MENU
SEARCHMore consumers looking for ways to control automotive costs opt for the alternative as borrowing tougher.
Average monthly payments on leased vehicles fell for every segment of borrowers in the quarter.
Pexels/Vadutskevich
Vehicle leasing is on the comeback as consumers look for savings and dealers try to sell more cars in the still-inflated market.
Leasing increased from 21% to 25% year-over-year in the second quarter, up from 19% two years earlier, according to Experian data.
“As the influx of new vehicle inventory persists, a wider range of models are becoming available and dealers and manufacturers are leaning back into leasing as a way to move metal,” said Experian Head of Automotive Financial Insights Melinda Zabritski, who pointed out that leased vehicles come with lower monthly payments.
Average monthly payments on leased vehicles fell for every segment of borrowers in the quarter, according to Experian, which said the average payment was nearly $150 under that for a loan.
Leading leased models were the Honda CR-V, at about 3%, the Tesla Model Y close behind, and the Honda Civic at 2%.
Meanwhile, the average new-vehicle loan amount in the quarter was up from $40,743 to $40,927, while the average used amount fell from $26,316 to $26,248.
Dealers should aim to build a positive work environment, helping employees execute an efficient experience, from their online research to the final delivery of the vehicle.
Read More →
A cloudy April forecast was expected due to last April’s sales surge in anticipation of U.S. trade tariff-inflated prices. Meanwhile, automakers pumped up incentives to address today’s consumer wallet woes.
Read More →
A recent price spike due to several larger market forces, though it hasn’t dulled demand, is pushing more consumers to efficient models to squeeze in buys.
Read More →
A group out West picked up the major D.C.-area collection, putting it in the upper tiers of private automotive groups in the U.S.
Read More →
Lenders loosened access for subprime borrowers, and consumers with negative equity reached a record high, Cox Automotive reported.
Read More →
U.S. consumer interest in electric vehicles lags behind other countries despite the rising gas prices caused by the ongoing war in the Middle East.
Read More →
Research reveals the brands and models most likely to have higher recall rates over their lifetimes. While some brands rank high, addressing safety issues can be a selling point.
Read More →
Cox Automotive data shows Americans doubled down on big-is-better despite price increases. Slightly higher incentives helped fuel the demand.
Read More →
Cox Automotive research shows both the opportunities and the challenges in turning consumers’ growing affordability needs into increased fixed-operations revenue.
Read More →
The partner you choose for growth and expansion is key, because better is the ultimate goal instead of growth for growth’s sake.
Read More →