Hi! Located in Illinois.
I am super confused and looking for some advice on if it’s a good idea to lease vs buy a 2025 XC90 given the number of attractive rebates (7,500 EV credit, Costco discount and dealership rebate 4,000 both together).
Does anyone have advice or thoughts on leasing a vehicle to qualify for these rebates and then buying out your lease a couple months later?
Here is the offer we received today for reference.
Any help SO appreciated I am going mad over these numbers 
I won’t comment on lease vs buy, but I will tell you that the offer you got is terrible compared to most of the current deals. Spend time on this site, especially in the Signed! section so you know what your target monthly payment should be. Also, spend the $15 and become a super supporter here so that you can use the calculator to put your deal together.
I will. Lease it. This is absolutely not a car you buy. And this is coming from someone with one in the driveway right now.
Thanks so much for your reply! Can you expand on the reasons you think it’s not good to buy?
Search this car on the forum and sort by newest….
Research
LOL I have. 23 XC90 recharge in my driveway and I would never buy it. Depreciation and financials aside, the whole rear motor assembly had this weird thumping noise thats hard to explain. Upon further research it seems that it’s a common issue with the whole rear motor assembly which needs to be replaced. Electronics are horrible, backup camera has a mind of its own and the car decides when it wants to turn the camera on when in reverse…just lease it it’s a great car otherwise.
I had my electric rear drive motor replaced 4 months in. Almost lemoned the car out over it. But Volvo ended up giving me some money and I had a fine loaner the whole time so wasn’t actually a huge deal.
Everything said above. It just doesn’t inspire long term ownership confidence due to the cost of repairs. Also it’s an aged platform already. For the value I really like the car and with charging regularly I almost never buy gas. But in a few years I don’t want to have to worry about the depreciation if I want to move on.
It’s got the potential to be such a cheap lease. Why would you take on its steep depreciation?
For people who prefer to buy and hold there are other options.
Yeah this makes Tesla look like a better buy than the xc90 
I have 7 months left and I can live with the weird motor noises. It makes me think that the whole drivetrain is designed and better fitted in the xc60 as the 90 is probably too heavy.
if you want to own this thing, lease it and immediately buy it out to capture the 7500 and other lease incentives. that said, i cant imagine why someone would want to own this, especially after it is out of warranty. the amount of $10k+ upside down xc90 trades i get from repeats from 2019-2020 is staggering.
I had a pool of oil from the electric motor on floor of mygarage. Mechanic said I was days from a complete failure and car becoming suddenly inoperable.
Absolutely, that seemed to be consensus when I researched online. Interestingly my new unit provides slightly better mileage and is quieter. I suspect they upgraded the electric rear axle at some point in 2024 if for no other reason than to save money.
For me, after some complaining corporate agreed to reimburse the dealership for my loaner as well as shipped a new electric rear axle from West Coast according to dealership (this is when Port of Baltimore was closed). Considering shipping, the $2k+ part, labor, loaner and the financial compensation they gave me there is no way this didn’t cost them 2-3* my total lease payments.
These electric drive axles are covered for 4 years or 50k miles. It doesn’t matter much to Volvo if they fail after the warranty expires but I can’t see how it’s financially viable to have them failing at a significant rate within the first few years of ownership. The warranty repair cost is just too high.
The offer you got is nearly double per month compared to other signed leases for this same vehicle on this forum.
2.0l turbo supercharged hybrid, what can go wrong?! 
Lease only.
No longer supercharged, they dropped that when the battery increased
