Lease Details

[Golfer04]

That's absolutely not true. There is no such provision in the IRA.

Just telling you what he said. You obviously have memorized the IRA. I have not. Why wouldn't everyone just lease the truck for 30 days, pay it off and grab the $7500?

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[jjswan33]

Just telling you what he said. You obviously have memorized the IRA. I have not. Why wouldn't everyone just lease the truck for 30 days, pay it off and grab the $7500?

I am sure many will. I am sending a check to pay off my Ioniq 5 lease later this month that I picked up in December and my payoff quote absolutely includes the tax credit and does not include any remaining rent payments.

I am not saying that Rivian/Chase are or are not allowing early lease buyouts, apparently Tesla has policies that prohibit buyouts. I am just saying that the IRA does not have any specific language about leases. It was determined after the fact how leases will be treated by the appropriate government agency. I mean, is the government going to claw back the tax credit if the vehicle is totaled? What if I lose my job and no longer can afford my lease? There is a lot of eventualities to consider. Like it or not the current administration has chosen to be very generous on how they interpret the tax credit in IRA.

People need to learn not to believe everything Rivian CS and guide teams say, they are wrong more often then they are right sadly

At least one report on Reddit says the lease payoff is what you would expect based on how every other car manufacturer (besides Tesla) handles leases.

 

[Golfer04]

I am sure many will. I am sending a check to pay off my Ioniq 5 lease later this month that I picked up in December and my payoff quote absolutely includes the tax credit and does not include any remaining rent payments.

I am not saying that Rivian/Chase are or are not allowing early lease buyouts, apparently Tesla has policies that prohibit buyouts. I am just saying that the IRA does not have any specific language about leases. It was determined after the fact how leases will be treated by the appropriate government agency. I mean is the government going to claw back the tax credit if the vehicle is totaled? What if I lose my job and no longer can afford my lease? There is a lot of eventualities to consider. Like it or not the current administration has chosen to be very generous on how they interpret the tax credit in IRA.

People need to learn not to believe everything Rivian CS and guide teams say, they are wrong more often then they are right sadly

At least one report on Reddit says the lease payoff is what you would expect based on how every other car manufacturer (besides Tesla) handles leases.

You can't believe everything you read on a message board or Reddit either. At any given time my employer has over 3,000 pickup trucks on lease (we are largest single pickup buyer in USA) to businesses. I can tell you any time for any reason the lease pays off early there is tax recapture. If you die it is part of our claim against your estate. You can add it to your bankruptcy plan too. The big difference here is that Rivian is taking the tax credit and Chase is doing the leasing.
It makes it a unique situation. The other manufacturers all have captive finance companies.

 

[jjswan33]

You can't believe everything you read on a message board or Reddit either. At any given time my employer has over 3,000 pickup trucks on lease (we are largest single pickup buyer in USA) to businesses. I can tell you any time for any reason the lease pays off early there is tax recapture. If you die it is part of our claim against your estate. You can add it to your bankruptcy plan too. The big difference here is that Rivian is taking the tax credit and Chase is doing the leasing.
It makes it a unique situation. The other manufacturers all have captive finance companies.

You are talking about depreciation recapture not tax credit recapture.

Here are the details you are apparently missing. But again Rivian doesn't have to offer a lease buyout if they don't want to but this is different from what you claimed that I said was false.

https://evlife.co/blog/lease-buyouts

 

[R1SFamilyGuy]

In case of R1 leases, the 7500 discount is technically an offer from the finance company/Rivian and has nothing to do with IRS at all

 

[LandonBradford]

seems like good terms. my money factor is 0.00191 and 61% on a base r1t

 

[Eric85255]

Thanks for posting Riviann. Can you provide the itemization of the 98050? Wondering if the destination charge is embedded. Also is this a 2023 or 2024 model year?

 

[Riviann]

Thanks for posting Riviann. Can you provide the itemization of the 98050? Wondering if the destination charge is embedded. Also is this a 2023 or 2024 model year?

2024, that included the destination fee and the doc fee.

 

[LandonBradford]

leasing is interesting process with rivian. u dont get finalized number until 1 week prior to delivery

leasehaker score is 7

 

[LandonBradford]

For anyone wondering, the calculator is acutally accurate.

As long as you put the "$1000" as down payment that is required to make a rivian reservation. See attached.

 

[Brown_Wings]

So I’m slated to pick up a DM, EL Cap, Ocean with Wood, 21in wheels R1S next week. I’m leasing with 15k miles for 24 months and was given a payment estimate of 1069.51. I’m putting 6k down, registering in NJ with no EV taxes, and rolling in $2900 negative equity of my current QM R1S I bought on the used market. I spoke with a guide today, since I still haven’t gotten the official lease paperwork. He told me the residual on the sticker price of 88,500 is 62,307, which is 70.4%. The money factor is .00272 which I believe is equivalent to 6.582% interest. After buying dozens of cars, this is my first lease. How do these terms sound? I do know that apparently 4 days ago, they started offering killer deals on the QM R1S leases that would have made my payments $200 less per month. Thanks!

 

[iamnid]

Just telling you what he said. You obviously have memorized the IRA. I have not. Why wouldn't everyone just lease the truck for 30 days, pay it off and grab the $7500?

Can't speak specifically for Rivian but we recently purchased a Mercedes EQE which didn't qualify for the $7,500 unless it was leased and we did exactly this -- paid for one month and then paid the whole thing off the next month.

 

[LandonBradford]

So I’m slated to pick up a DM, EL Cap, Ocean with Wood, 21in wheels R1S next week. I’m leasing with 15k miles for 24 months and was given a payment estimate of 1069.51. I’m putting 6k down, registering in NJ with no EV taxes, and rolling in $2900 negative equity of my current QM R1S I bought on the used market. I spoke with a guide today, since I still haven’t gotten the official lease paperwork. He told me the residual on the sticker price of 88,500 is 62,307, which is 70.4%. The money factor is .00272 which I believe is equivalent to 6.582% interest. After buying dozens of cars, this is my first lease. How do these terms sound? I do know that apparently 4 days ago, they started offering killer deals on the QM R1S leases that would have made my payments $200 less per month. Thanks!

https://leasehackr.com/calculator

 

[Brown_Wings]

Thanks. I did that. The numbers aren’t exactly the same, but are close. Lease Hacker score of 6 years. Doesn’t seem awful I suppose.

 

[LandonBradford]

Thanks. I did that. The numbers aren’t exactly the same, but are close. Lease Hacker score of 6 years. Doesn’t seem awful I suppose.

my lease haker score came back as 7 years and thats with CA 7500 EV credit

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