Should you lease or purchase your next hybrid car or electric vehicle?
March 19, 2012
In the past, I've
received e-mails regarding leasing hybrid
cars, or more precisely, the inability to lease
hybrids, at least cost-effectively. Even when a lease was offered, the terms of the
lease were simply ridiculous.
Consequently, buying was really the only cost-effective option in the past.
In the last few years, however, hybrid leases have emerged with more favorable options, including leases on the new 2012 Toyota Prius. In fact, sometimes a lease is the most cost-effective option, sometimes.
My how quickly things change, though. Last year, Prius leases were as low as $199, at least until the Japanese earthquake shut down Prius production.
Today, thanks to low interest rates, many consumers are finding great lease deals. Unfortunately, as lease deals on large gas-guzzling trucks, for instance, have improved, leases on hot hybrid cars have lagged.
Today, I checked out some leases on the Toyota Prius, and the special deal was for 2011 Prius hybrids for $289 per month. Other Toyota cars, such as the Corolla and similarly priced Camry's offered much better leases.
Honda had a $239 lease on the Civic hybrid, but deals on a conventional Civic -- both lease payment and downpayment -- were still much better.
Hyundai Sonata hybrid leases started at $269 per month.
Unfortunately, there just aren't real good leasing options for hybrid buyers right now.
Nevertheless, I'm not a big fan of hybrid leasing, or car leasing in general. I practice what Warren Buffett advocates: own a car for at least 10 years. And I find this to be particularly relevant when it comes to hybrid cars. Hybrids offer their best value when buyers think long term.
And, if you really want to save money on a hybrid, buy a used hybrid car, and own that vehicle for at least 10 years. Click here for more on buying used hybrid cars.
Plug-in electric cars are a different story.
Thanks to tax incentives, leasing plug-in hybrids and electric cars is often the cheapest short term path to driving plug-in vehicles, plus it's a bit of a hedge against any long term surprises with plug-in technologies.
Consequently, when it comes to plug-in electric cars, we'd recommend a lease, even if there isn't a huge economic advantage.
Today you can lease a Chevy Volt for $349 per month, or a Nissan Leaf for $369 per month. None of these offers are special leases.
Unfortunately, the best lease offers today don't apply to hybrids and plug-in vehicles.
Don't use the
dealership for your hybrid lease?
I once looked into a lease for a Toyota
Prius and the general manager of the dealership told
me, " I can lease it to you, but you are not going to
like the payments." He went on to tell me about how
he had been yelled at, called a liar, and that he had
potential customers walk out of of his shop over Prius
leases.
Ultimately, I didn't lease that Prius. The payments made a
purchase a better decision.
According to Leasecompare.com leasing hybrid
cars has just become easier and cheaper..
“Hybrid car leasing has been limited to dealer lease
offers, where available,” notes Shebesta. “Now,
consumers can choose the vehicle and the dealer and go
online to LeaseCompare.com to select the best lease among
many offers.”
LeaseCompare.com is the best alternative to dealer
leasing and, as the name suggests, provides an interactive
tool to instantly evaluate leasing options from a number
of sources. Customers can lock in a competitive lease
quote they like and apply for credit online. ACS
facilitates the lease and pays the vehicle seller.
Posted by dahcredyns, aka Chad Snyder.
--> Join the Soultek
Hybrid Car Club. |
