To EV or not to EV

LDB

Joined
Nov 11, 2009
Messages
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Location
Houston(ish), Texas
that is the question. I am selling a rental property. I anticipate receiving a check at closing for ~$110k more than my basis. I have no idea how much taxes I will owe but I know they will come from the IRS with their hand out. I know the requirements to qualify have changed and many (most?) EVs no longer qualify for the credit. I hate to think of handing the IRS a big check so I'm considering an EV again to take advantage of this one time credit. I'd likely look at the Bolt or the Escape PHEV, maybe the ID.4 but maybe leaning to Escape PHEV as the best blending of EV and ICE and if worst case the EV part fails I still have a useful vehicle. I believe this is a good spot to get useful input. Thanks.
 
I'd likely look at the Bolt or the Escape PHEV, maybe the ID.4 but maybe leaning to Escape PHEV as the best blending of EV and ICE and if worst case the EV part fails I still have a useful vehicle. I believe this is a good spot to get useful input. Thanks.
Are you sure about that? On many hybrid cars, if the hybrid components fail, the car won't move.
 
So you're planning to offset the heavy IRS taxes levied on you for the sale of your property by applying for a tax credit on a new electric vehicle; very clever.
 
So you're planning to offset the heavy IRS taxes levied on you for the sale of your property by applying for a tax credit on a new electric vehicle; very clever.
Yes, considering that. I have no idea how much the tax will be but have emailed my accountant to inquire. I figured if it's the full credit amount it might make sense.
 
You have a very wide range of vehicle styles for what you're considering. What style of car do you prefer? I think the ID.4 is great if you would benefit from a crossover, I feel it's better looking than the Model Y. The Bolt is great for a hatch. I am partial to the Model 3. I like how it drives and how it looks. I would say I don't recommend any EVs over $60k, but that's not entirely true, I just think at that level it's diminishing returns no matter what powers the car. I'm finally at a point where I could afford a car past that, but that's only more value to drive out of a vehicle if it's not collector grade. I like the Model S, Lucid, and the Rivians, but that's a lot of money to drive something that will lose value quickly because of its starting point.

Definitely consider what you'll need for public charging and what is available in the areas you'll need it. Right now I'm in a situation with one of the locations I drive to on a somewhat regular occasion that there's nothing above Level 2 in that 300 mile round trip for anything that can't use the Tesla Supercharger network. There aren't any cars that are reliably solid in the 300+ mile range under $60k either, so for me it's Tesla even if something else would interest me. I still drive ICE for my daily though and it's not because I don't like EVs, an EV just makes more sense for my wife's driving habits and it becomes my daily when I'm not working. I just can't justify starting my car for around town driving. Right now I'm getting all the benefits with both but It's very possible my GTI will be replaced with an EV in the not so distant future.
 
I think I'm leaning toward an Escape PHEV. My typical day is under 10 miles so it would run just on the EV side. I could easily recharge at home, likely even on 110v. But I'd be able to drive literally cross country with only stops for gasoline if desired. But anything under $50k is fair game. I'm partial to an SUV or something with a higher roofline, easier ingress/egress.
 
The other thing to consider with an EV is if you keep it longer than the battery warranty the value is probably under zero, chances are you will have to pay to scrap it.
A factor to be weighed in the decision for sure.
 
My doctor owns a Volvo wagon as a DD, he was considering a EV to replace the Volvo, we talked about it for about 30 min and he came to the conclusion that after 8-10 years the car will probably need a 25K+ battery in a car worth less than 10K, no matter what he figured it didn't save a penny in the long run. He is keeping the Volvo and buying another ICE car.
 
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