{"id":276586,"date":"2021-06-16T22:32:11","date_gmt":"2021-06-16T19:32:11","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/us-car-rental-prices-could-double-by-august-amid-shortage\/"},"modified":"2021-06-16T22:32:11","modified_gmt":"2021-06-16T19:32:11","slug":"us-car-rental-prices-could-double-by-august-amid-shortage","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/us-car-rental-prices-could-double-by-august-amid-shortage\/","title":{"rendered":"#US car rental prices could double by August amid shortage"},"content":{"rendered":"

“#US car rental prices could double by August amid shortage<\/strong>”<\/p>\n

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It\u2019s going to be a scorcher of a summer when it comes to car rental prices, The Post has learned. <\/p>\n

The average daily cost to rent a car in the US jumped to a record $63.75 last month \u2014 up 50 percent in some cases \u2014 as the nation\u2019s economy revved back to life, according to data collected by Jefferies, a New York investment bank. <\/p>\n

What\u2019s more, demand is getting so hot \u2014 with fees for August already trending above $100 a day \u2014 that many vacationers can expect to pay more than double what they would have before the pandemic, according to data on summer reservations.<\/p>\n

\u201cYou may see consumers resort to mass transit,\u201d Jefferies analyst Hamzah Mazari predicted. <\/p>\n

The Wall Street analyst has been collecting daily vehicle rental prices from all of the major rental companies \u2014 Avis, Hertz and Enterprise \u2014 going back to 2015. In that time, he said, he\u2019s never seen US rental costs soar as high as they are now. <\/p>\n

The media<\/a>n price for an Avis car rental jumped to $68.07 in May \u2014 up a whopping 50 percent from the median cost Avis charged its May renters between 2015 and 2019, before the pandemic hit, the data show. <\/p>\n

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\"People
The median price for an Avis car rental jumped to $68.07 in May. <\/figcaption>
Getty Images<\/span><\/figcaption><\/figure>\n<\/div>\n

Avis prices for June and July, meanwhile, have leaped to $81.59 and $94.51 a day, respectively. For August, the median is $103.40 a day, a staggering 104 percent increase over that month\u2019s pre-pandemic levels. <\/p>\n

The data is similar at other major car rental companies, with the daily median price at Hertz coming in at $114.49 for August \u2014 147 percent above pre-pandemic prices. Enterprise, meanwhile, is charging a median of $100.85 a day for a car in August, or 57 percent more than its traditional end-of-summer rates. <\/p>\n

The skyrocketing prices come as demand for rental cars outstrips supply. Desperate to survive pandemic lockdowns that halted global travel<\/a> last year, many rental companies sold off their fleets for cash. Now, as newly vaccinated Americans are ready to travel again, car rental services have been hard-pressed to rebuild their fleets.<\/p>\n

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\"Thousands
Many rental companies sold off their fleets for cash during pandemic lockdowns.<\/figcaption>
Los Angeles Times via Getty Images<\/span><\/figcaption><\/figure>\n<\/div>\n

Supply-chain woes driven partly by a microchip shortage have sent new car prices soaring, and car-rental companies \u2014 which typically buy their cars from manufacturers in bulk and at a discount \u2014 have been pushed to the back of the line amid spotty availability, according to industry sources.<\/p>\n

The new car shortage also has sent the cost of used cars and trucks soaring \u2014 up 29.7 percent in the last 12 months through May, the Labor Department reported last week.\u00a0\u00a0<\/p>\n

Earlier this month in Park Slope, Brooklyn, Aaron Epstein said his wife looked at rental prices at a Hertz location and thought they were pricey. But when she booked a car a few days later, the price had doubled. They ended up paying $176, not including taxes, to rent the car for a single day\u2019s drive to upstate New York. <\/p>\n

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\"Rental
A global shortage of new cars also is putting pressure on car rental prices.<\/figcaption>
Getty Images<\/span><\/figcaption><\/figure>\n<\/div>\n

\u201cIf it was just me, I would take the train or the bus,\u201d he told The Post.<\/p>\n

\u201cIt\u2019s really expensive for the weekend,\u201d agreed Callan Ideau, who paid roughly $300 to rent a car for the weekend to drive to a friend\u2019s New Jersey bachelorette party. She said she had been hoping the total would be closer to $200, but there were no more cars left to even consider. The manager of the Hertz branch said they were sold out for the weekend.<\/p>\n

Mazari says prices aren\u2019t likely to ease until next year because new car production isn\u2019t expected to normalize until the fourth quarter. \u201cWhen this will get fixed is when car rental companies start adding cars back to their fleets,\u201d Mazari said. <\/p>\n

The only way car rental companies might be pressured to lower prices earlier, he said, is if consumers get fed up enough and ditch the car rentals for taxis or public transportation. To some extent, that\u2019s already happ<\/a>ening. <\/p>\n

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\"People
People wait outside an Upper West Side Avis rental car agency.<\/figcaption>
Getty Images<\/span><\/figcaption><\/figure>\n<\/div>\n

Brooklyn resident Gordon Price said he flew to Puerto Rico for a weeklong vacation last month and ended up using Uber to get around the island because car rental prices were so outrageously high.<\/p>\n

\u201cI\u2019m accustomed to driving a nice rental when I travel. Sometimes even a nice upgrade,\u201d he told The Post.<\/p>\n

\u201cI was dismayed to find every rental agency was completely without cars. I finally found a KIA Sorento for $400. Not how I usually roll, but anyway I finally read the part that explained it was per day.\u201d<\/p>\n

\u201cI was not amused,\u201d he said. \u201cI also wasn\u2019t paying it.\u201d\n <\/p><\/div>\n

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Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

“#US car rental prices could double by August amid shortage” It\u2019s going to be a scorcher of a summer when it comes to car rental prices, The Post has learned. The average daily cost to rent a car in the US jumped to a record $63.75 last month \u2014 up 50 percent in some cases…<\/p>\n","protected":false},"author":1,"featured_media":276587,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2021\/06\/rental-car-prices-skyrocket2.jpg?quality=90&strip=all&w=1200","fifu_image_alt":"","footnotes":""},"categories":[70897],"tags":[109557,29696,70551,74077],"class_list":["post-276586","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-6-16-21","tag-cars","tag-inflation","tag-rentals"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/276586","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=276586"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/276586\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/276587"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=276586"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=276586"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=276586"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}