My prime motivation for leasing would be to take advantage of the $7500 incentive. Does anyone know of a 3rd party leasing company that both passes through the $7500 incentive and also allows for penalty free early buyout?
I don’t think any 3rd party leasing companies would offer a better rate. The Fed Commercial rate + applicable margin is comparable for Gravity versus other automakers who aren’t incentivizing car sales.
Makes sense. Demand far outstrips their production capacity. Of 5 cars / month.
@borski did they happen to hold your rate for you? Or are you going to need to reapply?
It's not so much I think I'd get a better rate elsewhere. Rather, I don't really want to finance the vehicle, but I do want the $7500 lease incentive. If I can find a lease that I can buy out immediately without big penalties, the various leasing fees may be more than covered by the $7500 savings. My understanding is that Lucid's lease doesn't allow a penalty free early buyout, but I'm not sure if that's correct. I realize that it may just make sense for me to pay cash, given my particular situation.
Unclear, but it’s external financing. I’m still hoping for delivery before or on the 5th. If not, perhaps I can pre-pay. We’ll see.
By the time the Touring is released and delivered I will have ended up saving a buttload more money to cancel out the loss of the tax credit or bad lease terms. Seems like 3rd party financing to target a monthly payment might be the best route especially if we can get Papa Powell to help out and cut rates a bit.
I seriously considered waiting for a Touring. Looking at the Air, the GT would not be my choice of trims. But, after seeing the early discussion (speculation?) of the reduced range expected in the Gravity Touring, I decided that the GGT was the right model to buy. The range is definitely an expensive luxury, but worth it to me.
I'm trying to be patient, the Air lease deals were also horrible when it was first released.
It’s the current market, not Lucid trying to make an extra buck. I was originally thinking the leasing rate was insane but if you compare it to an Escalade the pricing is pretty on par.
Agreed. Unfortunately, given the macroeconomic situation, it seems fairly unlikely that the market rates for vehicle financing will be coming down. The reverse seems more plausible.
The lease rate for Gravity is much more of a microeconomic situation. Lucid will lower prices when (if?) they can meet demand.
I think it’s still supply/demand for Gravity. The offers on the Air or a Rivian or a Tesla are absurdly low - even if you finance/buy. If they need to, they make the numbers work. Since there’s no supply of Gravity and some sort of demand in excess of zero, they can offer poor rates (albeit, personal opinion is that it’s actually not a deep pool of demand for Gravity…)
There is really a market rate for vehicle financing. It's what you're offered from 3rd party financing sources, such as your local bank. But it's also certainly true that manufacturers bake incentives into their finance and leasing deals. The Air, Rivian, and Tesla deals all reflect manufacturers trying to sell vehicles, and being willing to eat some losses on the financing to do so. Tesla in particular seems to be doing everything they can think of to reverse their sales decline. But that doesn't change the fact that wider economic issues are (in my view) likely to push up the market rates for vehicle loans.
Looks to me like the market no longer expects rates to go down but it also doesn’t expect them to go up. The 10 year rate is only 0.5% higher than 2 year.
High end SUVs have an ongoing market. Lucid is just missing a portion of their possible early unit sales. The other end of Gravity's life cycle will be determined by competition from products that have not entered the market yet, and other factors, years from now.
