Hyundai Ioniq 5 SEL AWD Deal Check - first time leasing: $656.98 monthly, $2,200 downpayment

First time leasing a Hyundai ioniq 5. This forum helped a lot in my research. A big thank you to all the lease hackers!
Can someone please check the numbers in my lease sheet? I paid $2,200 downpayment and received a $7,500 rebate but the capitalized cost reduction is not $9,700. I am probable missing something obvious. Please help me understand.
Hyundailease.pdf (844.6 KB)

Tax on 7500 , first month payment, registration, etc… You can see 9700 tallying in the middle of the sheet

You should change your post title to include the car model, DAS and monthly. Also maybe post your numbers instead of making people download a pdf. You will get more help that way even if you can’t post a calculator.

You are going to spend nearly 25k over 3 yrs for leasing the car. Nearly 8K in just financing cost alone. Are you planning to buy it out to get the 7500 lease credit which you might not get if either your income is too high or don’t have any tax obligations ?

Did you look at this?

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Do you qualify for the $7,500 if you purchase?

Nobody does on an ioniq 5

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My understanding is that Hyundai gets the $7,500 for leasing you the car (even if the car doesn’t get assembled in the US). They can then choose to incentive buyers by offering cash bonuses towards the lease.

So even if Hyundai lowers the cash bonus down to $5,000, they still get to pocket $7,500 from the government and keep $2,500 for themselves.

Last year’s Inflation Reduction Act provided a federal tax credit of up to $7,500 to use toward an EV. Under the rules, a dealer can apply that credit to any leased electric vehicle, no matter where it’s made, to reduce a customer’s monthly payment

Without knowing the MSRP Sticker price, I can’t tell you if the 50k you paid is good or bad. If it is a I5 SR RWD, that’s pretty bad.

Updated title to indicate it is a 2023 Ioniq 5 SEL AWD. The MSRP was $52,820. I was able to negotiate it down to $50,000. Huundai did pass on the EV rebate so my purchase price is $42,500 + $650 acquisition fees and then taxes and other fees.

I am torn about buying since I am not sure how to value the car after 3 years in a used market. Plus, dealers are offering a huge discount for buying SEL, to the tune of $5,000. Still leasing is a bit lower.

My other question is about the rent charge. If I am consuming $13,547.88 of the car’s value in 36 months, and paying rent charges of $7,904.53, then really the APR is not 8-9% it’s almost half of the consumed value over 36 months, right?

APR isnt based on “consumed value.”

This isnt quite how things work, but a good way to picture thingd to help understand why rent charge doesn’t work the way youre trying to make it work. With a lease, youre sorta financing the entire vehicle price and just have an agreed on repurchase value at the end. So youre taking out a “loan” for $43k, making a monthly payment where some of the payment goes to principal and some goes to interest, and at the end, its being bought back for whatever the residual value is. The interest is applied to the loan value, not to the sum of the monthly payments.

In other words, your apr is applied to $43k, not $13.5k.

The actual APR on your lease is 7.28%. It is the effective interest rate that your fund provider uses to amortize your lease in much the same way that a loan is amortized. You may find it helpful to look at my lease amortization schedule that I posted some time ago…

Lease Payoff - Know Your Lease Balance and Create a Lease Amortization Schedule - Off-Ramp - FORUM | LEASEHACKR

Hope this helps.

So you got $2820 off MSRP before rebates.

That’s pretty good. The west coast brokers here are 1-2k right now.

Hi! Prospective i6 buyer here, so I found this post really helpful. Thanks especially for including the PDF of the lease details.

I guess you’re in CA based on the “CA tire fees”. I’m also in CA (Bay Area). Would you mind sharing the dealer you worked with?

I’m curious about the tax on cap cost reduction ($771 on $7522) which is over 10%. Is that what state sales tax is where you are, or is there some additional tax besides ordinary state sales tax?

Thanks for the info and enjoy the new car!

Yes, I am CA. My city has a sales tax higher than 10% so that’s why the number is so high :frowning:

You can go to any of the DGDG dealer in the Bay Area, if you are here. Their prices and discounts were called out online and I did not experience any pressure to buy any extras.

Happy hunting!

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