The global auto industry has taken a hit in recent years. For example, 2019 was considered to the worst year for the auto industry ever since the global economic recession of 2008.
According to a study, there was a 4.4% slump for the industry in 2019, and forecasts for 2020 suggest a 0.3% downturn. However, things are slightly different in Puerto Rico.
In this article, we will briefly highlight the current condition of the auto industry in Puerto Rico, analyze the performance of the car rental segment, and evaluate the efficacy of the car lease swapping model.
We will also evaluate the services offered by one of the top car lease swapping platforms to see how relevant it is for consumers in Puerto Rico.
The United Group of Automobile Importers (GUIA) recently released data regarding car sales, detailing a 5% increase in car sales in November 2019 over November 2018. However, there was a slight drop of 1.2% in 2019 as compared to 2018 as a whole, suggesting uncertainty.
“After observing the third quarter with negative results compared to 2018, causing considerable concern in the automobile sector, the fourth quarter has been above [the third quarter] and those are encouraging news because we are headed toward a new decade, although the accumulation is slightly lower [than in 2018],” the GUIA president said.
Meanwhile, car leasing and car rental segments have performed well in recent times. The report released by GUIA stated that the car rental industry has showcased a 1.5% growth.
“By the purchases of this sector, we understand that the demand for car rental is increasing, contributing positively to the island’s economy,” the GUIA president added.
Car lease swapping & Quitalease While the auto industry has performed well, there is uncertainty if the prevailing global situation will be replicated in Puerto Rico. Consumers are understandably apprehensive about the situation and are seeking ways to minimize their investment and maximize their returns. In this regard, the car lease swapping model is ideal.
Unlike direct purchases, the car leasing model requires the lessee to make monthly payments on the vehicle. At the end of the car lease term, the lessee returns the car to the leasing company. Depending on the terms of the original agreement, there may be a condition for the lessee to purchase the car entirely.
However, changes in financial condition may mean that the lessee fails to make the payments, causing stress and impacting the lessee’s credit rating.
On the other hand, those wishing to get their hands on a car may be unwilling to spend heavily on complete purchases or even leasing a new car. In such situations, the car lease swapping model represents a win-win for both parties.
There are many ways you can opt for car lease swapping, but Quitalease is among the most advanced platforms offering the interested parties a chance to swap the lease. The website has thousands of listings, and consumers can post ads or seek out their favorite car with search filters such as car type, make, model, color, and other details.
The process is quite easy too. Once a car is selected, the parties can exchange private messages to discuss things like maximum mileage or lease terms. Once an agreement is made, the new lessee sends the required documents to the leasing company. If the profile of the new lessee is approved, they can get their hands behind the car and drive away.
The new lessee now continues making the payments on the car. Given the current economic conditions and the performance of the auto industry, the car lease swapping model, and Quitalease, provide valuable and efficient options for consumers in Puerto Rico.
By Julia Fernández