Bolt EV Lease Program Announced -- $309/Month, Net $0 Down After CVRP

[Anonymous]

http://leasehackr.com/blog/2016/11/21/bolt-ev-lease-program-announced-309-month

 

[SparkE]

I wonder how many of the posts here are by shills from GM. What do you guys think?

 

[DanCar]

I wonder how many of the posts here are by shills from GM. What do you guys think?

Zero. Why do you think that?

Very nice price. I suspect they will be sold out until a competitor comes out.

 

[Schnort]

Using that calculator, my 36 month lease in Texas comes out to be ~$15500, all in.

That's...well, kinda a lot. (But i've been spoiled by the crazy i3 deal I'm on now)

 

[Tessy]

What is a "good" lease price in the USA for a vehicle around the Chevy price point? Being west coast Canadian 309.00 is a small per month payment for a new vehicle lease.

 

[Schnort]

Here's a link to "november 2016 best lease deals": http://www.edmunds.com/car-leasing/monthly-199-lease-deals.html

I think this link actually updates monthly, around the 10th of the month or so.

 

[roundpeg]

Here's a link to "november 2016 best lease deals": http://www.edmunds.com/car-leasing/monthly-199-lease-deals.html

I think this link actually updates monthly, around the 10th of the month or so.

With no listing at all for the Bolt. Methinks the OP is a spammer. I can't follow that link back to anything official from GM.

 

[Schnort]

Why would there have to be a listing for the bolt? It doesn't seem to be a terribly good deal for anybody outside of california, and the link I posted is compiled by edmunds regarding currently available lease specials.

The OPs link goes to leasehackr.com, which is a "respected" blog about good lease deals. THAT link has a link to a post in their forum, which has more information for you to read.

It's all rumors and guesses right now, but (to me) the lease options don't look particularly good.

 

[roundpeg]

Maybe I misunderstood what you meant, but I thought you were saying that Edmunds was the place to look for lease deals. Don't know myself.

As far as the deal is concerned (assuming accuracy), the only reason it looks better to a buyer from California is because of the $2,500 rebate in California, to which the buyer is entitled if you don't sign it over to the leasing company. As I've been saying from the start, those glitzy lease deals are based on manufacturer incentives, tax credits and rebates that are blended into the lease instead of going directly to the car buyer. So again assuming these numbers are correct they aren't the least bit surprising for a brand new car that won't have any trouble finding buyers.

 

[zappcatt]

The reason why this does not look good so far for those people in the know, is that Chevy is only giving $2500 of the $7500 Federal Rebate to the customer at drive off.

That $5000 makes the lease look much worse than other options.

Yes, the bolt has double the range of the BMW i3, etc, but many people are pretty happy with their current EV, so these "lesser" cars are an option at the right price.

According to the quick analysis provided on http://ev-vin.blogspot.com/ that the Bolt with a $10k LOWER MSRP actually costs more than the BMW i3.

I was hoping it was going to be closer to the Volt Lease options.

 

[tedkidd]

The reason why this does not look good so far for those people in the know, is that Chevy is only giving $2500 of the $7500 Federal Rebate to the customer at drive off.

That $5000 makes the lease look much worse than other options.

Yes, the bolt has double the range of the BMW i3, etc, but many people are pretty happy with their current EV, so these "lesser" cars are an option at the right price.

According to the quick analysis provided on http://ev-vin.blogspot.com/ that the Bolt with a $10k LOWER MSRP actually costs more than the BMW i3.

I was hoping it was going to be closer to the Volt Lease options.

Typical mainstream auto. Rollout will be full MSRP until the "must have it(s)!" have worked through the system, then as sales slow and inventory builds they will figure out the price the market will bear.

I think this car becomes very interesting at $250 per month, and if my Model 3 doesn't show up before my Smart lease ends I'll be very tempted.

 

[JupiterMoon]

Using that calculator, my 36 month lease in Texas comes out to be ~$15500, all in.

That's...well, kinda a lot. (But i've been spoiled by the crazy i3 deal I'm on now)

Yeah seriously the i3 deals were phenomenal..I missed it but oh well.

 

[JupiterMoon]

Those lease numbers just don't make sense.

 

[michael]

Rydell posted this on another forum...

16 In-Transit with 5 already reserved!

2017 Bolt EV Sample Lease:

$279 +tax
with $3,450* due at signing
Based on MSRP of $37,495


*$3,450 includes includes sales tax, license,*dealer, bank and government fees and first month's payment
36 month term $0 security deposit. 25 cents per mile over 10,000 miles per year.
+Includes $2,500 Factory rebate available only to California and Oregon state residents.
+Does NOT include private offers, or California State rebates. CLICK HERE for more information on state rebates you might qualify for.



So allocating about 100/month to equate to a zero driveaway lease (which is what everyone should get), figure about 370 plus tax, zero driveaway, 10K miles, base car

I estimate premier should be about $50 more.

My hope is to get under $400 plus tax, premier, zero driveaway, 15K miles. Not yet but hopefully before long

 

[JupiterMoon]

Are they applying the $7500 federal credit to reduce the cap cost of the vehicle for these leases?

And does Chevy offer a loyalty credit at all?

 

[GetOffYourGas]

Are they applying the $7500 federal credit to reduce the cap cost of the vehicle for these leases?

And does Chevy offer a loyalty credit at all?

They apply $2500 to cap cost reduction. The remaining $5000 is tacked onto the residual. It is my understanding that if you would like to buy out the lease, you then have to negotiate for that remaining $5000 off the buyout price. This is better than what they offered me for the Volt back in 2011. At that time, GM tacked the entire $7500 onto the residual. Seeing as I only leased because I wouldn't otherwise get the entire credit, this seems like a hassle to me. That was one more pro for the Leaf / con for the Volt at the time.

 

[michael]

Are they applying the $7500 federal credit to reduce the cap cost of the vehicle for these leases?

And does Chevy offer a loyalty credit at all?

They apply $2500 to cap cost reduction. The remaining $5000 is tacked onto the residual. It is my understanding that if you would like to buy out the lease, you then have to negotiate for that remaining $5000 off the buyout price. This is better than what they offered me for the Volt back in 2011. At that time, GM tacked the entire $7500 onto the residual. Seeing as I only leased because I wouldn't otherwise get the entire credit, this seems like a hassle to me. That was one more pro for the Leaf / con for the Volt at the time.

First of all back in 2011 didn't US Bank or Ally Bank provide the lease, not GM?

More to the point, how do you know how much of the 7500 was used to inflate the residual? Unless you have information I don't, all you know is the "after the adjustment" residual, not the starting point.

It would be interesting to compare the residual of a 2011 Volt after three years to its actual fair market value at that time. My guess is the difference was more than than 7500, although I don't know that as a fact.

I can tell you that the residual of my 2014 is $21,500.

According to the Kelly site, my current trade in value is about $12K, and my current private party sale value is about $13.8K. So US bank is taking a $9500 hit. I got my money's worth out of the lease.

 

[GetOffYourGas]

First of all back in 2011 didn't US Bank or Ally Bank provide the lease, not GM?

Ally Bank is who provided the offer to me. I was under the impression that it was basically a financial arm of GM. Is that incorrect? Either way, it doesn't matter much. That's the offer I was given.

More to the point, how do you know how much of the 7500 was used to inflate the residual? Unless you have information I don't, all you know is the "after the adjustment" residual, not the starting point.

Good question. I should have provided a source, rather than simply throw the numbers out there. I am passing along information I learned here:
http://insideevs.com/chevrolet-bolt-lease-rate/

Of course, this was ultimately someone's interpretation of the lease, given their understanding of how leasing works. I am not an expert, so I will take their word for it. It helps that it jives with my past experiences.

As for rebates and incentives, there’s a $2,500 Incremental CCR incentive through GM Financial (CA or OR only). Given how Bolt EV qualifies for the full $7,500 federal tax credit, we frankly expected the CCR to be higher. But it looks like GM is passing only a fraction of that amount to lessees — and using the rest to inflate the residuals (which also lowers the payment)

 

[JupiterMoon]

What doesn't add up about the reduction in cap cost and lease payments is that the only way they could offer these cars with such low lease payments (in general) is to apply the entire $7500 tax credit to the vehicles negotiated price (or MSRP take your pick) to get the price down low enough for the least payments to make sense. Of course the residual is critical too but let's say that is a decent 60%.

Looking at my Spark EV's lease paperwork, that is exactly what they did.

For the record, US Bank is who I ended up with...crappy crappy bank!

 

[michael]

In the early days, GM did not want to accept the risk of leasing EV's so gave the business to US Bank and Ally. Now they apparently feel they understand it well enough to handle them in-house.

Whether the $7500 is treated as cap reduction or as residual inflation is a minor issue, the relative advantages and disadvantages of each approach having been discussed here, except of course, if one buys the car out at lease end. But if leased and returned, there are only subtle differences.

However, it's reasonable to expect that the entire $7500 be applied one way or the other, or in combination, and not pocketed by the leasing company. Unless it's applied straight-out as a cap reduction, it's hard to know. When I got my Focus, it was straightforward: $4000 allowance on a purchase, $11,500 on a lease. Ok...full $7500 applied. But then I had to pay sales tax on the $11,500!!!

Since the $2500 cap reduction is in California and Oregon only, and the $7500 is national, I think Leasehacker is unjustified in assuming that the $2500 is part of the $7500. I think it may simply be an incentive GM is throwing at the deal to start moving units. But I can't tell.

Bottom line is: on a zero driveaway lease, what are the monthlies? Are they what you want to pay? What combination of factors go into that number are of no importance unless you buy the car at lease end.