Currently, about 40% of cars roaming across the roads in Canada have been acquired through car lease. It is not surprising that the volume of car leasing deals continues to grow, especially during these times. The global economic slowdown has hit North America the most. Thus, the car industry in the region is starting to suffer. In the US and in Canada, more car assembly facilities have been downsizing, while others shut down.
The weakness in the car industry can be analogized and likened to the long-standing slump of the housing industry. Declining sales of new homes across Canada and the rest of North America has paved the way for the emergence of foreclosures. Households are foreclosed because families fall into defaults in paying mortgage and home loan amortizations. In the long run, homebuyers are most advantaged because there are more foreclosed homes for sale at very cheap tag prices. While the inventory continues to pile up, foreclosure costs continue to decline to record lows, making it the best time for homebuyers to purchase. The sluggish housing industry is somehow boosted by high sales of foreclosures, despite the plunge in new house sales.
The same goes on with the car industry. The economic crisis makes consumers tighten their belts for discretionary spending. Since car purchases could be delayed and temporarily halted, most car buyers postpone plans to buy new vehicles. They either stick on with their current autos or opt to buy through car lease financing schemes. Just like foreclosures for the housing industry, car leases are much cheaper and affordable and are giving buyers more flexibility and options when acquiring vehicles. The affordability lures more car buyers to purchase car leases. The car industry in Canada and in the region is also somehow boosted by the continuously rising sales of car leases. Perhaps, leasing is the current lifeline that is saving car companies from possible collapse due to falling sales. avtomobili
The number of car leases across Canada and North America is continuously growing. In the next few months, it is expected that car leases could outpace new car sales, an event that has not happened before to the history of the car industry. Different transactions aimed at further providing assistance to car lessees are also rising, like car lease takeover and transfers, which offer a viable and reliable way out for car lessees who want to get out of an existing contract. More car buyers find lease takeovers and transfers advantageous since costs are significantly trimmed and down payments are waived.