The car leasing market size is expected to grow by $55.3 billion — or around 9 percent — from 2025 to 2029.
Emerging leasing trends reshaping the industry.
With new cars costing an average of $50,000,1 many consumers are turning to leasing as a cost-effective way to enjoy a vehicle. And while leasing isn’t quite back to pre-pandemic levels, it’s quickly re-gaining popularity among consumers.2 The car leasing market size is expected to grow by $55.3 billion — or around 9% — from 2025 to 2029.3
These trends are leading the charge and reshaping the future of car leasing.
CUSTOMIZATION
As more and more consumers want and expect tailored experiences, some leasing companies are now offering customizable options to cater to individual preferences and lifestyles. Much like those who purchase a vehicle, lessees can personalize interior finishes, exterior colors and technology upgrades on their leased vehicles.
Subscription-based leasing models
While traditional car leasing models often have long-term commitments, subscription-based leasing models are more flexible, offering vehicle access for a monthly fee. This short-term lease model is particularly popular among urban dwellers and tech-savvy consumers, since it provides access to a variety of vehicles without long-term commitments.
Subscription-based leasing models typically allow lessees to switch vehicles or cancel their subscription with minimal penalties, there are often mileage limits, limited vehicle selection and the potential for higher long-term costs, especially if a lessee plans to use the car for a long period of time.
Advanced technology
Advancements in AI, machine learning and in-car connectivity can enhance the driving experience, improve safety and streamline operational processes for both lessors and lessees. Leasing companies can use data and digital platforms to understand preferences and facilitate the entire leasing process.
CONTACTLESS LEASING
Contactless transactions, digital document signing and remote vehicle delivery became more popular in the past few years as people prioritized health and safety precautions. Those trends appear to be here to stay, as contactless leasing provides more convenience and efficiency by streamlining the leasing experience and giving customers the ability to complete transactions on their own schedule.
Leasing with poor credit
The VantageScore subprime credit tier is expanding each year.5 Even with below average credit, consumers are still choosing to lease. While leasing with poor credit is possible, these consumers often face higher monthly payments or larger down payments.
Driving auto leasing forward
As the leasing market continues to grow, learn how our team can provide help and train your dealership for future leasing needs.
1 Kelley Blue Book January 2025 Average New-Car Price Flirting with a Record
2 Automotive News March 2025 Vehicle leasing still below pre-pandemic levels, even with EV help
3 Technavio January 2025 Car Leasing Market Analysis
4 Experian March 2025 The Current State of EV Financing: Why More Consumers Are Choosing Leasing
5 VantageScore May 2024 Credit Analysis
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