Rivian Lease Deals Announced for R1T Electric Truck
Rivian Lease Deals Offer Hesitant EV Buyers Another Option
Steve Birkett is an electric vehicle advocate based in Greater Boston, Massachusetts. He is a content creator and marketing professional who contributes written and recorded pieces to a wide range of media outlets. His analysis has been featured in Find The Best Car Price, WWLP TV, and Torque News, among others. He has also had video content featured on Inside EVs. Birkett was an EV Guide for Plug in America events in Massachusetts (Drive Electric Cambridge and Drive Electric Lowell) and Ohio (Earth Day 2019 at Cleveland Zoo). He participates in quarterly advisory panel meetings for EVolve New York (a state-level charging initiative) and has contributed to focus groups for prominent U.S. charging networks.
Birkett is a father-of-two who loves nothing more than packing up the family and hitting the road in their latest electric car, which is currently a 2022 Hyundai IONIQ 5. With multiple Chevy Bolts in his past, as well as a Chevy Volt and Tesla Model 3 LR in the extended family, plus various EV rentals when he ventures back home to his native United Kingdom, Birkett has more than 100,000 all-electric miles under his belt and is always ready to try out a new electric vehicle.
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The rollout of Rivian lease deals marks another step on the road to profitability for the automaker but also emphasize the headwinds facing EV sales. Buyers are hesitant to commit to an expensive vehicle with high upfront costs, in a segment where the underlying technology gets better every year. Leasing offers a way for these buyers to hedge their bets and upgrade in future, as electric trucks continue to improve.
- Steve Birkett, Senior EV Editor
November 28th, 2023 – Electric truck and SUV manufacturer Rivian is pulling another demand lever by adding lease options for its R1T model in 14 states.
Rivian lease deals will be offered in the following markets: Arizona, California, Colorado, Florida, Georgia, Massachusetts, Michigan, Missouri, New Jersey, New York, Nevada, Pennsylvania, Texas, and Washington. California, Colorado, and Washington are especially important markets to highlight, given their current levels of EV adoption and incentives for electric vehicle purchases. Colorado recently announced that one in four vehicles sold across the state so far in 2023 are electrified models, in a region that perfectly matches Rivian's aesthetic as an outdoors adventure brand.
After raising its production targets for 2023 by 4% over the summer, Rivian announced last month that it remains on track to produce more than 52,000 electric vehicles this year. Rivian lease deals give potentially hesitant buyers another option to get into a premium electric truck with a smaller commitment and lower monthly payment. Nonetheless, that lease still carries a premium over traditional combustion trucks, starting in the region of $800-$900/month for a model that starts at $73,000. Most of our current picks for the best truck lease deals land at least $200-$300/month lower than the initial costs of Rivian's new offer.
What will prove compelling about leasing a Rivian is the $7,500 tax credit that the automaker will pass on to the lessee. As the commercial entity is the vehicle title holder in this arrangement, rather than the individual buyer, income restrictions and other qualifying criteria are waived. While there are the usual restrictions and additional costs that come with vehicle leases, such as mileage limitations and disposition fees, the full federal credit more than offsets these and provides an attractive reason to lease. Lessees also have the option to purchase their R1T at the end of the lease term, unlike those who lease a Tesla.
At a time when established automakers are reviewing the pace of their electric truck plans and Tesla is stepping into unknown territory with its Cybertruck finally beginning deliveries, Rivian needs to take advantage of its early entry into the segment. Rivian lease deals provide another way to stoke demand and move units before the year is out, if the company can convince potential customers that the R1T justifies its premium price tag.