Leasing/Financing

[WineGolfLife]

Called lucid financials today to ask about leasing and got the following ballpark/estimate monthly leasing payment info, which is based on the following assumptions: 36 months, doesn't include sales tax (not sure if the numbers below include other fees that are rolled into typical lease payments), includes the $7500 tax credit, and based on the new car prices.

1) GT-P: $2619
2) GT: $1998
3) Touring: $1303
4) Pure: $1108

The rep told me that the calculator will be made available about 35 days before your car delivery date so that you can submit your financing application. When you get the email/notification, that's when you can play around with the calculator. So it doesn't seem that it will be public for us to play around with; we'll have to commit to the reservation, essentially costing us $1k to have access to the calculator.

Just realized that I forgot to ask about the monthly payments for the different Touring and Pure configurations due to the add-on options, but at least we have a baseline. My rep's voice was super soft, so I had trouble hearing what was being said; had to ask the rep to repeat many times, so I apologize if I misheard. If anyone can get more info, please add on below.

Great info, thank you for sharing.

 

[n8236]

Assume the car costs $100K and option one for leasing costs $50K for three years; now assume the same car cost but the lease cost for three years equals $80K. In the first instance by leasing I minimized my risk of Lucid failing to $50K; in the second instance my risk of Lucid failing is only $20K (difference from leasing to purchasing) making the risk smaller so the upside of purchasing better.

So is the trick to reduce this risk choosing a shorter lease term?

 

[Steveinarizona]

So is the trick to reduce this risk choosing a shorter lease term?

The way I see it the greater the residual value, the better leasing is as the risk is greatest (getting stuck with a car that is no longer timely such as if new battery technologies come along); the smaller the residual value, the more it makes sense to purchase.

I am still leaning toward purchasing but will examine the leasing option when I get confirmed.

 

[limtless]

Thanks for sharing Bauer. Very informative.

I will however say I for one am not a fan of the lack of basic info in the tool. Very much in the Tesla model of "here's the price". I have done a few leases in the past so played with the numbers a little, to try and figure out the construct.

First thing to note is it does say in the bullets of picture 5 that taxes, title and fees are not included, so I assume depending on your state that is either paid at delivery or rolled on top of the lease payment?!

So assuming capitalized cost of $142,995, and using the 36/12 model, if we assume a 49% residual, the residual value would be $70,067.55. That means we are financing $72,927.45. $10k down payment drops this to $62,927.45 to be financed over the 36 months. In my modelling, an interest rate of 12% gives a monthly payment of $2,090, still less than the tool shows.

So either the residual is lower than my assumption (meaning you are financing more of the vehicle in the lease period) or the interest rate is higher (which is already fairly uncompetitive) or I've made a massive screw up in the calculations somewhere.

Perhaps the underlying assumptions will be more aggressive for the lower trim levels (this is quite common in the traditional manufacturers where the "base" models are more attractive to lease than the high trim, high spec models), but based on this info it looks like straight financing is not off the table.

Did you account for the $7,500 tax credit?

 

[limtless]

If I do the math, I get a RV of 60.7% and if I compare that to buying at a fixed rate which I assume I can get (who knows with interest rates now) I see buying as a better bet unless the RV go much lower.

 

[Money_Mani]

Finalized Lucid Touring. Quantum grey, Tahoe interior, 19” wheel, DDP, SS pro. Booked 4/1/21, finalized 11/10/22.

 

[redk94]

thanks for sharing.

 

[Chillywill75]

i received an email to apply for financing. I went to the lucid page and went to the orders and design page to apply but I don’t see any link for the application anymore. Has anyone else run into this issue?

 

[obelix]

Does anyone the maximum one can charge on credit card towards the final payment or, say, as down payment?

Most dealers allow about $5K besides any reservation amount.