Macan EV: Who is leasing vs buying?
#16
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My advice is: do your own due diligence by asking to see the early lease buyout language in the PFS lease. There is a lot of misinformation on this subject out there including people who will insist for an absolute fact that they know how this would work, and are mistaken. You probably won't get accurate information from the dealer either. Read the actual lease language.
#17
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I appreciate your explanations - and agreed, other brands are doubling down to sell their cars with discounts and very low rates, just like the Ioniq 5 example I gave.
Few things to add:
1. There are no sales tax in Jersey for EV, so $0 there. The numbers above are without tax and none would need to be added.
2. You’re right I couldn’t get a loan at 0% (unless you go for Ford or some other brand currently offering it as a promo).
3. I personally would not loan, I would either pay upfront (from savings) or lease if the numbers made sense, so I could get a new car after 3 years (preferred scenario).
Of I were to buy, my actual cost would be exactly $113k (plus registration/etc) vs much more leasing.
4. You have a point about how much interest I could make by leaving that money in a savings account - but seems I’d still be paying much more than that. No?
If I missed something, would love to understand what/where. Thank you!
Few things to add:
1. There are no sales tax in Jersey for EV, so $0 there. The numbers above are without tax and none would need to be added.
2. You’re right I couldn’t get a loan at 0% (unless you go for Ford or some other brand currently offering it as a promo).
3. I personally would not loan, I would either pay upfront (from savings) or lease if the numbers made sense, so I could get a new car after 3 years (preferred scenario).
Of I were to buy, my actual cost would be exactly $113k (plus registration/etc) vs much more leasing.
4. You have a point about how much interest I could make by leaving that money in a savings account - but seems I’d still be paying much more than that. No?
If I missed something, would love to understand what/where. Thank you!
Our 992 is at the port in SG and hoping to take delivery in the next 2 weeks. My dealer reached out about settling up and I asked him to run the lease numbers. The rate was so high that I thought maybe I'm missing something and searched the forum with the key word "lease" and came across your posts. (Others too and figured my quoted rate wasn't an outlier).
I just looked up NJ sales taxes, that's a great deal for you folks!!! Lot's of state specific rules, that no sales tax is great and looks like a separate state rebate too?
I also see that NJ is looking to phase out that EV sales tax break, it could be halved or worse at the end of a 39 month lease!
The issue with the Porsche Lease is that high money factor/interest rate of 11%. Many of us are up 10%-15% in the stock market this year but for that level of gain over the next 39 months is highly unlikely. So that interest rate is very problematic in a buy vs. lease comparison.
The one thing I was ask you to think about is resale. Lot's of new EV's coming to the market and nationwide EV sales penetration has stalled at the 7%-8% range. Ton's of incentives to move EV's ask a MB dealer, they are drowning in EV's they can't sell. With a lease you have a "put" on the price, in 39 months if your Macam isn't worth $61k you can walk away. If you're in the money, its great for you and can trade up/out if wanted. I've been in auto lending for 40 years, as a lender, when residuals are higher than market value, they all get turned in, when they have equity the consumer or selling dealer (who has the right of first refusal) grabs them all. Lease Lenders don't get the true upside.
With that said, I'm pro lease and tell folks to consider as you have options. In the case of EV's the vast majority are now leasing, partly due to incentives but more importantly to gain that put option. Tesla discounting has really hurt EV resale market. Take a look and Taycan, they are great cars and a great used car value. I would tell anyone that you really need to consider used on a Taycan since resdale has been soft.
Best wishes to you!!! I'm going to pay cash for our 911, but if the Porsche Finance lease rate was in the 6%-7% I'd go lease, let my cash keep working and more than likely buy it out in 3 years.
Good luck and enjoy your new Macan!!!!! Mike
#18
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Does Porsche do 24 month leases? I go through my business cars every 18 months or so because I drive a lot (25k+ miles a year). I was thinking that I get into a 2-year lease, get the $7,500 tax credit, and End of Term Lease Loyalty Program where PFS provides a waiver of 3 months of payment and up to 12 months if you get into a new Porsche lease. I'll have to talk to the finance manager at my dealer about this in more detail.
#19
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Does Porsche do 24 month leases? I go through my business cars every 18 months or so because I drive a lot (25k+ miles a year). I was thinking that I get into a 2-year lease, get the $7,500 tax credit, and End of Term Lease Loyalty Program where PFS provides a waiver of 3 months of payment and up to 12 months if you get into a new Porsche lease. I'll have to talk to the finance manager at my dealer about this in more detail.
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usctrojanGT3 (07-24-2024)
#20
#21
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usctrojanGT3 (07-24-2024)
#22
Rennlist Member
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Would highly suggest leasing instead of buying. I also lease a Mercedes EV - got it for a massive discount of 20%, plus additional incentives + $7500 tax credit. These things are all depreciating far worse than any ICE car - just look at Taycan incentives and massive 1 year depreciation. I guarantee you in 3 years the Macan EV will sell for less than 40% of MSRP, maybe even worse. EVs depreciate like computers - better software, better batteries, better charging tech every year means additional depreciation impact.
If you're buying/financing an EV at $120K, you're looking at a minimum loss of $60-70K in 3 years excluding taxes and transaction fees. There's a reason I outright own all my 911s and lease my EV :-) Just saying...
If you're buying/financing an EV at $120K, you're looking at a minimum loss of $60-70K in 3 years excluding taxes and transaction fees. There's a reason I outright own all my 911s and lease my EV :-) Just saying...
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GDF (07-27-2024)
#23
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Would highly suggest leasing instead of buying. I also lease a Mercedes EV - got it for a massive discount of 20%, plus additional incentives + $7500 tax credit. These things are all depreciating far worse than any ICE car - just look at Taycan incentives and massive 1 year depreciation. I guarantee you in 3 years the Macan EV will sell for less than 40% of MSRP, maybe even worse. EVs depreciate like computers - better software, better batteries, better charging tech every year means additional depreciation impact.
If you're buying/financing an EV at $120K, you're looking at a minimum loss of $60-70K in 3 years excluding taxes and transaction fees. There's a reason I outright own all my 911s and lease my EV :-) Just saying...
If you're buying/financing an EV at $120K, you're looking at a minimum loss of $60-70K in 3 years excluding taxes and transaction fees. There's a reason I outright own all my 911s and lease my EV :-) Just saying...
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Leasing the Macan is *very* expensive - and if you can buy outright (not financing) and sell it after 3 rights, I’m not convinced it’ll have cost you more than the lease.
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Awas (07-26-2024)
#24
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Would highly suggest leasing instead of buying. I also lease a Mercedes EV - got it for a massive discount of 20%, plus additional incentives + $7500 tax credit. These things are all depreciating far worse than any ICE car - just look at Taycan incentives and massive 1 year depreciation. I guarantee you in 3 years the Macan EV will sell for less than 40% of MSRP, maybe even worse. EVs depreciate like computers - better software, better batteries, better charging tech every year means additional depreciation impact.
If you're buying/financing an EV at $120K, you're looking at a minimum loss of $60-70K in 3 years excluding taxes and transaction fees. There's a reason I outright own all my 911s and lease my EV :-) Just saying...
If you're buying/financing an EV at $120K, you're looking at a minimum loss of $60-70K in 3 years excluding taxes and transaction fees. There's a reason I outright own all my 911s and lease my EV :-) Just saying...
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DTaxman (08-13-2024)
#25
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Would highly suggest leasing instead of buying. I also lease a Mercedes EV - got it for a massive discount of 20%, plus additional incentives + $7500 tax credit. These things are all depreciating far worse than any ICE car - just look at Taycan incentives and massive 1 year depreciation. I guarantee you in 3 years the Macan EV will sell for less than 40% of MSRP, maybe even worse. EVs depreciate like computers - better software, better batteries, better charging tech every year means additional depreciation impact.
If you're buying/financing an EV at $120K, you're looking at a minimum loss of $60-70K in 3 years excluding taxes and transaction fees. There's a reason I outright own all my 911s and lease my EV :-) Just saying...
If you're buying/financing an EV at $120K, you're looking at a minimum loss of $60-70K in 3 years excluding taxes and transaction fees. There's a reason I outright own all my 911s and lease my EV :-) Just saying...
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ProEng (07-29-2024)
#26
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$60-70K is still less than what it appears the leasing will cost in the same amount of time. But I also think anyone buying with the thought to sell it in a few years is wasting a massive amount of money. I mean it's their money so they can do whatever they want, just feel like you should buy this car with the idea to drive it at least till the battery warranty ends (8 years) to get your money's worth.
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#27
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Leasing, by itself, is not a solution to minimize « losses ».
But leasing + incentives + 0% rate for sure is a good deal for people who change car every 3 years.
There is no way to have huge discount/incentive on a Macan EV (1-2% max discount on MSRP? Moreover, it is not correlated with leasing), so we have to pay it and enjoy it without stress!
Canˋt wait, 7 weeks to go
But leasing + incentives + 0% rate for sure is a good deal for people who change car every 3 years.
There is no way to have huge discount/incentive on a Macan EV (1-2% max discount on MSRP? Moreover, it is not correlated with leasing), so we have to pay it and enjoy it without stress!
Canˋt wait, 7 weeks to go
![Wink](https://rennlist.com/forums/images/smilies/wink.gif)
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Awas (08-13-2024)
#28
Instructor
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Leasing, by itself, is not a solution to minimize « losses ».
But leasing + incentives + 0% rate for sure is a good deal for people who change car every 3 years.
There is no way to have huge discount/incentive on a Macan EV (1-2% max discount on MSRP? Moreover, it is not correlated with leasing), so we have to pay it and enjoy it without stress!
Canˋt wait, 7 weeks to go![Wink](https://rennlist.com/forums/images/smilies/wink.gif)
But leasing + incentives + 0% rate for sure is a good deal for people who change car every 3 years.
There is no way to have huge discount/incentive on a Macan EV (1-2% max discount on MSRP? Moreover, it is not correlated with leasing), so we have to pay it and enjoy it without stress!
Canˋt wait, 7 weeks to go
![Wink](https://rennlist.com/forums/images/smilies/wink.gif)
#30
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The Macan EV would be my business car and I go through these business cars every 18 months or so because I drive a lot and don't want to be out of warranty. I can deduct the lease payment or the loss on sale if I buy the car outright. I need to run the numbers to see how a 2-year lease looks and if I can flip into a new Macan EV lease between year 1-2 without penalty. I think rates will be coming down slightly so that'll help the money factor a bit.