July saw a sharp rebound in leasing volume led by significant growth in electric vehicle leasing, according to new StoneEagleDATA benchmarks. While volume rose, front-end profitability turned negative for the first time since early 2020.
StoneEagle’s analysis, based on more than 8,900 U.S. dealer rooftops, found that the average dealer booked 16.3 new lease deals in July, up 12% from June. EVs accounted for nearly one in five leases, representing a 31% month-over-month increase.
“July’s rebound in leasing came with tighter margins, as dealers leaned on aggressive strategies to move aging inventory ahead of EV tax credit changes,” said StoneEagle CEO Cindy Allen.
July 2025 Highlights
Average new lease deals per dealer: 16.3 (↑ 12% month-over-month)
EV lease penetration: 19.6% (↑ 31% month-over-month)
New lease penetration: 11.2% of all sales (↑ 13.3% month-over-month)
Front gross per lease deal: –$47 (↓ 141% month-over-month)
New retail average front gross: $337 (↓ 25.6% month-over-month)
New lease F&I per vehicle retail: $1,312 (↓ 1% month-over-month)
EVs Driving Lease Growth
Total EV lease volume rose about 46% month-over-month, accounting for nearly all of July’s leasing increase. Year-over-year, EV leases rose 51%, in line with EV sales growth. EV lease penetration has held steady at just over 55% compared with July 2024.
Margins Under Pressure
Average front gross per lease deal shifted from $114 in June to –$47 in July. F&I per vehicle retail remained stable, softening but not eliminating the overall margin squeeze.
“Nearly one in five new leases was electric in July,” said Colin Snyder, general manager of StoneEagle’s Automotive Retail Solutions. “The data shows leasing continues to be a key entry point for EVs in the retail market.”
