Along with some insight regarding behavior of new college graduates, Swapalease.com on Monday reported credit applicants for vehicle lease transfers dropped in April on both a sequential and year-over-year basis. However, the downward movements didn’t surprise site officials.
The site indicated applications coming into its pipeline registered only a 60.0 percent approval rate for April, a 20.0 percent decrease from March, which produced a reading of 75.0 percent. A year ago, the approvals rate was 69.9 percent
Following the trend of previous years, Swapalease.com executive vice president Scot Hall explained it is likely that next month’s numbers will remain at or below the level spotted in April. Historically, Hall mentioned late summer months like July, August and September tend to be the time of year when vehicle lease credit approval rates increase again.
“It’s not uncommon that the lease credit approval rates drop slightly as we head into the summer months,” Hall said. “We have seen this trend over the past three years and typically the rates pick back up closer to July.
“Perhaps this is an indication of more people out shopping for a lease and thus applying, and an influx of applicants usually brings a more diverse range of credit histories,” he added.
Caps, gowns and leases
In other analysis, site officials acknowledged it’s that time of year again — college graduation. The site pointed out many upcoming graduates will be getting new jobs, homes and even cars while transitioning from student life to the “real world.”
Here are the top vehicles they are getting rid of and the top cars they are getting after they graduate, according to transfer trends on Swapalease.com.
Here are the top 5 cars students are getting out of as they graduate:
1. Toyota Camry
2. Ford Fusion
3. Nissan LEAF
4. Toyota Prius
5. Ford Edge
Here are the top 5 cars recent graduates are getting into after they graduate:
1. BMW 4-Series
2. Dodge Charger
3. Audi A5
4. Ford F-150
5. Lexus IS 250
Swapalease.com also highlighted several other notable transfer trends, including:
Colleges with the most domestic cars
· Michigan: 89 percent
· Rutgers: 75 percent
· Northwestern: 66 percent
Colleges with the least domestic cars
· LSU & N.C. State: 0 percent
· Harvard and University of Washington: 1 percent
· UCLA: 8 percent
Colleges with the Most Foreign Cars
· N.C. State and LSU: 100 percent
· Harvard and University of Washington: 99 percent
· UCLA: 92 percent
Colleges with the least foreign cars
· Michigan: 11 percent
· Rutgers: 25 percent
· Northwestern: 34 percent
Colleges with the highest average monthly payment
· LSU: $1,081
· Alabama: $938
· Rutgers: $648
Colleges with the smallest average monthly payment
· Ohio State: $317
· N.C. State: $414
· UCLA: $453
Swapalease also highlighted some trends in a few markets near where large universities are located, including
Los Angeles (UCLA)
• BMW is the most popular car brand.
• 73 percent of car leases being exchanged are foreign vehicles.
• The average monthly payment for vehicles in the Los Angeles area is $453.
Ann Arbor, Mich. (Michigan)
• Most leases from Ann Arbor are being traded to Florida.
• Dodge Charger is the most popular car.
• The average monthly payment for vehicles from Ann Arbor is $467.
Austin, Texas (University of Texas)
• Most lease transfers from Austin go to Dallas.
• The most popular vehicle is the BMW 4 Series.
• The average monthly payment for vehicles from Austin is $576.
Raleigh, N.C. (North Carolina State University)
• Most lease transfers from the Raleigh area are transferred to Florida.
• The BMW 4 series is the most popular vehicle from the Raleigh area.
• The average monthly payment for vehicles from the Raleigh area is $414.
Columbus, Ohio (Ohio State University)
• Most lease transfers stay within Ohio.
• Toyota is the most popular car brand within Columbus.
• The average monthly payment for vehicles from Columbus is $317
Phoenix (Arizona State University)
• The most popular vehicle in Phoenix is the Chevy Camaro.
• The average monthly payment for vehicles in Phoenix is $518
Miami (University of Miami)
• Most lease transfers from Miami go to New York.
• 90 percent of the vehicles listed in Miami on Swapalease.com are foreign-made cars.
• The Mercedes-Benz C-Class is the most popular car.
• The average monthly payment for a vehicle in Miami is $606