Leasing an electric vehicle is getting cheaper amid soaring auto loan interest rates making new car purchases unaffordable.
As demand for EVs slows, dealers are offering generous incentives to get rid of piling inventory, making some EV models cheaper than their gasoline engine cars, CBS News reported.
As of July, the average price of a new car was $48,401 and the average price of an electric vehicle was $56,520, according to Kelley Blue Book. These high prices led to an 81-day waiting period for dealerships to sell electric vehicles.
As a result, manufacturers and dealers have been pushing incentives, making electric car leasing a more affordable alternative to buying, appealing to consumers who have been on the fence about EVs.
Ivan Drury, Insights Director at Edmunds.com, said, “There are some absurdly cheap EV lease deals right now. It’s a no-brainer you see consumers go this route.”
Another advantage is that some EVs are eligible for the federal government’s $7,500 tax credit, which is not available for purchases but is available for leases.
“Depending on the make and model, you can typically lease an EV for around $300 per month this month,” said Sean Tucker, lead editor of Kelley Blue Book.
Based on TrueCar, the average monthly lease cost for a 36-month lease program with 12,000 miles per year and an average $2,000 down payment was $240 per month for the 2024 Hyundai Ioniq 5.
The Ioniq 6 averaged $273 per month, the Volkswagen ID.4 was $287, and the Kia EV6 averaged $294.
According to CarsDirect, Honda’s first electric SUV, the 2024 Prologue EX, costs $269 per month for three years with a $1,999 down payment, for a total lease cost of $325 per month.
The 2024 Kia Niro EV Wind comes with a $3,999 down payment and $169 per month for two years for a total lease payment of $336 per month. The Nissan Leaf was $259 per month for three years with a $2,285 down payment.
Subaru’s 2024 Solterra Premium can be leased for $329 per month for 36 months with no down payment.
Kia offers Tesla drivers cash incentives of $1,500 for the EV9 and $1,000 for the EV6 when they buy or lease one of its EVs. This makes the EV6 cheaper to lease than the Soul, a compact crossover with a gas engine.
Industry insiders said EV leasing programs can change from time to time, depending on the brands and location, so it’s important to check online for updated information, such as dealer websites, to find the best deal.
BY NAKI PARK, HOONSIK WOO [park.naki@koreadaily.com]
