Why Leasing Matters – June 2023

Lease penetration in decline

In the years before the pandemic, leasing accounted for 25-30%
of all retail transactions, and were as high as 53% in the luxury
market. But in the most recent 12 months, lease penetration is down
over 10 points to only 17% (Fig 1).

Rising interest rates and new vehicle prices are driving this
trend. Instead of leasing, customers are increasingly financing new
vehicle purchases for longer terms. 84+ month loans have grown from
5.4% of retail loan in 2021 to 10.4% in 2023.

Read more

Read our full US Mobility Insights from S&P Global Mobility.
Our June 2023 report focuses on lease penetration on the luxury and
mainstream vehicles, EV´s, geographic variance in leasing and how
to understand lease buyout behavior.

Download full report

This article was published by S&P Global Mobility and not by S&P Global Ratings, which is a separately managed division of S&P Global.

• SEO Powered Content & PR Distribution. Get Amplified Today.
• PlatoData.Network Vertical Generative Ai. Empower Yourself. Access Here.
• PlatoAiStream. Web3 Intelligence. Knowledge Amplified. Access Here.
• PlatoESG. Automotive / EVs, Carbon, CleanTech, Energy, Environment, Solar, Waste Management. Access Here.
• BlockOffsets. Modernizing Environmental Offset Ownership. Access Here.
• Source: http://www.spglobal.com/mobility/en/research-analysis/why-leasing-matters-june-2023.html