Why You Should Consider Leasing an Electric Vehicle

As with engine combustion cars, you can lease numerous electric vehicle makes and models. While leasing an electric car is not for everyone, it is a brilliant idea for those who want to get experience driving and living with an electric vehicle before buying one. Leasing has become popular in recent years, with more than four-fifths of all electric cars apart from Tesla leased. If you want some experience with an electric vehicle, we discuss why this is a great option below.

Electric Car Lease Options

Before leasing an electric vehicle, you should understand the options available. The two main options are personal and business electric car leasing. Personal electric car leasing is suited for people who want to lease a car for personal use. You typically get into a personal contract purchase agreement where you pay for the car’s depreciation over the lease period.

Leasing companies calculate this amount by subtracting the cost of the car at the start of the lease and the end of it. These arrangements typically last four years, and you can get maintenance, tyre replacements, and other services depending on the lease agreement and the leasing company. Some leasing companies will also give you some charging allowance on their charging networks which can either be free or included in the price of the lease.

The other type of electric vehicle leasing is business leasing, which is also the most common. In this arrangement, you pay an amount at the start of the lease and a set amount every month after that for the duration of the lease. You do not get to keep the car at the end of the lease, which means the company takes it back and you do not have to think about reselling or keeping it.

Employers can also get into a salary sacrifice arrangement with their employees where the company purchases the electric vehicle, hands it to an employee, and then takes a portion of their salary every month. These arrangements do not cost the business anything and are a great path to electric vehicle ownership. They can be tailored as straight buys or car leases until the employee pays off the whole car.

The Types of Electric Vehicles You Can Lease

Many businesses lease a small selection of electric vehicles depending on the types of customers they would like to attract. That said, you can lease any electric car you can buy if you find a company that leases that type of vehicle.

Many leasing companies lease new vehicles or those in excellent condition. Their huge selections allow you to choose various manufacturing options, including styling kits, interior packs, battery styles, etc. For more information on the cars you can lease, including the cheapest options, check out the ultimate electric car guide from ElectriX, which has additional information on anything else you need to know about leasing an electric vehicle.

Why Lease an Electric Vehicle?

There are many reasons for leasing an electric vehicle. The most obvious is that the monthly payments are much lower than if you decide to finance the car. The only difference is that, depending on the lease arrangement, you do not have a vehicle at the end of the lease period, while you do have one at the end of financing.

New Vehicle Every Lease Period

Lease periods vary between leasing companies but typically last up to four or five years. Electric vehicles are relatively new, which means the vehicle and the technologies within them are progressing very fast. Think about where battery technology for electric cars was five years ago compared to now. You also get a much better interior which has been perfected depending on user feedback and years of engineering. If you want a new vehicle with the latest technology, you can get one through electric vehicle leasing.

You Avoid Depreciation

The value of a car is dependent on many factors, one of them being depreciation. Cars start depreciating when you drive them off the lot or when the company delivers them. If you do not like the car and think about selling it further down the line, you will get much less for it due to depreciation.

Electric vehicles depreciate too. Since most leases are tied to the depreciation rate, leasing companies protect themselves and their customers in various ways. These strategies are meant to keep the cost of the lease as low as possible to make it very much easier to lease electric vehicles.

First, they offer a low interest rate to keep payments low. Second, they raise the car’s value at the end of the lease period. Doing so reduces the difference between the value at the start and the end, reducing depreciation and thus reducing your lease payment. Third, many electric car leasing companies offer cash incentives for customers who drive well and keep their vehicles safe.

Interestingly, their depreciation rate also makes electric vehicles attractive on the used car market. This means you can lease a specific make and model, see if it suits you, and then find it for a significant bargain on the used car market.

Battery Degradation Does Not Become Your Problem

All batteries that undergo regular charge-discharge cycles degrade over time. Due to technological advancements, the batteries in today’s electric vehicles degrade slowly, many of them rated for over 15 years of service. However, you can avoid this degradation by leasing an electric vehicle. Yes, you might not be able to travel the same distance at the end of the lease as you did at the start, but you will not have to worry about this being an issue in the future. You can lease a new vehicle with long battery life and excellent battery health to be your daily driver after your lease ends.

Leasing is Cheaper Than Buying

Electric vehicles are becoming more affordable as more companies produce and release electric vehicles, but they still need to be more affordable for many people. A great option is leasing an electric vehicle. Leasing the latest models has become much easier because leasing companies make them available immediately or a few months after they enter the market. You can drive these models for your lease period and then have the latest models available to you again once your lease period ends.

Manageable Running Costs

Electric vehicles have lower, manageable costs than combustion engine vehicles. With the cost of fuel as high as it is right now, many people will find comfort in the fact that they can charge their vehicle at home or a charging station. This is beneficial because a full charge usually costs less than a full tank of petrol. Ensure you find a qualified and experienced electrician to install your charger correctly. Although you need to find a qualified and experienced mechanic, electric vehicles are cheaper to maintain. The reason is they have fewer moving parts than their combustion engine counterparts.

If you are considering buying and owning an eclectic vehicle, it would be a good idea to lease one first. Doing so is cheaper, allowing you to learn what owning one would be like before you do it. Leasing companies also provide options and incentives that make doing so worth it.