You only get one chance to walk on this earth and to experience being alive in this universe. I recently had a very close relative die,...that made me realize what life was all about! As long as you can swing the payments,...enjoy yourself. A billion dollars is nothing to you when your body is in constant agony, or you are wearing a diaper in a nursing home or you are lying on your death bed wishing you could go outside to feel the Sun on your skin just one more time. ENJOY THE LIFE YOUR BIRTH MOTHER GAVE YOU 👈🏾 Enjoy your Rivian
Thanks for this video. It helped me calculate the true cost of leasing vs. owning. I’m looking at a R1S to lease. Based on current conditions and being in Texas (We have to pay sales tax on the MSRP of the entire purchase price $6500 just for the tax!), the total cost to lease is 1.5% With Rivian’s rates now at 3.49% for 72 months. It makes more sense to buy and have a little equity to trade in for the newer models.
Appreciate this video! I went with buying a used 22 R1T Launch Edition fully spec’d 5k miles for $69,400. I had a trade with $20k equity so it made sense to go the used route.
it would be nice if you have the amount to pay off after the lease. Looking into leasing and buying after to get the tax credit since I do not qualify for it if bought outright,
I paid cash for my 2024 Cadillac Lyriq Sport 3 AWD. I was offered a $8,500 discount and a 2024 $49,000 trade-in vehicle (that was paid off - no negative equity). Now, I do not have a monthly car payment. Just insurance cost. My MSRP with my Lyriq was $71,100. Because of the huge depreciation on EVs, I am not spending more than $80,000.
Love your videos! How did you end up getting a better monthly payment than what it says on the lease calculator? When I run the numbers on their website for a similar value car with 0 down, I’m getting a significantly higher est payment
@@Floormat212 The tax credit is like a down payment in that it reduces the lease payment amount. I have an hour long video the goes through the entire lease process from being to end. Thanks for watching, and don't forget to subscribe.
I don’t understand the comparison between the depreciation of financing vs leasing. At the end of the lease there’s no vehicle if returned and if you buy it, aren’t you still eating the depreciation?
@@AJGraham83 Yes, if you purchase it after the lease you will eat the depreciation minus the $7500.00 tax incentive. Plus, you must also factor in the high interest rates. However, I don't plan one purchasing after the lease because I suspect technology improvements and increase competition will lower the prices even more.
Great videos! Im looking to lease a R1T, but I don’t know how to talk to a Rivian sales person. Is there a number? Or do you have to schedule a test drive first? I can’t find the number to my closest service center in Miami, but I want to discuss my options.
Thanks! You will have to configure one first, and pay the $1000 deposit before they will contact you. However, you can also schedule a test drive on Rivian's website also.
Hello Duke, Great video and information. I am also in process to locking my lease for 2024 R1S. The rep just called me today to check if I want to move forward What made you decide to go with 22 inch wheels? I am getting some conflicting information on 21 vs 22 wheels. Also how did you get the wheels discount?
Thanks! They offered me an R1S from inventory, and the one I configured had 21 inch rims. I put a video out about a week or so ago and it includes the call from the Rivian sales representative. It's the complete process from order to delivery.
Without the residual buyout going into this calculation I fail to see how "I'm not eating the depreciation" ... like at the end of the lease you have nothing - or you can finance/cash the car, whereas at the end of the loan term you have a Rivian.
It's not just depreciation, it's also the interest on a loan or the opportunity cost of lost investment opportunity if paying in cash. A lease is a hedge against depreciation which is higher for EVs plus you get credit for the $7500 EV tax credit. I have a longer video with entire process.
That's because Texas is the only remaining state where leasing is based upon the purchase price of the vehicle. In other words, you have to pay the full sales tax on a lease vs just paying taxes based on the number of months you lease the vehicle.
This is insane to me, why would you want a $1k monthly payment on a car? That’s a mortgage! Mind blowing that people willingly will sign a contract like this.
I understand that $1K a month seems like a lot of money for some people, however, it is pocket change for others. I don't judge other men's bank accounts or purchase decision that have no impact on me.
@@idonotcarenowbad behavior is subjective. But I personally think a $1k payment is a bad use of money, myself. However there's others who may feel that a $500-600 payment is too much, too. I'm used to $400 monthly payments from when I financed cars in the 2000s. A couple years ago I had to down $22k on a $45k minivan just to make the payments $427/mo! Horses for courses.
Good information. Now if I can just get a sales person to talk to before I put down $500 non-refundable. Can you talk to anyone before that or only after you pay? Thanks
Wait - can you please clarify: lease end buyout for your example was $58K or $68K? Why won’t Rivian tell me before I drop $1000 deposit? Also, you speak of how expensive the loan amount would be but are not taking into consideration what you could sell the vehicle for at the end of your 3 years if purchased. I have now watched 10 videos as I try to contemplate this transaction, and a true cost comparison has yet to be availed. Each just a half argument that defends his choice.😢
I made a few Rivian lease videos, and one is an hour long. I took my personal time to make these, and I do not get paid for it, nor do I work for, or am affiliated with, Rivian in any way. If you are uncomfortable don't lease a Rivian.
@@thedukeofmanville I am trying to get comfortable, Duke, and I really liked your style in your video. Part of what will make me comfortable with the R1T is knowing my options at the end of the lease (I, too, am a reservation holder for an R2). That residual number is all I need, thus why I was asking for clarification on what your end of lease paperwork says is the purchase price at lease end. I can then calculate finance rates on the lease, what they assume the depreciation to be, and compare to purchasing outright. I am leaning toward getting the lease but trying to look under the covers. The $7500 being built in may make the lease then loan appealing if I go over the miles. Thanks for posting these videos; I will be careful in the future to characterize my comments in kindness.
@@thedukeofmanville that would still make it a few thousand cheaper than buying it up front right now. Wow. Def a great lease deal; I hope to be able to pick up an R2 when it comes out in a few years as well.
That is zero down excluding the $1000 deposit to order the vehicle, so really its $1000 down. This video goes through the entire process: ruclips.net/video/63Z07_g7o1A/видео.html
If I purchased it I would pay $67,000 during that first three years at which point I would owe $58,000 at the end of three years. The residual value after 3 year is $58,000. In other words, I can purchase it at the end of the three year lease for $58,000 which would save me almost $30,000. I cover all of this in the video.
yep cause nobody wants a electric veh if you dont have your own home to set up a home charge area..... the basic public if not homeowner has zero interest in them, thats a industry problem!
😍If Purchasing a Rivian or Rivian Gear use referral code: CURTIS1921388
You only get one chance to walk on this earth and to experience being alive in this universe. I recently had a very close relative die,...that made me realize what life was all about! As long as you can swing the payments,...enjoy yourself. A billion dollars is nothing to you when your body is in constant agony, or you are wearing a diaper in a nursing home or you are lying on your death bed wishing you could go outside to feel the Sun on your skin just one more time. ENJOY THE LIFE YOUR BIRTH MOTHER GAVE YOU 👈🏾 Enjoy your Rivian
Thanks for this video. It helped me calculate the true cost of leasing vs. owning. I’m looking at a R1S to lease.
Based on current conditions and being in Texas (We have to pay sales tax on the MSRP of the entire purchase price $6500 just for the tax!), the total cost to lease is 1.5%
With Rivian’s rates now at 3.49% for 72 months. It makes more sense to buy and have a little equity to trade in for the newer models.
I agree. I believe Texas is the only State left that does that. So, purchasing is a better option with the lower interest rate deal.
Thanks for this! I just started. Rivian lease. I shared your video on the Rivian FB group
You're welcome!
Good to know. That R2 has my full attention.
Appreciate this video! I went with buying a used 22 R1T Launch Edition fully spec’d 5k miles for $69,400. I had a trade with $20k equity so it made sense to go the used route.
Awesome choice! You still have 170k miles of warranty left. Thanks for sharing!
Great video! It's rara to see someone actually walk through ALL the math since most folks are after the clicks. Thanks again!
You're welcome! Thanks for the feedback.
it would be nice if you have the amount to pay off after the lease. Looking into leasing and buying after to get the tax credit since I do not qualify for it if bought outright,
I would LOVE to know this as well.
Great breakdown, might have to watch this again
Glad it was helpful!
I paid cash for my 2024 Cadillac Lyriq Sport 3 AWD. I was offered a $8,500 discount and a 2024 $49,000 trade-in vehicle (that was paid off - no negative equity). Now, I do not have a monthly car payment. Just insurance cost. My MSRP with my Lyriq was $71,100. Because of the huge depreciation on EVs, I am not spending more than $80,000.
I'm taking delivery of the R1S on April 8th, looking forward to starting my EV journey 🤞🏿
Good luck!!
Love your videos! How did you end up getting a better monthly payment than what it says on the lease calculator? When I run the numbers on their website for a similar value car with 0 down, I’m getting a significantly higher est payment
I believe they gave me a deal for taking delivery before the end of March. I haven't figured they numbers out either.
Great analysis! Thanks for taking the time to put together & share.
Glad you enjoyed it!
Great video, but I wish you had explained how the $7500 credit works.
@@Floormat212 The tax credit is like a down payment in that it reduces the lease payment amount. I have an hour long video the goes through the entire lease process from being to end. Thanks for watching, and don't forget to subscribe.
I don’t understand the comparison between the depreciation of financing vs leasing. At the end of the lease there’s no vehicle if returned and if you buy it, aren’t you still eating the depreciation?
@@AJGraham83 Yes, if you purchase it after the lease you will eat the depreciation minus the $7500.00 tax incentive. Plus, you must also factor in the high interest rates. However, I don't plan one purchasing after the lease because I suspect technology improvements and increase competition will lower the prices even more.
Great videos! Im looking to lease a R1T, but I don’t know how to talk to a Rivian sales person. Is there a number? Or do you have to schedule a test drive first? I can’t find the number to my closest service center in Miami, but I want to discuss my options.
Thanks! You will have to configure one first, and pay the $1000 deposit before they will contact you. However, you can also schedule a test drive on Rivian's website also.
Hello Duke,
Great video and information. I am also in process to locking my lease for 2024 R1S. The rep just called me today to check if I want to move forward
What made you decide to go with 22 inch wheels? I am getting some conflicting information on 21 vs 22 wheels. Also how did you get the wheels discount?
Thanks! They offered me an R1S from inventory, and the one I configured had 21 inch rims. I put a video out about a week or so ago and it includes the call from the Rivian sales representative. It's the complete process from order to delivery.
@@thedukeofmanville Thank you for the reply.
Without the residual buyout going into this calculation I fail to see how "I'm not eating the depreciation" ... like at the end of the lease you have nothing - or you can finance/cash the car, whereas at the end of the loan term you have a Rivian.
It's not just depreciation, it's also the interest on a loan or the opportunity cost of lost investment opportunity if paying in cash. A lease is a hedge against depreciation which is higher for EVs plus you get credit for the $7500 EV tax credit. I have a longer video with entire process.
Love how these dealers add in about $1800 in Gravy Fees!!
I know right! I picked my R1T up from the factory, and still had to pay the $1800 "destination" charge.
What part of Illinois you stay at? I’m getting charged over $5000 taxes in Chicago
I'm by St Louis, MO. The taxes here are a lot lower than Chicago
Thanks for the reply!
Same here. Taking delivery in Chicago, paying $3500 in taxes.
Thanks for this video. Did you have to call them to get the best deal?
Not at all
In Texas with zero, it is asking over 10k due to signing, asking almost $5500 in Taxes upfront.
That's because Texas is the only remaining state where leasing is based upon the purchase price of the vehicle. In other words, you have to pay the full sales tax on a lease vs just paying taxes based on the number of months you lease the vehicle.
I’m in Tx and this is absurd
You also have to pay more for your vehicle reg every year if you have an EV
This is insane to me, why would you want a $1k monthly payment on a car? That’s a mortgage! Mind blowing that people willingly will sign a contract like this.
I understand that $1K a month seems like a lot of money for some people, however, it is pocket change for others. I don't judge other men's bank accounts or purchase decision that have no impact on me.
@@thedukeofmanville you know like everything else you see a child doing, you have to correct bad behavior.
@@idonotcarenowbad behavior is subjective. But I personally think a $1k payment is a bad use of money, myself. However there's others who may feel that a $500-600 payment is too much, too. I'm used to $400 monthly payments from when I financed cars in the 2000s. A couple years ago I had to down $22k on a $45k minivan just to make the payments $427/mo! Horses for courses.
Good information. Now if I can just get a sales person to talk to before I put down $500 non-refundable. Can you talk to anyone before that or only after you pay? Thanks
Only after putting down the deposit. Thanks for commenting!
@@thedukeofmanville of course and thank you!
Can the money due at signing be rolled into your lease term/payments over the 24 or 36 month lease?
I'm not sure if they will allow you to roll it into your payments, and they made no mention of it being an option. Thanks foe your question!
how many miles on your lease. I did 15000 miles and the payment is over $1200 and have credit score in the 800s
Wait - can you please clarify: lease end buyout for your example was $58K or $68K? Why won’t Rivian tell me before I drop $1000 deposit? Also, you speak of how expensive the loan amount would be but are not taking into consideration what you could sell the vehicle for at the end of your 3 years if purchased. I have now watched 10 videos as I try to contemplate this transaction, and a true cost comparison has yet to be availed. Each just a half argument that defends his choice.😢
I made a few Rivian lease videos, and one is an hour long. I took my personal time to make these, and I do not get paid for it, nor do I work for, or am affiliated with, Rivian in any way. If you are uncomfortable don't lease a Rivian.
@@thedukeofmanville I am trying to get comfortable, Duke, and I really liked your style in your video. Part of what will make me comfortable with the R1T is knowing my options at the end of the lease (I, too, am a reservation holder for an R2). That residual number is all I need, thus why I was asking for clarification on what your end of lease paperwork says is the purchase price at lease end. I can then calculate finance rates on the lease, what they assume the depreciation to be, and compare to purchasing outright. I am leaning toward getting the lease but trying to look under the covers. The $7500 being built in may make the lease then loan appealing if I go over the miles. Thanks for posting these videos; I will be careful in the future to characterize my comments in kindness.
Were they able to provide you the amount after lease that you would be able to purchase the vehicle for when the time comes to turn it in?
I was told the residual value is 58%, so that should be around $57K, but I plan on turning it in for the R2
@@thedukeofmanville that would still make it a few thousand cheaper than buying it up front right now. Wow.
Def a great lease deal; I hope to be able to pick up an R2 when it comes out in a few years as well.
DoM, Congrats on the new R1S! What is the annual mileage range for your lease? Thanks!
Thanks! It 12K miles per year or 36 per year.
How did you get around paying $0 down payment, is that even an option that rivian gives ?
That is zero down excluding the $1000 deposit to order the vehicle, so really its $1000 down. This video goes through the entire process: ruclips.net/video/63Z07_g7o1A/видео.html
was this for a 2023 model year?
2024
Rivian ❤
What is the Residual Buyout Amount?
$68k
$1000 a month for 36 months. $36,000 after three years for a rental.
If I purchased it I would pay $67,000 during that first three years at which point I would owe $58,000 at the end of three years. The residual value after 3 year is $58,000. In other words, I can purchase it at the end of the three year lease for $58,000 which would save me almost $30,000. I cover all of this in the video.
How are you saving $30,000?
I'm a little confused because if it's 36,000 plus the $8 or 9000 do a sign in. You're not saving $30,000
Do you know how long this lease offer will last?
Probably until the interest rates go down and demand picks up.
What's the buy off amount after the lease?
The residual value is 58% or around $57k
dont you have to pay tax on the 57K at the end of the lease to purchase?
@@thedukeofmanville
yep cause nobody wants a electric veh if you dont have your own home to set up a home charge area..... the basic public if not homeowner has zero interest in them, thats a industry problem!
"Interesting". That's my comment.
👍☝️
Duke, I’d love to become if your mentee if you have available time. Would love to speak to see how you got where you are.
Thanks! Maybe when I'm only burning the candle at both ends instead of both ends and the middle. Will do.
@@thedukeofmanville Thanks, I’ll stay in touch.