Leasing car prices are increasing

The key drivers for auto leasing and lending in 2023 were easing supply issues and greater availability of new cars, overshadowed by rapidly rising interest rates. They have made consumers more uncertain and led to caution and more careful consideration of purchasing decisions.

When choosing a new car, sustainability was still one of the defined criteria. As a result, several vehicles with hybrid engines continued to win and the purchase of electric cars also resumed to a certain extent, which was also supported by the new KIK zero-emission vehicle purchase subsidy.

The average price of a leased car is 31,800 euros according to Swedbank statistics, increasing by around 10% over the year. The average price of a new car is 37,000 euros and a used car 26,000 euros. The first down payment also increased by the same order of magnitude as the increase in the price of the car, or about 10%, which is mostly between 10 and 25%.

On average, the lease lasts 5 years and around half of the tenants prefer an operating lease and the other half a financial lease. In the case of financial leasing, the entire cost of the vehicle is repaid in monthly installments and, at the end of the contract, the car is owned by the person. In the case of operating leases, the car has a residual value at the end of the payments, which must be paid to acquire the car or returned to the seller of the car. Leasing is preferable for new cars, which are more expensive and allow you to keep the monthly payment lower than capital leasing. The average renter is 45 years old. The vast majority, or 80%, of renters are aged between 31 and 60. The income of half of the renters reaches up to 2,000 euros, 20% of the renters earn more than 3,000 euros. Every seventh lease is concluded with a co-tenant.

If in 2022 the share of new and used cars was more or less halved, in 2023 thanks to the easing of supply problems, the share of new cars up to one year old increased.

2024-01-08 20:01:00
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