Leasing has become an increasingly popular way to obtain a new vehicle as prices continue to rise, which has also caused monthly loan payments (and terms) to swell. That phenomenon has also mostly applied to the Ford Mustang Mach-E thus far, even though the EV crossover was the third most financed all-electric vehicle in Q4 of 2021, according to Experian’s Auto Finance Insights study. As it turns out, there are a couple of very good reasons for that.
The Ford Mustang Mach-E represented 6.02 percent of financed EVs on the market last quarter, finishing far behind the Tesla Model 3 (36.62 percent) and the Tesla Model Y (34.18 percent), but ahead of a number of rivals including the Volkswagen ID.4 (3.4 percent), Volvo XC40 (1.32 percent), and Hyundai Ioniq (0.17 percent).
Thus, even though it’s technically in third place among all-electric vehicles, the vast majority of Mach-E customers are leasing the vehicle, or purchasing it via Ford’s Options Plan – a type of balloon financing – which provides lower monthly payments than a purchase, yet also requires a larger one-time payment at the end of the loan term.
However, Ford’s Options Plan also puts the vehicle in a buyer’s name, unlike a lease. That last little tidbit allows consumers to claim the current $7,500 federal EV tax credit, just like a traditional purchase. Of course, individuals must have certain tax liabilities to take advantage of that credit, which may explain why many are opting to pass and lease the Mach-E instead.
Meanwhile, the Mach-E continues to attract praise from both critics and consumers alike. The EV crossover remains one of the top considered electrified vehicles on the market, was recently named Consumer Reports‘ 2022 Top EV Pick (beating out the Model 3 and Y), ranked among the consumer organization’s most satisfying electric SUVs, and finished second on J.D. Power’s 2022 U.S. Electric Vehicle Experience (EVX) Ownership Study, while dealer inventory is turning in just 14 days and the vast majority of owners say they would buy the Mach-E again if given the chance.