Lease Program Details For Mach-E Leasing

stmache

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With the known MSRP of the Mustang Select with the options I would need. The price comes in $7K more than a Tesla Model 3 SR+. That is a lot of money to give to Ford on a lease. Both Hyundai and Kia use the Federal and State EV incentives to reduce the price on their leases.

As much as I would love a Mach e to go with my Mustang Ecoboost, it makes no sense financially. Maybe when my next lease is up, I'll be in a better position to get a Mach e.
 

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With the known MSRP of the Mustang Select with the options I would need. The price comes in $7K more than a Tesla Model 3 SR+. That is a lot of money to give to Ford on a lease. Both Hyundai and Kia use the Federal and State EV incentives to reduce the price on their leases.

As much as I would love a Mach e to go with my Mustang Ecoboost, it makes no sense financially. Maybe when my next lease is up, I'll be in a better position to get a Mach e.
Have you considered that you would get $7500 back from taxes in a few months (assuming you took delivery this year)?
 

stmache

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Have you considered that you would get $7500 back from taxes in a few months (assuming you took delivery this year)?
It would depend on my tax situation but what good would it do? The lease payment won't change?
 

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I plan on either loaning myself the $7500 at time of lease origin then paying myself back or simply putting the 7500 to the side and helping supplement the lease payment with money from that account each month
 

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With the known MSRP of the Mustang Select with the options I would need. The price comes in $7K more than a Tesla Model 3 SR+. That is a lot of money to give to Ford on a lease. Both Hyundai and Kia use the Federal and State EV incentives to reduce the price on their leases.

As much as I would love a Mach e to go with my Mustang Ecoboost, it makes no sense financially. Maybe when my next lease is up, I'll be in a better position to get a Mach e.
I see above the comments about lending yourself the money or putting some aside to add to the payments every month, so I won't address that. It would be nice if Ford would let you make a larger downpayment with the $7500, but the residual seems to be better with the Tesla so price will probably favor the model 3 on a lease.

I will address the other side of the coin: the fact that the model 3SR+ is about the same price as the Select mach E with the tech package. In my mind I will get one or the other next year, and it is just a matter of which is the "better" car for the money. The Mach E is just a paper car right now (Jun 27 2020), so it's hard to really say which is "better". If the MME lives up to its promise then it should be pretty even competition for the model 3. Choosing will thus be a matter of preference of form factor, level 3 charging network, quality/reliability, and brand/corporate image. Form factor is easy to call - do you want a crossover or a sedan? Tesla seems charmed today, but recently I think the luster is wearing off of Elon so I'll give Ford the nudge on brand/corporate image. There is no question the much cheaper and truly nationwide charging network is in Tesla's favor today. But, the others are harder to call since the MME is a from-scratch vehicle that WILL have growing pains out of the gate.
 

stmache

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Thank you all for your input. Believe me, if I could swing a $7500 downpayment, I would. What people fail to see is there is no guarantee me or anyone will get the full $7500 at the time you do your taxes. With my tax history, I doubt I will get any of it. I will have to consult with my tax accountant to be sure if I would qualify. If I do, I will put the Select back on my EV buying list next year when I come off my current lease.

With my lease from Honda on the Clarity PHEV, the $7500 was put towards the price of the car. I suspect that is what Hyundai/Kia/Chevy are doing today with their EV cars as they have discounts from $8800 to $10000 on their lease offers currently.

As for the Model 3, the SR+ with 250 miles of rated range is listed at $37990 right now. The Select with the Comfort Package which, is about the equivalent of the SR+ minus the quality build issues :rolleyes: , goes for $46195. A difference of $7205. At this time, I can not afford to put that as a downpayment and hope to get it back the following year when I do my taxes.

I will definitely be test driving the Mach e when my local dealer gets one in. My Ford salesperson has me on his list. I found out Tesla has opened a "gallery" not to far from me so I will be able to test drive a Model 3. I will have to travel to test drive the Kias and Hyundais too as my local dealers have none in stock. At the moment, the Kia Niro EV/eSoul (if available) are at the top of my list. No where near the fun of a Mach e but moves me into a full EV. Which is my goal after the Clarity.
 

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With my lease from Honda on the Clarity PHEV, the $7500 was put towards the price of the car. I suspect that is what Hyundai/Kia/Chevy are doing today with their EV cars as they have discounts from $8800 to $10000 on their lease offers currently.
Chevy, like Tesla has hit their 200,000 qualifying vehicles and Q1 was Chevy's last phased out tax rebate (Tesla a quarter earlier). Waiting too long is a risk of not getting the tax credit, but that might be a good thing if you think you might not qualify as not having the tax credit will help push down the MSRP and/or increase the incentives offered. Without the $7500 tax credit on the Mach E, the Tesla Model Y looks a lot more attractive...
 

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I don’t think we really know yet if Ford will offer a traditional lease in addition to the Options option, that way buyers would truly have options. There’s no reason they can’t have both since Ford owns Ford Credit and is capable of doing leasing in house.

I think the reasoning behind Options is some buyers complain that with traditional leasing the leasing company gets to keep the tax rebate, reducing the transparency into where the $7500 goes and some people assuming the buyer is getting screwed because of that.

I’d prefer a traditional lease myself, preferably 24 months.
 

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I don’t think we really know yet if Ford will offer a traditional lease in addition to the Options option, that way buyers would truly have options. There’s no reason they can’t have both since Ford owns Ford Credit and is capable of doing leasing in house.
We do know. No plans to offer traditional lease at this time. Ford Options and normal retail is the plan for now. Once the tax credits expire then a traditional lease is probable.
 
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hybrid2bev

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That’s interesting, and disappointing, that Ford Credit won’t offer leasing on the Mach E, but will on every other Ford product Including other plug-ins.

Is there a reason they won’t offer leasing for the E?

Do we know what states won‘t allow Options?
It’s because of the tax credits. I wasn’t involved in the decision making so I could only speculate on the exact reasons.

I do know what states won’t allow Ford Options, it’s only like 4 states. But I don’t know if I can talk about specifics of the program. Your dealer can assist you with financing.
 

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Fiat is among the highest in depreciation and the tax credit is certainly a player in all cases. Bottom line is supply and demand. Prius was selling with ADM when gas was high, now not so much. If this car looked like the initial one that Ford had in development, no way I would at all interested in it. It's an attractive, vehicle inside and out. Having said all that, if im getting a new vehicle every 24 to 36 months, I'm leasing regardless of brand.
Leasing is always the most expensive option
 

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Leasing is always the most expensive option
You are absolutely correct;

The cheapest is to drive the car into the ground, until it breaks down on the side of the road after 25 years and 250,000 miles.

However some of us want to drive hassle free, fix our costs, want the latest safety features and the greatest reliability.

Those are my priorities: I want to drive only a car covered by the manufacturer's warranty. For me the most efficient use of my money is to lease.

FYI, assuming 10,000 miles per year on an ICE, if you take "use of money" into consideration at just 4% and sales tax, the break even owning vs. leasing point is between 6 and 7 years. In other words to be cheaper, you must keep the car a minimum of 6 years. After 6 years owning is cheaper than leasing.

The problem to me at least, is driving a six year old car with six year old safety features.

I have not done the calculations for the MME, because at this time the residuals and interest rates on a lease are unknown and depreciation is unknown.
 

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