Hyundai's biggest EV lease undercuts its compact rival

Hyundai's new three-row electric SUV, the IONIQ 9, currently offers a lower effective monthly lease cost than the brand's smaller IONIQ 5. This pricing structure makes the larger vehicle a more affordable option for renters despite its higher starting price. The IONIQ 5 remains the third-best-selling electric vehicle in the United States, trailing only the Tesla Model Y and Model 3.

The IONIQ 9 is advertised at $419 per month with $4,999 due at signing over a 36-month term. This calculation results in an effective cost of $557 per month. By comparison, the standard-range IONIQ 5 SE lease starts at $359 per month on a 24-month term with the same down payment, for an effective cost of $567 per month. The extended-range IONIQ 5 SE RWD offers a similar effective cost of $577 per month.

When adjusted to the same 36-month term, the price difference narrows significantly. Using Hyundai's payment calculator, leasing the IONIQ 5 SE for 36 months with $4,999 due at signing costs approximately $412 per month. That amount translates to an effective monthly cost of $550, which is only $7 less than the IONIQ 9. The IONIQ 9 base model starts at $58,955, which is nearly $24,000 more than the $35,250 starting price of the IONIQ 5 SE.

The IONIQ 9 provides more interior space and range than its smaller counterpart. The base IONIQ 9 SE offers an EPA-estimated range of up to 335 miles, compared to 245 miles for the standard-range IONIQ 5. The IONIQ 9 features three rows of seating with six or seven seats, providing up to 163.54 cubic feet of passenger volume. The IONIQ 5 is a two-row midsize SUV that seats five and offers up to 106.5 cubic feet of passenger volume.

Both vehicles are manufactured at Hyundai's Metaplant America facility outside Savannah, Georgia. Hyundai reported that electric SUVs attract new customers to the brand at higher rates than gas or hybrid models. The IONIQ 5 achieved a 69.8 percent conquest rate last year, meaning nearly 70 percent of buyers were switching from another brand. The IONIQ 9 recorded a 64.3 percent conquest rate in its initial period.