A recent TikTok video by Amanda (@themanidiway) suggests that leasing an electric vehicle (EV) before the federal tax credit expires can result in significant savings. The $7,500 tax credit on new EVs is set to disappear on September 30, 2025, and the $4,000 credit on used EVs will also be phased out.
Amanda claims that this change will make EV costs “extremely unaffordable” for many drivers, causing dealerships to carry fewer electric vehicles. As a result, she believes that dealers are willing to sell these cars at a loss just to get them off the lot. This can lead to better negotiating power for buyers.
Amanda’s video highlights several lease deals offered by EV manufacturers before the tax credits expire. For example, Colorado residents could lease a Fiat 500e with zero down and no monthly payments for a year, provided they met certain requirements. The Honda Prologue’s lease prices have also doubled between its 2024 and 2025 variants.
Industry experts, such as Bloomberg, agree that leasing an EV before the tax credits expire can be a smart financial decision. For instance, a Mercedes-Benz EQB could be leased for $352 per month, despite its sticker price of $53,000. Hyundai’s 2025 Ioniq 6 offers another attractive lease deal with a down payment of $4,000 and monthly payments of $169.
Amanda recommends bringing up the impending expiration of the tax credit as a negotiating tactic to drive down the cost of an EV. She claims that this approach worked in her favor when she leased her Audi A6 e-tron premium plus for $22,000 off the sticker price.
Source: https://insideevs.com/news/769737/electric-vehicle-credit-price-increase