starting to look at going electric.

I commute 60km each way, 3 days a week. I'd be able to install a charger (parents don't mind). I do frig all driving beyond that.

I'd need to take out a Credit Union loan/finance regardless of what I'm getting - I was originally looking at a GTI but I feel a Model 3 would be a better fit, more money up front but ultimately cheaper (if my maths is correct).

Am I mad?

the_amazing_raisin

No

If you're mad about anything I'd say it's spending big money on a car when you could be saving for a house deposit, but that's your business

You'll want to take over the selection of the household electricity provider to ensure you're charging the car at the cheapest night rate to maximise the savings

In general you're right that the running costs of an EV will be lower over time. So if the price difference to the GTI isn't huge then it'll be an overall saving

Mantis Toboggan

If you can afford it absolutely go for it. You only live once.

Buddy Bubs

If you want to spend big money on a car, an EV is not a terrible idea.

However, living with your parents and spending big, mostly borrowed, money on a car definitely is.

Put the money into savings account, try buy a house then do whatever you want with your money.

I'd almost guarantee somewhere down the line you'll regret spending that kind of money on a car

Montage of Feck

https://www.boards.ie/discussion/comment/120729146#Comment_120729146

If ya only live once buy a GTi. Why go into debt for a car you'll get only be driving three days.

RurtBeynolds

Agree with others, spending big money on a car you'll only be driving part time sounds like a terrible idea.

Save the money, buy a house or travel.

Gumbo

What year GTi?

What version Model 3?

What price bracket?

We’ve all been in your position at that age so can relate.

joe1303l

Test drive an e-Golf Executive. You could put GTI Alloys on it if you want that sporty look. Cheap to insure/run and should hold its value pretty well. Great fun to drive. You should get good money for your TDI if it’s still in good shape.

...Ghost...

If you're gonna buy an EV anyway, the Model 3 is a fantastic and efficient car, not to mention very comfortable and safe. It will cover your commute all week on a single charge in the worst weather and at a cost of about 12 euro, assuming night rate electricity of 25c/kWh (high at the moment).

However, you're looking at 5-600 per month on finance depending on what you sell the Golf for. You'll definitely save on fuel costs, but your monthly is going up for 5 years. That's jot so bad if you are definitely buying a new car anyway. And it does sound like that's your plan.

You should be saving for a house deposit, as the others have said, but it's your life and your money. We don't know your circumstances, but you could do a lot worse than spending 40k on an ev.

podge1979

Jayus first I say get out of your parents house, I had to move back home in my late 20's economic reasons and there is nothing more depressing than been told by your mother to tidy you room (at that age). Freedom is priceless.

Their is plenty to do in the I lived there for a good few years.

I'd move out or say the money for travel unless you are big into your cars.

Paul Kiernan

Even at your mileage an electric car would save you around two grand a year in fuel costs alone. Then cheaper road tax, tolls, maintenance ....

podge1979

Have you enquired the cost to insure a Tesla in your age bracket. Might wipe out the 2k savings fairly quickly.

Premiums now being added to insurance policies for EV's especially Tesla's.

Mantis Toboggan

https://www.boards.ie/discussion/comment/120729182#Comment_120729182

Well in my view if you really want one and can afford it go for it, don't wait for 'someday' as someday may never arrive.

Obviously the sensible option is to not spend the money on a car but not all choices need to be sensible.

ifeelabreeze

https://www.boards.ie/discussion/comment/120729300#Comment_120729300

I did that, currently still paying rent as I type this from my parents kitchen.

I don't mind it honestly, I moved out, not to get away from my parents but for the shorter commute, chance to meet people, join clubs & generally enjoy life - found out there's feck all going on in the midlands, the longer commute doesn't tip the scales for me and I spend most my days in my bedroom, my housemates are 'fine' but that's the height of it.

I miss the dogs too when I'm away from home

ifeelabreeze

https://www.boards.ie/discussion/comment/120729829#Comment_120729829

It's about €300 more expensive than the Golf I'm driving. It's looking like a Model 3 will cost me about €600 a month, plus whatever on electricity. That'd still be cheaper than if I go with a Golf R or the likes

ifeelabreeze

https://www.boards.ie/discussion/comment/120730058#Comment_120730058

I'd still be taking out a bit of a loan for the GTI which is the other side of things.

I think the Tesla Model 3 makes far more sense - new car vs a car that's probably around the same year as my own (2016). Lower running costs on the Tesla, cheaper tax & it's a different type of enjoyment, rather than the type that could cost me my licence, Model 3 is still fast but not as sporty so I think I'd be less likely to drive it like I stole it.

I'd still be able to contribute towards the deposit. Obviously not as much as if I kept my current car.

I'm only starting to but I'm going to contribute the minimum €200 a month, I could probably contribute €600, but I'm so far off having enough saved & I'm still single - so why not put the money towards a car and then as my salary starts to increase put the increase straight into savings, so I'd be setting a baseline and then saving considerably beyond that.

eagerv

https://www.boards.ie/discussion/comment/120731348#Comment_120731348

I would love to have been in a position to afford a Model 3 or similar near at the start of my career😉. I probably would have bought something like an Ioniq 28kWh to see if an EV worked for me.

The Model 3 is far from slow, easy enough to loose your licence if not careful. I have driven a good few GTi types and the Tesla would keep up with most of them..

Best of luck whatever you decide, just a little jealous from someone a little older...😁

ifeelabreeze

https://www.boards.ie/discussion/comment/120731540#Comment_120731540

I will say it's more so I'm in the position to take on considerable debt - I'm well aware that it goes against the usual advice.

But I just feel like an electric car would entice a different style of driving compared to a GTI or the likes

iniscealtra

I think its not a sensible idea financially. If the Golf is reliable, keep it until it isn’t. Cars are money pits and devalue. Save your money.

kirving

I think you'd be insane to go spending what is likely a significant proportion of your income on a car. Doing 180km a week, it will take a long long time for a Model 3's fuel savings to balance out the depreciation. For the past few years we've been in an unusual position where cars are appreciating in value. This cannot and will not continue for the next three years.

A 3yo Model 3 with 30,000km on it will likely be worth more than the balloon payment of €15,326 which Tesla state below - but that's basically what Tesla themselves believe it will be worth when selling onto the trade.

Do you really want to be dropping potentially €700pm on depreciation when you could be spending it on holidays with a girlfriend in a year or two, or going on great holidays to Asia or South America?

Casati

I know folks in 2005 that wouldn't spend a penny on themselves, pumping everything into to saving house - which they did in 2007. The value of the house dropped by 70% and other lads I know who had been spending big on stupid stuff bought similar houses in 2010 for 40% of what their prudent friends paid. House prices are back to the stupid 2007 prices again but the lads that bought in 2010 have much smaller mortgages (and nicer cars!)

Your commute along with a bit of running around and the odd drive around the country will see you doing min 20k a year. In a Golf R you'd be lucky to see 9l / 100km so at €1.65 that's €3000 a year. Tesla charging at home on night rate at 25 cent a unit will probably cost you less than a grand. Buying an out of warranty Golf GTI won't be cheap - especially an R with high service cost for the haldex and dsg box - not to mention high potential of something going wrong which could see you spending thousands in a bad year on repairs. The upside is having a smile on your face every time you start it.

Its hard to overlook buying a new Tesla 3 RWD for circa 40k/ 42k. Sell you Golf - depending on spec/ mileage for maybe 14/16k and get a green credit union loan for the rest - rates around 4% are available. Pay off the loan in 3 years or less and you should still have a car worth close to 30k on your driveway. House prices might even have crashed by then

the_amazing_raisin

https://www.boards.ie/discussion/comment/120733145#Comment_120733145

I will say that if my son was living at home to save rent and then went out and bought a sports car and took on a big loan I'd probably double their rent payments 😂

The OP obviously has a decent enough job that they can afford it, I just hope they're saving as well but as I said earlier, that's their business

https://www.boards.ie/discussion/comment/120734120#Comment_120734120

Luckily the OP stated that "I've moved out of my parents house" so no worries there. I'd say go for it OP. Model 3 is great car for your frequent longish drives home. Spending money on diesel or petrol instead doesn't make any sense if you want to change your car, and the reduced monthly fuel savings will go a long way paying for it. Not that saving on fuel is the only reason why you'd want drive a Model 3 instead of a Golf.

Patrick2010

He said he moved back

Stevie2001

https://www.boards.ie/discussion/comment/120734120#Comment_120734120

Exactly

How does it look lol, living with mammy and daddy, while driving a brand new Tesla, not a good look :)

Sleep on this idea young man, we all have our wild ideas at your age

https://www.boards.ie/discussion/comment/120734822#Comment_120734822

So he did. My bad. Still if the parents have even given ok for a charging point install an EV (any EV with a long enough range) will make sense here. If you can afford and want a new Model 3 you can't go much wrong here.

Stevie2001

https://www.boards.ie/discussion/comment/120734895#Comment_120734895

Parents and electricity bills, ahhhh asking for trouble

If it was my father, the lights haha

CreadanLady

Be wary with tesla. Once the warranty is up, Tesla won't have any interest in supporting it. They will wash their hands of it and fob you off with ridiculous repair costs or an option to buy a replacement, which is really what they want.

Regular garages are not able to repair them. They can't touch them.

kirving

https://www.boards.ie/discussion/comment/120734780#Comment_120734780

The OP is spending around €800 per year on fuel. Even if the Tesla was free, it's a very small percentage of the inevitable depreciation. IMO they just aren't doing the mileage to offset the fuel cost and justify a Model 3 on a financial basis.

For fun, absolutely go for it, but cost savings are kidding yourself when you already have a car on the road.

If it was a choice between buying a similar Golf, and buying a Tesla, the Tesla could potentially represent the better choice cost wise, even at low mileage.

the_amazing_raisin

https://www.boards.ie/discussion/comment/120735212#Comment_120735212

I thought they were debating a used Model 3? Or did a miss a turn in the logic?

IMO there's some pretty excellent deals on used EVs at the moment which would easily cover the OPs needs

...Ghost...

https://www.boards.ie/discussion/comment/120735194#Comment_120735194

You're talking about every manufacturer and dealership in the country. Once warranty is up the manufacturer doesn't want to know you and the repair bills can be ridiculous regardless of the fuel type.

Regular garages can service or repair most items on an EV. They still carry most of the same components which any indy can sort out. I took my out of warranty Leaf to the local Atlas when I wanted brakes checked and a full brake fluid flush. They were able to change my tyres and plug a puncture too on a couple of occasions. The high voltage stuff, like battery, motor and drivetrain have much longer warranties than the rest of the car.

Casati

https://www.boards.ie/discussion/comment/120735212#Comment_120735212

€800 a year currently?? I must get myself a 2016 Golf if they can return circa 3 l/ 100km!

kirving

https://www.boards.ie/discussion/comment/120737533#Comment_120737533

Sorry my mistake, I thought it was 60km x 3 days = 180km. Will be about double that.