Looking to put a huge holiday ribbon on a new EV? There’s a widespread belief that buying a new car is always much cheaper than leasing it in the long run. However, we’ve found six EV lease deals that shatter that myth, with terms that pass the entire commercial clean vehicle Federal tax credit to the lessee and enable the lessee to eventually own the vehicle for thousands of dollars less than paying cash up front.
As mentioned last month, some folks are using the “1-day lease” to take advantage of these deals by buying out their lease almost immediately. This enables the federal tax credit to be applied without stipulations on foreign made vehicles with foreign made batteries or owner tax bracket considerations. Ask about this at your local dealer.
However, do the math to make sure that an early payoff is cheaper than riding out the full term, especially if the intent is to finance the buyout, as all the lease deals mentioned below except for one have a money factor that translates to an APR that is significantly less than current new car interest rates. Also, in the relatively high inflation environment we are unfortunately enjoying right now, it could be wise to defer the payment of over half the cost of the car to three years from now when the US dollar could be worth a lot less than it’s worth today.
Lexus currently has a lease offer on the $62,100 RZ450e Premium that’s $499/month for 36 months, $5999 due at signing, and the option to buy for $28,808 at the end of the lease. These compelling terms are a result of a huge $15,000 lease incentive that significantly reduces the capitalized cost of this five-seat SUV with a 220-mile range, zero to sixty time of 4.6 seconds, and 34.9 cubic feet of cargo space behind the rear seats.
During the three-year lease term, tallying up the $5999 plus 35 payments of $499 (the first month is paid for at signing) adds up to $23,464. At an assumed 9% tax rate on the up-front capitalized cost reduction, down, and first payment ($1818) as well as on each subsequent payment ($45/month), the total cost to lease the RZ450e is $26,899.
At the end of the lease term, buying the three-year-old RZ450e will cost $29,808 plus $2683 tax for a total of $32,491. All-in, the lease-to-own cost adds up to just $59,390.
In comparison, paying cash up front at delivery will cost a whole lot more: $62,100 MSRP plus $5,589 tax, less a paltry $1000 rebate, comes out to $66,689. That’s $7,299 more than walking the lease-to-own path! For the nearly 80% of consumers that finance auto purchases, Lexus does have a 2.49% promo rate on a 48-month loan, and with $7318 down the payment comes out to be $1323/month. Which is a lot, but after three years, the payoff is only $15,661. Still, the total cost to own the RZ after three years on the promo rate is $69,596 – that’s $10,200 more than leasing it.
By the way, the .00324 money factor (APR 7.78%) on Lexus’ RZ450e lease offer is relatively lofty compared to the rest of the deals mentioned here, which range from 1.68% to 4.58%. So it may be possible to save even more money by buying out the lease early and refinancing at a lower rate.
Toyota continues to improve its lease terms on the bZ4X, now down to $349/month for 36 months, $3999 due at signing, and the option to buy for $21,381 at lease end for the base XLE trim in front-wheel-drive configuration that MSRPs at $44,544. Assuming a 9% tax rate and working though the same math used on the Lexus RZ450 lease offer results in a lease-to-own cost of just $41,627.
An all-cash purchase is a much more costly proposition: its $44,544 MSRP plus 9% tax adds up to $48,553, which is almost $7000 over the lease-to-own cost. Toyota has a financing promo that’s a little better than paying cash – a $2500 incentive tied to a 48-month loan at 1.99% – but with $4626 down, monthly payment of $899, and payoff of $10,667 after three years, the lease-to-own method still comes out thousands ahead, by $5710 to be exact.
We found a couple of dealers with a relatively modest discount on this five-passenger SUV capable of covering 252 miles on a full charge, holds 27.7 cubic feet of cargo behind the rear seats, and scoots from zero to sixty in 6.7 seconds. Mossy Toyota and Toyota of North Hollywood in California are listing their front-drive bZ4X inventory at around $1700 below MSRP, which seems to be on par with TrueCar pricing estimates for the rest of the country except for the eastern seaboard states from Virginia northward, where it seems the bZ4X sells for a slight premium. Check for Toyota bZ4x deals in your area.
Thanks to Subaru’s consistently excellent lease terms, this marks the third time in a row that the Solterra is being featured in our EV Deals write-up. Last month it was highlighted as the only all-wheel-drive EV with an average monthly lease cost under $400 (which is still the case), and now we’re talking about it again because its zero-down, $399/month lease with the option to buy for $25,421 at 36 months calculates to an after-tax lease-to-own total of just $44,077. That’s over six grand less than either paying cash up front or taking advantage of Subaru’s 72-month 0% financing offer, both costing $50,380 after adding a 9% tax on its $46,220 MSRP.
The Solterra is built on the same dedicated modular EV platform as the Lexus RX450e and Toyota bZ4X, with the Solterra and bZ4X appearing to be near-identical twins when compared to the RZ450e’s slightly larger exterior and properly painted front fenders. The Solterra also bears a close resemblance to the bZ4X in interior dimensions and performance, capable of carrying 29 cubic feet of cargo behind its rear seats and hustling from standstill to 60mph in 6.5 seconds – numbers that are closer to the bZ4X versus the upscale RZ450e.
Where the Solterra truly outshines its platform twin and similar electrics from other marques is its tremendous value due to lease terms that allow the lessee to walk away from the all-wheel-drive SUV after paying a total of just $16,381 over three years, tax included. That’s nearly two grand less than a front-drive bZ4x XLE, and nearly three grand less than a front-drive Nissan Ariya Engage or rear-wheel-drive VW ID.4 Pro.
The EQB300 4MATIC is an all-wheel-drive five-seat SUV that carries 22 cubic feet of cargo behind its second-row seats (a third row option is available), goes 232 miles on a charge, and accelerates from standstill to 60mph in seven seconds. Its current 36-month lease offer of $519/month, $5613 at signing, and option to buy for $29,057 at termination tallies up to an after-tax lease-to-own cost of $58,240. That’s $4098 less than an all-cash purchase at its $59,300 MSRP minus a $2,299 “dealer participation” discount that’s built into said lease offer, plus 9% tax. Mercedes-Benz lease offers on other EQB-Class trim levels should result in similar savings over a cash deal since they all share the same 49% residual and have a money factor that’s still on the low side (effective APR of 3.29%, versus 2.28% for the EQB300).
We didn’t find any Mercedes-Benz dealership websites that advertise discounts on new inventory, but a quick check of car shopping websites indicates that average discounts ranging from about $1000 in the Northeast to over $5,000 almost everywhere else can be expected. Check for Mercedes-Benz EQB-Class deals near you.
Now that improved-for-2024 models are already arriving at dealerships, the favorable lease terms on the 2023 C40 Recharge core (MSRP $56,390) will likely disappear sooner than later as inventory continues to dwindle. At $483/month for 36 months, $3933 due at signing, and lease-end buyout of $30,543 based on a residual of 54%, lease-to-own costs $2799 less than paying cash up front for this five-passenger, all-wheel-drive SUV that rockets from zero to sixty in 4.2 seconds, travels 226 on a full charge, and carries 15 cubic feet of cargo with all seats in place. Costco members can save even more by taking advantage of the current member-only $1000 incentive on the purchase or lease of a new Volvo.
Looking for a luxury-branded all-wheel-drive five-passenger electric SUV that can squeeze close to 300 miles out of a full charge? The Audi Q8 e-tron comes close at 285 miles, which is at least 50 miles farther than the other luxury-branded vehicles mentioned so far in this article. But that longer security blanket comes at a cost, as the total outlay to own the Audi at lease termination is over $18,000 more expensive than the Lexus RZ450e, Mercedes-Benz EQB300 4MATIC, or Volvo C40 Recharge. To be fair, the Q8 e-tron is larger – built to punch in a heavier weight class that includes the Mercedes EQE, BMW iX, and Tesla Model X – so its higher price (MSRP $78,035) should be expected.
Audi’s current lease offer of $599/month for 36 months, $6493 due at signing, and the option to purchase for $42,919 at lease end currently adds up an attractive lease-to-own deal that costs $2249 less than an all-cash transaction at a 9% tax rate.
Curiously, we haven’t seen many dealer-advertised discounts or improved lease offers on the Q8 e-tron since late summer despite a decent amount of available inventory, but car shopping websites like Cars.com and TrueCar seem to indicate that dealer discounts of $4000 or more are out there in some areas. Check for Audi Q8 e-tron discounts in your area.
… and the rest
The rest of the sub-$80K EV lease offers we evaluated for the lease-to-own scenario worked out to be more expensive than an all-cash transaction. However, most resulted in costing significantly less than financing, assuming a 72-month loan at 6% APR, or if available, at the lowest manufacturer promo rate. So savvy consumers that prefer to put cash to to work elsewhere rather than tie it all up in an expensive depreciating asset should seriously consider leasing over financing if one of these 2023 electrics are in the crosshairs: Mercedes-Benz EQE 350 4MATIC SUV ($8687 lease-to-own savings over financing), BMW i4 eDrive35 ($5,373 savings), Audi Q4 e-tron 40 Premium Plus ($5307 savings), Kia EV6 Wind AWD ($4611 savings), Nissan Ariya Engage FWD ($3544 savings), Hyundai Ioniq 6 SEL RWD ($3025 savings), Volvo XC40 Recharge Core ($2600 savings), Kia Niro EV Wind ($935 savings).
Interested in the Hyundai Ioniq 5? If you want to own it, buy it. We crunched the numbers on the on the 36-month Ioniq 5 SEL RWD lease, and with a lease-to-own cost of $54,801, it would take $3465 more to possess after three years compared to taking out a 72-month loan at 6% with $5647 down. The Ioniq 5 lease suffers from a high money factor that translates to 7.7% APR, a relatively high 61% residual, and a $7500 lease incentive that is no better than the rebate on a purchase.
Want a VW ID.4? Well, those seeking ownership that qualify for the full Federal EV tax rebate should be better off buying rather than leasing. For those that don’t qualify, it’s a wash, which is roughly the same story for the Ford Mustang Mach-E. As for the Ford F-150 Lightning, just buy it if you’re playing for keeps because the lease-to-own method on a 36-month lease, particularly on a Lariat that qualifies for a $7500 retail incentive on a purchase as well as the $7500 Federal EV tax rebate, could cost over $10,000 more than financing it.
How about a Model 3 or Model Y? Both have very compelling 36-month lease terms, but only for those that want to ditch the car after three years. Sadly, there is no option to buy out a recent Tesla lease.
Tesla’s AI and robotics divisions are facing a significant “brain drain” as a stealth startup called Sunday Robotics emerges with a roster of engineers from Tesla’s Optimus and Autopilot teams.
We are used to seeing Tesla executives leave, especially to other AI giants, as the competition ramps up and large compensation packages are being thrown around left and right.
However, this feels different. Sunday Robotics isn’t a Fortune 500 company poaching Tesla engineers with big packages. It is a tiny startup that just came out of stealth with a funding round that would be a rounding error in Tesla’s financials.
Sunday Robotics officially emerged from stealth today, announcing $35 million in funding led by Benchmark and Conviction.
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The startup, founded by Stanford roboticists Tony Zhao and Cheng Chi (Zhao previously interned at Tesla Autopilot), has recruited an impressive bunch of senior Tesla engineering leadership.
The list of departures includes:
Nishant Desai: an almost 5-year veteran at Tesla’s machine learning team working on Autopilot and FSD.
Nadeesha Amarasinghe: The former Engineering Lead for AI Infrastructure at Tesla. He was responsible for the massive backend systems that train FSD and Optimus. He was at Tesla for moer than 7 years.
Perry Jia: A key engineer on the Optimus and Autopilot programs. He spent almost 6 years at Tesla and led the data engine programs. Now, he leads Data Operations at Sunday.
This isn’t just random attrition. Sunday Robotics has effectively poached a “full stack” of robotic and AI engineers from Tesla.
They also recruited other employees from Tesla, and it wouldn’t be surprising to see more join, as Jason Peterson, a talent recruiter for Tesla’s Optimus and Robotaxi programs, confirmed that he also left Tesla in September to join Sunday.
What is Sunday Robotics?
So, what are these engineers leaving Tesla to build?
Sunday Robotics is taking a different path than Tesla’s general-purpose humanoid. Their debut robot, Memo, is a wheeled domestic robot designed for household chores such as cleaning dishes and folding laundry.
By ditching the legs (Optimus is bipedal), Sunday claims they can focus entirely on dexterity and reliability. The robot is trained on a massive dataset of 10 million behavioral episodes, which the company claims gives it a “ChatGPT moment” for physical movement.
The most interesting technical divergence from Tesla is how Sunday collects data.
Tesla relies heavily on VR teleoperation suits to train Optimus. Operators wear motion-capture suits and mimic tasks in a lab. It’s high-fidelity, but it’s slow and expensive. Tesla now claims to also train just on video.
Sunday Robotics has a different approach this with a $200 ‘Skill Capture Glove’. They distributed these gloves to hundreds of ordinary people (“Memory Developers”) who recorded themselves doing chores in their own messy homes.
This allowed Sunday to crowdsource 10 million episodes of real-world data, messy kitchens, weird lighting, and cats jumping on counters at a fraction of the cost of Tesla’s teleoperation labs.
The gloves also reflect Memo’s much less complicated hands, which can make them more reliable and cheaper.
Electrek’s Take
Elon Musk is telling anyone willing to listen that Tesla is ahead of the competition when it comes to “real-world AI” and robotics.
He claims that Tesla will start producing Optimus robots in the millions of units starting next year and it will eventually “end poverty.”
Not many people who are serious about robotics take these claims seriously.
Many other companies are developing humanoid robots, and Tesla shows no evidence of being ahead of the pack, while there are still many obstacles to make them useful at scale.
A company like Sunday has a less ambitious but more realistic approach that could pay off, and it is convincing some Tesla engineers to jump ship.
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Cordelio Power’s 135 MW Crossover Wind farm is officially up and running in Cross County, Arkansas, west of Memphis, Tennessee. It is now officially the first operating wind farm in Arkansas.
“We are proud to announce that Crossover Wind is now generating electricity as the first utility-scale wind project in the state of Arkansas,” said Nick Karambelas, Cordelio Power’s chief development officer.
The project will deliver 100% of its power to Microsoft under a 20-year power purchase agreement. Independent power producer Cordelio says Crossover will pay about $950,000 a year to Cross County and more than $50 million to local landowners over the project’s lifetime without disrupting farming practices.
“We’re especially thankful for the strong collaboration from Cross County officials, landowners, and the broader community, which has been instrumental in bringing this project to life,” Karambelas added.
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M.A. Mortenson handled the construction, and Vestas supplied 32 US-made V-163 4.5 MW turbines. Vestas will also handle long-term operations and maintenance.
Cordelio acquired the project in late 2023 from Steelhead Americas, Vestas’ North American development arm, which started development in 2020.
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Anker’s 4-day SOLIX Black Friday flash sale drops latest C2000 gen 2 power station to new $679 low ($820 off)
As part of its expanded Black Friday Sale, Anker SOLIX is offering 4-day flash savings on four different bundles, three of which are keeping the same low prices while switching up the FREE gear you’ll be getting with them, while one is actually dropping costs lower than before. That latter deal mentioned is on Anker’s new SOLIX C2000 Gen 2 Portable Power Station for $679.15 shipped, which also matches in price at Amazon. It’s been carrying a $1,499 price tag since launching at the end of October, with the discounts we’ve seen in its short time on the market having dropped costs to $799 and $749, until the brand’s Black Friday event first brought things lower to $699. Now, you can score it at an even better price, with $820 cut from the tag for a new all-time low rate. Head below for more on this unit and the others benefiting from this flash sale.
Not only does Anker’s SOLIX C2000 Gen 2 power station come as an upgrade from the legacy F2000 unit, but right now it’s even beating out that older model’s price by $120, making this deal all the better. This new model comes more compact and lighter than before with a starting 2,048Wh LiFePO4 battery capacity that can expand up to 4,096Wh with an expansion battery (which you can find bundled on the station’s landing page). There are 11 ports to choose from for your needs (5x AC, 3x USB-C, and solo TT-30R, USB-A, and car ports), with it providing 2,400W to 4,000W of max output when surging.
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There are six main ways to recharge its own battery, with an AC outlet or a gas generator putting it at 100% in 88 minutes, while utilizing its max 800W solar input gets you there in up to three hours. You can also use both AC and solar charging at the same time to hit 100% in up to 58 minutes, or if you’re driving, either use your car’s auxiliary port for up to 23 hours or the new 800W alternator charger for faster speeds.
Anker’s SOLIX Black Friday 4-Day flash sale offers:
Upgrade your lawn care with up to 35% Black Friday savings on Mammotion RTK robot mowers from $649
During Amazon’s Black Friday Sale event, the official Mammotion storefront is offering up to 35% savings across various models of its robot lawn mowers, with prices starting lowest on the YUKA Mini 500H Robotic Lawn Mower at $649 shipped. You’d have to shell out $999 for this model at full price, which discounts have previously dropped to this same low rate twice before, while others kept costs higher at $779 or more. Picking one up here not only automates your lawn care routine, but you’ll be doing so with $350 cut from the tag at the lowest price we have tracked. Head below for all the other Mammotion robot models we’re seeing discounted for the holidays.
Anker’s popular PowerCore Reserve 192Wh power station with a pop-up light drops to $80 for Black Friday (Save $70)
As part of the ongoing Amazon Black Friday Sale, Anker’s official storefront is offering its popular PowerCore Reserve 60,000mAh Portable Power Station back at $79.98 shipped in both colorways, which matches the price we’re seeing directly from the brand’s website. Fetching $150 at full price and regularly seeing Prime exclusive discounts to $110, it’s during major events like Black Friday (as well as random windows throughout other months) that we often see it dip below $100 to either $90 or $80, with there having been a once-off drop to the $75 low back in July that hasn’t been seen since. You’re getting the opportunity to score it at the next-best price this holiday season, cutting $70 off the going rate and giving you quite the portable means to keep personal devices up and running.
Lectric XP4 Standard Folding Utility e-bikes with $326 bundle: $999 (Reg. $1,325)
Lectric XP Lite 2.0 Long-Range e-bikes with $449 bundles: $999 (Reg. $1,448)
Heybike Mars 2.0 Folding Fat-Tire e-bike with Black Friday gift: $999 (Reg. $1,499)
Heybike Ranger S Folding Fat-Tire e-bike with Black Friday gift: $999 (Reg. $1,499)
Best new Green Deals landing this week
The savings this week are also continuing to a collection of other markdowns. To the same tune as the offers above, these all help you take a more energy-conscious approach to your routine. Winter means you can lock in even better off-season price cuts on electric tools for the lawn while saving on EVs and tons of other gear.
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