Like so many issues in the course of the COVID-19 pandemic, rental vehicles seemingly vanished in a single day. The continuing scarcity of automobiles has despatched some rental costs into the stratosphere.
Now, common automotive house owners hope to get in on the motion.
Axios experiences that on a regular basis persons are shopping for up “small fleets of cars” and charging hefty costs to lease them to vacationers of their space.
In a single instance Axios cites, it’ll price you a whopping $500 to lease a Ford Fiesta hatchback from Finances for a mid-October weekend in Boston. Or, you may pay the identical price and get a Maserati Quattroporte from car-sharing website Turo.
As we’ve reported, automotive rental firms offered off massive numbers of automobiles in the course of the peak of the pandemic as a result of that they had few — if any — clients. However as soon as life returned to a way of normalcy, the rental firms have been caught with too many shoppers and never sufficient vehicles.
Provide chain points have made it robust for rental businesses to seek out new vehicles to replenish their fleets. So, the legislation of provide and demand has despatched automotive rental costs by way of the roof. In actual fact, the inflation price for rental automotive and truck costs, as measured by the federal Bureau of Labor Statistics, rose 52.6% between August 2020 and August 2021.
On a regular basis automotive house owners observed the rise in costs. A few of them are making their very own income by loaning out automobiles on Turo and different car-sharing websites.
For instance, Axios experiences that Lazaro Vento of Miami lists 22 automobiles for lease. In a single latest month, he made $30,000 in income.
Vento additionally manages near 100 Airbnb properties, and he generally packages them together with his Turo vehicles. As he tells Axios:
“While you get to a spot, the automotive is ready for you — it actually makes you’re feeling like a VIP.”
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