Menu

How is Car Leasing Impacted By the Inventory Shortage?

2020 Chevrolet Traverse on Dirt Road

 

Today’s cars implement thousands of semiconductor chips, and the pandemic created a massive vehicle chip shortage, drastically slowing automotive production. As of 2022, the average new car sells for roughly $50,000, thanks to inflation caused by high demand and limited supply. If you’re considering leasing a car near Sarasota, and wondering if now is a good time to lease a car, take a moment to read our overview of how car leasing is impacted by the inventory shortage. Then, apply for pre-approval and contact Cox Chevrolet to take the next step in Bradenton.

Is Now a Good Time to Lease a Car?

So, how is car leasing impacted by the chip shortage? When you lease a car in greater Tampa, you make payments that will cover the amount of value that depreciates over the course of your lease term. The higher the residual value of a car upon lease signing, the more dollars are going to be packed into each percentage of depreciation that occurs.

Since the vehicle chip shortage has created high demand and limited supply, you can expect lease vehicles to have an inflated value and higher monthly payments. However, you may need a car now, and leasing can still be a more affordable option. Here are some considerations:

  • Lease Buyouts and Renewals: If you’re currently leasing a vehicle, and you signed the agreement before that inflation his the automotive industry, you can buy out your lease at the value that was originally stipulated, or continue leasing it at the original value.
  • Interest Rates: For many leases, inflation is accounted for in higher interest rates on lease agreements. So, if you’re weighing your options between financing and leasing, make sure to factor in estimated lease interest rates, so you can determine which option is truly going to be more affordable.
  • Transitory Prices: It’s entirely possible that, as production resumes, prices will go down, so do bear in mind that leasing allows you to ride out the rest of the storm on a temporary contract.

Have Questions About How Car Leasing is Impacted by the Inventory Shortage?

If you have further questions about the vehicle chip shortage or whether now is a good time to lease, call Cox Chevrolet at 941-251-0310. We’re more than happy to help you identify whether leasing is the best option for you, and should you explore leasing, we’ll ensure you don’t miss out on any opportunities to save. While you’re here, take a moment to explore our guide on what to do if your lease is expiring soon, as well as our guide on the differences between leasing and buying!

 

More from Cox Chevrolet

  • 2022 Chevy Traverse Interior

      You’ve probably noticed the new Chevy Traverse rolling around Sarasota. It’s one attractive SUV. But just wait until you see the beautiful Chevy Traverse interior. Not only does this car look great on the inside, but there’s plenty of room, including the generous Chevy Traverse cargo space. We go into the details below, including…

  • 2022 Chevy Equinox Trim Levels & Pricing

      If you’re shopping for a Chevy Equinox near Sarasota, you’ll need to figure out which of the 2022 Chevy Equinox trims are right for your needs. Take a moment to explore the pricing and key features available on each of the 2022 Chevy Equinox configurations. Then, apply for financing and reach out to Cox Chevrolet…

  • How Much Does the 2022 Chevrolet Silverado 1500 Weigh?

    Chevrolet Silverado trucks are highly customizable for Sarasota drivers and therefore come in a wide range of weights. Before we jump into the range of 2022 Chevrolet Silverado weights, you’ll need to understand curb weight, which is the weight of a vehicle with a full tank of gas and all standard equipment. With that out of…

AudioEye

Garage

Your garage is empty.
Save some vehicles to get started!
Chat
Trade In
Search
AudioEye
Garage

Garage

Your garage is empty.
Save some vehicles to get started!
Chat
Value My Trade
Contact Us
Cox Chevrolet 27.4627, -82.5903.