MenuMENU
SearchSEARCH

Inventory Sparks Leasing, Other Changes

Captives’ market share surges in first quarter as many shoppers switch from used to new vehicles.

May 31, 2024
Inventory Sparks Leasing, Other Changes

Captives’ new-vehicle financing market share jumped to about 62%, the highest point since 2010.

Credit:

Pexels/Pixabay

2 min to read


Revived new-vehicle inventory has brought a wave of changes across the auto retail market, including the return of leasing and the migration of some shoppers from used to new, Experian says in a first-quarter report.

The shift of many back to the new-vehicle market also reshuffled the share of auto lending, returning more business to captives than that segment has seen in nearly 15 years.

“The return of new vehicle inventory has had a ripple effect across the automotive finance market,” said Melinda Zabritski, Experian head of automotive financial insights.

New-vehicle leasing surged 5% year-over-year to 24% as the average monthly lease payment fell $7 to $595, Experian said.

Meanwhile, captives’ new-vehicle financing market share jumped to about 62%, the highest point since 2010.

The average new-vehicle loan amount fell nearly $500 year-over-year to $40,634, with an average interest rate of 6.73%, up from 6.61%.

Quarterly results showed electric-vehicle interest among lessees is growing, perhaps as a way to test the power train technology without a long-term commitment as the mass market continues to take a wait-and-see approach to EVs. Experian said leasing comprised 35% of EV financing in the quarter, up 12%.

“As technology evolves and infrastructure continues to develop, it’ll be interesting to see the buying preferences for these consumers once they come off lease,” Zabritski said.

LEARN MORE: Discounts Return as Previous-Year Models Sit

 

More Industry

man holding up car keys
Industryby Lauren LawrenceJanuary 9, 2026

2026 Consumer Priorities Revealed

The Global Automotive Consumer Study shows that U.S. car shoppers value in-person dealership visits, crave more affordability, and are still hesitant about EV adoption.

Read More →
Split picture. Toyota on left. Lexus on right.
Industryby Lauren LawrenceJanuary 5, 2026

Dealer Survey Shows Increased Optimism

The 2025 Kerrigan Dealer poll reports the first improvement in valuation expectations since 2021, with 24% of dealers expecting an increase this year, up 41%.

Read More →
Industryby Hannah MitchellJanuary 5, 2026

Kia Trumpets Banner Year

2025 U.S. sales broke brand records despite the pressure of U.S. tariffs on imports, smaller models and electrified vehicles leading the surge.

Read More →
Ad Loading...
Vintage convertible driving along a desert highway, capturing the freedom and cultural impact of early American car travel.
IndustryJanuary 1, 2026

Driving America Forward

As America turns 250, explore how the automotive industry shaped jobs, culture, innovation, and mobility from Detroit assembly lines to today’s EV era.

Read More →
Industryby Hannah MitchellDecember 24, 2025

Top 10 Auto Dealer Today Stories of 2025

Our readers spent the most time on our site keeping abreast of vehicle quality rankings and recalls while researching best practices and legal requirements.

Read More →
Industryby StaffDecember 23, 2025

Black Book: Weekly Market Update

Despite the week's softening conditions, the market analyst said demand for used vehicles showed in competitive bidding for newer units in better condition.

Read More →
Ad Loading...
Industryby Lauren LawrenceDecember 23, 2025

In-Vehicle AI Predicted to Spike

Frost & Sullivan expects a $238 billion market opportunity for the technology in automobiles by 2030 as AI applications shift to more mass-market applications.

Read More →
Industryby Hannah MitchellDecember 23, 2025

December Doldrums

A consumer index finds continued declines in both outlook and current conditions sentiment across nearly all demographics as big-ticket spending plans fall.

Read More →
Industryby Hannah MitchellDecember 19, 2025

Illinois Dealership Traded

A growing auto group picked up the Toyota franchise from retiring family owners.

Read More →
Ad Loading...
Mercedes-Benz Chief Design Officer Gorden Wagener
Industryby Lauren LawrenceDecember 18, 2025

Longtime Mercedes Design Chief Steps Down

Over 28 years with the German automaker, Gorden Wagener has made long-lasting impacts on its vehicles' look.

Read More →