I’m looking at EV leases and they almost doubled from the deals 2 years ago
Meanwhile 2-3 years EVs like Tesla or Ioniq selling in the 25k range
We wouldn’t mind keep driving ioniq 5 but residuals tanked and it doesn’t make any sense to buy out lease.
Thinking maybe it’s time to finance EV instead of leasing, or even pay in cash.
2-3 year leases are roughly equivalent to 4 years financing on 2-3 years used models. The cash purchase of a used EV is probably going to be the most efficient. Wouldn’t need expensive insurance coverage
Looking at ioniq 5 and Tesla Y, not sure if there any other models manufactured on dedicated EV platform
If anybody is in the same boat, let me know how you’re approaching current pricing regime.
Yep, bought mini SE, fits my driving need and cheap. Unless the cheap ev lease comes back, I will buy another used ev when my current EQB lease ends next year
Where are you getting this “cars they don’t like” line from? Most EV drivers like their cars. I can see those that paid top dollar $60K because new ones are 1/3 less, but most Tesla drivers like their cars.
I think you’ll likely suffer the same depreciation expense either way. But if any electrical or mechanical issues arise out of warranty, you could be up a creek.
Inventory will build up across other brands that don’t bail out of basically their entire EV strategy like Ford, and that should herald some good leases too. Inventory is low rn because Q3 was a massive firesale.
You have a current I5 lease that has a buyout higher than the market value, therefore it makes sense to just return it at lease end. If you decide to buy/lease a new Hyundai, maybe they waive the lease turn-in fee. Financing a 2-3 year old EV is still going to be more expensive than leasing a new one, but ultimately less expensive than a continuous cycle of leases IF you keep the car for many years. Does size of monthly payment matter? How long do you expect to keep the used EV?
A new I5 lease will cost you less than $10K over the next 24 months. If you don’t plan to keep the used EV longer than that, a short term lease may be the way to go.
When did we start calling $25k cheap for a 2-3 year old compact crossover from Hyundai? It’s a normal, and maybe even slightly high price if you see it as what it is: 2-3 year old compact crossover from a mainstream brand.
You, and many others, are under the influence of a collective hallucination called MSRP. Those numbers were determined back when:
money was cheap
governments around the word were handing out tax credits like candy
carbon credits were highly lucrative
Li-ion battery demand was through the roof
gas price felt like $10/gal.
As a result, Tesla Model Y was like $62k back then. Now their MSRP is like $44k? Hyundai cut Ioniq 5 MSRP by $10k like it’s nothing. Those numbers align much better with their true market value, provided that EVs are still premium, niche products.
My prediction: those $25k EVs will now depreciate like comparable gas cars from now on. Or maybe even slightly faster because the $25k used car market would lean more toward “tried and true” stuff.
I’d budget for 1% monthly depreciation + financing cost for a used EV. If you could match or beat that number with a new car lease deal, go new. It won’t be that hard for the next 6-12 months.
There are depreciation-only loans that you can walk away from at the end of the term. May want to check it out if you are considering a used EV (especially if 1 or 2 years old). There is a section on here with a list of financial instituate that offer these “payment saver” loans, might be worth it compared to a brand new and you can live with a slightly used car.
You can get Chevy Equinox EV ($37k msrp) or Kia Niro EV wind (42k msrp) lease for less than $300/m all in. It will take 90 months to spend $25k with that monthly payment.
new I5 lease will cost you less than $10K over the next 24 months
It feels like i5 can go another 3-5 years easily
I see they priced at 25k, we’re considering to return this and buy equivalent one
There are some savings from less expensive insurance
My prediction: those $25k EVs will now depreciate like comparable gas cars from now on. Or maybe even slightly faster because the $25k used car market would lean more toward “tried and true” stuff.
the thing with EVs they still drive like new
I just don’t see what else we could get in newer EVs in two years from now that would make compelling to lease it again
I should go check equinox, I looked at exterior and don’t think anybody in household going to like this traditional suv look after open and flat space in ioniq
Niro is build on a shared platform, want to stick to ev ones like Ioniq’s e-gmp
