Electric Vehicles

ALG Sets Bolt EV's Residual Value

February 07, 2017, by Paul Clinton

Photo of 2017 Chevrolet Bolt EV by Paul Clinton.
Photo of 2017 Chevrolet Bolt EV by Paul Clinton.

The 2017 Chevrolet Bolt EV should retain as much as 39% of its value after three years of retail leasing, which is significantly better than other mainstream competitors, according to ALG.

The forecast comes as Chevrolet has begun rolling out the vehicle for sale that should reduce range anxiety among buyers with its 248-mile range and $30,000 price after a federal incentive.

"While seemingly low, this is still considerably stronger than the other mainstream EVs currently on the market such as the Nissan Leaf, Kia Soul EV, VW e-Golf, and Mitsubishi i-MiEV," said Patrick Min, a senior project manager with ALG.

Retention rates for the other models have been set at 34% for the Volkswagen e-Golf, 26% for the Kia Soul EV, 25% for the BMW i3, 18% for the Nissan Leaf, and 17% for the Mitsubishi i-MiEV.

The residual values of battery-electric vehicles can be affected by something known as residual subvention, which are grants from the automaker to incentivize purchasing and leasing.

"This is what helps achieve targeted/competitive monthly payments for the lease program. These lease program residuals are often adjusted through incentive support," Min added.

The forecast sets values based on three years of retail leasing with 15,000 miles per year. It's meant to represent the open auction resale price after three years.

Comment On This Story

Name:  
Email:  
Comment: (Maximum 10000 characters)  
Leave this field empty:
* Please note that every comment is moderated.

FleetFAQ

Public Fleet Tracking And Telematics

Amin Amini from Verizon will answer your questions and challenges

View All

Recent Topics

Hello All, We are developing a formal training program for light and heavy equipment technicians. Our goal is to recruit and train...

View Topic

What tool do you use to calculate residual value on heavy equipment? Thanks,

View Topic

Fleet Documents

977 Fleet Documents (and counting) to Download!

Sponsored by

For more than 50 years, Merchants Fleet Management has been providing customized, total fleet management and leasing solutions for businesses and government agencies.

Read more