Getting to experience 25 years of technological advancements.
Upgrading from a 2001 Honda Accord to a 2026 Tesla Juniper has gotten me giggling like a teenager again.
Before going into my new car details, let’s bid farewell to my ~25-year-old reliable and low maintenance Accord! She still runs fine, but I chose to retire her at 254,003 miles.
Gone are the days of getting oil changes and replacing my own headlight bulbs!
Buying a car is very much a financial decision that we are not educated about. It’s such a crucial aspect of it, and no one really teaches this to fresh graduates. It is extremely common for people to finance a new car right after signing onto their first big kid job.
Personally, I couldn’t fathom incurring debt so that I can drive this box to a job (read: another box) that was needed in order to pay off said debt.
Make it make sense.
I have always viewed cars as a major liability and depreciating asset, and despite having gotten a brand new one, my sentiment remains the same. A car is simply a tool that allows me to move from A to B. It’s hard to see the appeal in owing money on a loan so that I can buy some thing (barring a mortgage).
I felt comfortable moving forward with this particular purchase because it is purely being paid for by my passive income. I placed a partial pause on my DRIP (Dividend Reinvestment Plan). At the end of the day, I do enjoy materializing my gains into physical reality, otherwise they are just numbers on a screen—money is meant to be spent and we can’t take it with us when we die!
It’s so liberating to know that I’m not dependent on an employer for me to afford my monthly car payments. I don’t need to expend productive energy to own this Juniper, and it’s such a wonderful feeling!
Timeline
After we got Kenzo, I had begun entertaining the idea of getting a larger size car to accommodate a golden retriever (and boy, he grew fast!). Last fall, we visited a couple of dealerships and test drove an SUV for the first time. The size of the Tesla Model Y was an option for our growing family, and news had released that a refreshed model would launch in 2025.
So I waited—just the sleeker look of the Juniper was enough of a reason for me to defer the purchase.
It was worth the wait.
Back in July, President Trump’s BBB resulted in ending the federal EV tax credit on September 30, 2025.
I don’t qualify for the tax credit this year, but I discovered that you can apply it retroactively by using the previous year’s income! Since I was laid off and my modified AGI was well below the eligibility threshold, I am more than eligible to apply the EV credit on this year’s upcoming tax return. Saving $7,500 made it easy for me to consider the Juniper.
The minimalistic interior is right up my alley and most importantly, I am drawn to the FSD! It reduces my driving fatigue in ways I couldn’t have even imagined. I’m still marveling over the self-driving and parking features since I’ve always relied on my own vision and capability to maneuver a car. Additionally, there are eight cameras all around that allows for constant monitoring/recording? Ventilated/heated seats? Oscillating air vents? And a frunk?
Color me impressed!
Tessie’s Configuration:
- 2026 Juniper LR RWD (perfect for our Bay Area lifestyle)
- 19″ wheels (cheaper maintenance in the long run)
- White paint (*ahem* I need it to look clean for as long as possible until my fiancé kindly takes it in for the next car wash. . .)
- Tow hitch (future-proofing our road trip and camping needs! I had no interest in installing it at a higher price with a potentially lower quality rear bumper alignment after the fact)
Dog Mode will be amazing for Kenzo when he finally gets to ride in it! We want to cherish the new car smell and fur-free interior for now since he sheds in both of California’s seasons.
I’m especially ecstatic about Camp Mode.
I had been considering a camper van for our future adventures, but Tesla’s software is so cool! The practicality of owning a commuter car as well as getting to occasionally switch it up into a camping vehicle sealed the deal for me. I know people use roof storage but considering all that glass up top, I can be clumsy and don’t really trust myself not to damage it. Not to mention my height is on the shorter side, so adding a tow hitch it is!
This car buying experience was such a breeze and didn’t even require my leaving the house! I placed the order online as though purchasing an item from Amazon. I’m a huge fan of disruptive technology, and who knows? Maybe one day car dealerships will become obsolete.
Financing
This was my first time exercising my credit score and learning how it greatly affects approval and level of interest rates. I researched thoroughly on depreciation values, upside-down and right-side up loans, GAP insurance, etc.
There was so much new material to learn when preparing to take on debt.
Ultimately, for peace of mind, I knew I wanted to have positive equity in the car the moment I drive it off the lot. This resulted in my putting down a payment that equates to 43% of the car’s value.
I didn’t want to take out an upside-down loan, meaning I would have negative equity in the car—the value of the car would be worth less than the amount owed on it.
It appears to be a tricky financial situation to get into since if the car got totaled soon after I bought it, I would still be liable to pay off the remainder of the car loan.
I went with Tesla insurance and while you can add GAP (Guaranteed Asset Protection) insurance to your policy coverage, it would pay out just 25% of the underwater amount (the difference between your car’s actual value and remaining loan).
I wasn’t down for that.
On the other hand, if this wasn’t a concern to me, I would have easily put $0 down.
There’s this notion that paying interest is bad but on your wealth building journey, you’ll come to find that it will always be situational.
The APR that I accepted is lower than my investment portfolio’s APY. It’s a no-brainer to leave that money in the market for it to continue working for me at a higher return rate than I owed in interest payments on the vehicle.
Better it working for me than the other way around.
By the way, Tesla does not use the safety score to determine insurance premiums in California. Lucky me!
Inspection
Did you know that you can inspect the car exterior before making your final payment?
Since I was local, Tesla offered to deliver the car to my home for free. I rejected the offer since I wanted to personally inspect it prior to making my large down payment.
My scheduled pickup was set for August 17th at 3PM, and it was hot and super bright outside. In spite of that, I went in knowing that I wanted to inspect every panel, light, tire, paint job, and glass, before accepting delivery of the car assigned to my order. It costs a pretty penny and I sought near perfection (it helped that my pickup location was also where it was manufactured, so there hadn’t been any transport necessary!).
For me, the most important element of the car inspection after taking delivery was ensuring the manual door release levers did the job they’re intended to do. Being a mom causes me to prepare for the worst—I had to make sure that Kenzo and our future kiddo will be rescued in the event of an emergency!
While we were in the rear seats testing the doors, we excitedly went in for a hug and out of the blue, I started crying. I felt overwhelmed by gratitude and excitement for my new car. It was such a pivotal moment for me to be reminded of how practicing patience and delaying gratification have positively benefited my life.
Frequent upgrading to the latest new and shiny thing begets further upgrades.
I was amazed that my new odometer read 5 miles, since I had gotten used to seeing 6 digits for as long as I can remember (it’s the little things).
In the 17 years of my driving history, I had never made a single car payment. My family was not able to afford a car/insurance for everyone, so my first and only car was a hand-me-down from my sister after I graduated college, and I am forever thankful for it. As the years went by and the Accord sustained more oxidation and cosmetic issues, I still couldn’t care less about what others think of the box I drive.
I cared more about executing the life plan I made for myself, and that required keeping my finances in order. Maintaining the discipline to turn my vision into reality also helped me evolve as a person as I continued building throughout the years.
The secret to growing wealth? Invest your money while you’re young (today is the youngest you’ll ever be!). Time and compound interest will do wonders and one day, your investments will hopefully pay for your toys too.
Cheers!
P.S. This was my reaction to using my fiancĂ©’s ICE car after owning Tessie for nine days:
