LeaseTrader.com Sees 2011 Model-Year Listings Hit Record
LeaseTrader.com revealed Tuesday that 2011 model year leases have broken its record for largest amount of same-year leases to hit the site.
This high lease turnover rate can help speed up the automotive sales cycle, also potentially creating more inventory turnover at the dealership level. BMW, Mercedes, Toyota and Cadillac are the top four brands with the most 2011 models listed in the marketplace, the company noted.
Interestingly, LeaseTrader’s total inventory is made up of approximately 15.3 percent of 2011 model leases.
This number broke the company's previous record set in 2005, when 13.5 percent of leases were listed of the same model year.
Just last year, the 2010 lease year only represented 10.6 percent of units listed on the site.
But the fact that many drivers want to switch out their leased vehicle after just one year doesn’t surprise LeaseTrade officials, the compay noted.
In fact, demand for one-year lease activity has apparently shot up since last January, with takeover demand up 14.2 percent during that period, the company shared.
“The typical lease customer looks to escape their lease after an average of just 15.7 months into the contract,” officials continued.
As a result, more dealers are beginning to offer 24-month leases, and some manufacturers are allowing car buyers to treat their financed vehicle like a lease through a buy-back program, as well as launching healthy incentives.
Also, the rise in consumers looking to get out of lease contracts early may be in part due to OEM's increasingly attractive lease deals, company officials stressed.
And many of the drivers looking to escape this year’s leases might even be trying to take advantage of an even better lease deal on a 2012 model.
Commenting on the news, Sergio Stiberman, chief executive officer and founder of LeaseTrader.com, said, “The fact that so many 2011s have already come into the LeaseTrader marketplace shows that lease deals continue to get better and more people want to exercise their option to transfer earlier.
“People should not have to wait three or four years if they see a car they’d rather have at any point during their lease contract,” he added.
This story posted by LeaseTrader.com, the automotive service company that lets people transfer out of their Car Leases early. If you're looking to swap a lease or transfer out of your car lease, please visit www.leasetrader.com