[RahulNagaraj]

As per data from J.D. Power, almost every electric vehicle sold by either Audi, BMW or Mercedes-Benz in Q1 this year was leased.

Prices for German EVs in the USA range from $51,000 to $200,000 which disqualifies them from the $7,500 federal tax credit when being financed. However, due to a loophole in the Inflation Reduction Act, a lease is classified as a "commercial business" making it eligible to get the full $7,500 tax credit. Thanks to this, people in the market for a German EV are leasing the vehicle rather than buying it outright.



The reports state, the three German car brands, have the highest EV lease rates in the US in Q1 this year. The data mentions that 94% of Audi EVs were leased, while Mercedes-Benz leased 93% of its EVs and BMW leased 89%.

The financial services' VP of sales & marketing for Mercedes-Benz, stated, "The only true difference between the programs currently is the tax incentive offered for leases."

Reports though also suggest that despite the EVs getting the full tax credit, the leasing cost over three years is still $1,800 more than its ICE-powered counterpart.

Source: AutomotiveNews

Link to Team-BHP news

[Chisels121]

From what I know 95% of these 'lease' deals had ridiculous discount and incentives added in them. Ed Bolian from the Vinwiki channel in YT explained how he leased his Audi RS e tron GT(msrp around $140000) for less than $500 a month for three years!

The market for these cars are so bad that even my aunt is planning to trade her Accord for an etron SUV. There are brand new cars listed for 85% of their original msrp in the New York area.