Yes, I agree, I need to do a more formal comparison before concluding that. And I only have “budgetary pricing” given over the phone, don’t have all the numbers I would look at before “seriously considering” the lease. FWIW, this budgetary quote did not include tax, title, license etc. either.
I wanted to resolve the question about the EV rebate before engaging in a more serious discussion on cost. Given the discussion on this thread, I guess this is NMFC decision so unlikely to change, and maybe I should just get a detailed quote and see if the numbers make sense (in reference to @max_g quote of “hidden rebate” in inflated RV value).
I believe a large part of the high depreciation is due to the fact that the original buyers did not pay anywhere near the MSRP for the cars initially. In addition to the $7,500 tax credit, there were large discounts available pre-COVID. Additionally, in California (and other states), there were several thousand dollars of state and utility rebates available. So many buyers’ total cost was way below MSRP, so depreciation looks much worse than it really is. ,
You can also look to do a balloon finance in which your payments would look much lower like a lease payment since you would not be financing the full price of the car. This way you get the low payment of a lease and still benefit from the $7500 credit.
Thank you @Aman_Kakar for the insight. To be honest, my main goal is not to manage "a monthly payment below a certain level’ - I should be able to manage a lease or a purchase payment for a car in this category.
The primary question in my mind is actually the following - my 2019 Hyundai Ioniq lease ends on March 23. I have the option to buy it outright for $15K+tax, and I can manage the finances for the purchase. A new car would be nice in its own right plus the promise of car pool sticker usage for the term of the new lease. But I care about “overall value” and if all options for a new purchase/lease require me to pay “well above MSRP and not get rebates” then it is substantially cheaper to just buy and keep the Ioniq until market conditions improve.
So, I am basically contemplating either buying and keeping the Ioniq v/s making a final few checks on whether a “reasonable” new car lease/purchase is possible in the current market. I don’t have an objective definition of what I would consider “reasonable” so just trying to see what is possible for a “compact sedan EV” and then decide one way or the other.
Hybrids are usually (IMO) cars that stop at lights to save gas…hehe Only 1 motor, a gas one.
Plug In Hybrids have 2nd battery for the EV engine. And well 2 motors, 1 gas and 1 electric
So no, the Highlander hybrid isn’t going to qualify. on the website is a full list
Fed Gov Here
And you will see Toyota only has 4 models , 2 Prius types and 2 Rav 4 types. No Highlander
My current ICE does that. My prior two Hybrids ran either on the batteries while the gas engine was off, or on the gas engine and collected waste energy to charge the batteries.
A PHEV is a hybrid with bigger batteries that can be externally charged.
The Federal Tax Credit is based on how far the vehicle can travel on a particular non-gas fuel source. EVs and HFCs get the max, PHEVs get some (more based on how big the battery pack is), Hybrids no longer get anything.
Thank you @forbs for the response. My monthly payment for the Ioniq is only about $125 per month because I made a large down payment - my total cost including down payment and all taxes over the course of 3 years is about $11.5K, so roughly $320 per month assuming zero down.
I really like the Ioniq EV, and would have leased one again, but they don’t make them as EVs any more. I would also be interested in a Hyundai Kona EV, but those are extremely difficult to find - it seems Hyundai is using all its EV manufacturing capacity for the Ioniq 5, which is a much more expensive car.
At present I believe a Nissan Leaf is probably cheaper than the Kia Niro, so that is what I am exploring, although open to other suggestions based on availability.
Thank you @Lumberjack627 for your response. I prefer a pure EV - not a hybrid or a plug-in hybrid. Only maintenance over my 3 year lease was tire rotation (low mileage due to Covid), and I am fortunate to get free charging at my employer, so minimal “fuel” cost for occasional charging at home.
