RISMEDIA, September 16, 2010—Along with dropping gas prices and a lower highway traffic incident report, more evidence mounts that Americans are driving less compared with two or even five years ago. LeaseTrader.com says people are driving fewer miles on their car leases today compared with just a few years ago.
Roughly one third of all vehicles listed on the LeaseTrader.com online marketplace so far in 2010 are considered “under driven,” where vehicle owners average less miles driven compared with what their lease contract allows. This represents almost double the volume of under-driven vehicle listings in a typical year.
Vehicle lease contracts stipulate drivers only use a certain number of miles each year, such as 10,000 or 12,000 miles, or face extra charges at the end of the contract if more miles have been used. The slow economy and high unemployment have translated into fewer miles driven on vehicle leases that ultimately enter the LeaseTrader.com marketplace. As vehicles sit idle in driveways, more consumers feel it best to escape the contract rather than continue making the payment. More households than normal have downsized on total number of vehicles, where family members now share one or two family cars.
“The suspicion of Americans driving less has been around for the last 12-18 months, but tangible evidence is now mounting of the highway slowdown,” said Sergio Stiberman, CEO and founder of LeaseTrader.com. “The same way we’re seeing more people consolidate into fewer homes, we’re seeing more people downsize and share fewer vehicles in the driveway.”
Industry experts believe gas prices nationwide could drop between 10-20% in the near future as refiners begin making less expensive winter gasoline to meet lower demand.
For more information, visit www.LeaseTrader.com.
