Recently, revenue in the rental car industry has seen unprecedented growth, with “overall revenues of $28.1 billion in 2021—a 21% gain over the pandemic year of 2020,” according to a study from Auto Rental News. This was the largest growth ever recorded in the rental car industry, and now private vehicle owners are exploring how to rent out their own cars to get a share of the revenue.
Since 2009, “the number of people working remote jobs has risen 159%,” per Global Workplace Analytics—this equates to 26% of the American workforce or roughly 4.2 million workers. With so many employees logging in from home, that leaves millions of cars on the driveway or in the garage and potential income on the table.
As the average cost of driving and owning cars continues to rise, and rental car prices remain high, the idea of renting out your own vehicle becomes more intriguing—that’s where car sharing companies come in. Car sharing companies are a modern alternative to the traditional car rental model that allows individuals to rent out their own cars. Car owners get to enjoy some supplemental income, while renters can easily get a ride without committing to an expensive, long-term purchase. Keep reading to learn more about renting out your own car and how you can have it shipped to renters anywhere in the U.S.
How much can you make renting your car?
Like most businesses, the amount of money you’ll earn from renting out your car is going to depend on multiple factors. Do you live in a densely populated area with lots of potential renters? Are you renting out a unique vehicle, like a classic collector car or a rugged off-road vehicle? These details will determine your payout, as will the specific company you choose to rent through.
Some car sharing companies provide online calculators and estimates to help you get an idea of what kind of profit you can make renting out your car. HyreCar, for example, estimates that you can bring home about $9,000 a year renting out your car. That’s not a bad profit for a vehicle that might otherwise be sitting at home getting rusty.
Is it safe to rent out your car?
Lending out your car to a complete stranger might seem risky, but car sharing companies come prepared with comprehensive coverage and inspection plans to make sure your vehicle is protected. The details will vary depending on which service you decide to use, some offering full coverage from Allstate, and others providing multiple protection packages for you to pick from. Regardless of what you choose, your car will be insured against damage and theft—just be sure to read the fine print so you know exactly what your insurance includes before you lend your car to a renter.
What are popular car-sharing services?
Much like property owners with Airbnb, many car owners are capitalizing on their unused and underused vehicles—and the digital marketplace is making this easier to do than ever before. New websites and apps are being built around the concept of peer-to-peer vehicle renting, essentially acting as a marketplace for people to search for rental vehicles or list their own.
Vehicle owners can start by signing up with a car sharing company and providing all relevant information about their vehicle. From there, renters will be able to see the listing and reach out to make a booking. Before you list your car, you’ll want to make sure it’s in good working condition and up-to-date with all its maintenance. It’s also smart to document the condition of your car before and after you lend it to a renter, taking note of any scratches or dents.
Popular sites to list your vehicle for rental:
More renters are turning to car sharing services
When people think of car rental companies, names like Hertz, Enterprise Rent-A-Car and Avis quickly come to mind. These rental services have been around for decades and they share plenty of similarities: they’re huge companies with large fleets of cars and renting through them comes with a host of fees and regulations. In response to these companies’ high prices, limited options and lack of flexibility, more people are turning to car sharing services.
Car sharing services open up the market to drivers that want an easy and affordable alternative to traditional car rental companies. Whether it’s somebody who needs a car while theirs is in the shop, gig workers driving for DoorDash or Uber or someone on vacation looking for a good deal on a temporary set of wheels, more drivers are turning to this modern car renting solution. These services have a number of advantages that make them an appealing alternative. Here’s why car sharing services are driving competition away from traditional rental companies:
More unique options
When it comes to car rental companies, vehicle selections will usually be limited to what’s currently available on-lot, and most of the time these cars are fairly generic. Car sharing services give drivers the opportunity to work directly with the owners of specific and sometimes rare vehicles.
Renters looking for a chance to drive a classic Corvette, for example, will have an easier time connecting with someone renting one out through a car sharing service than they would through a rental company.
Have a classic car of your own that you need to transport? Whether you’re moving a car of your own or having one delivered to you, Montway has a proven track record of safely shipping classic and exotic cars.
Lower cost and fewer regulations
Car sharing services like Avail and Turo promote their honest and upfront pricing models, which help keep travel budgets low and make it easy to book last minute. This is attractive for anyone planning spontaneous trips, or with unpredictable schedules. These services also remove some barriers that make it hard for certain people to get rental vehicles. For example, drivers under the age of 25 don’t have to worry about “young driver” fees when booking with Avail, making car sharing services a more accessible option for anybody that is looking for a ride.
Less waiting in line
Finally, the cars booked through a service like Getaround will be waiting at a location predetermined by the vehicle owner so drivers can simply pick up the keys and hit the road. Car owners are able to drop off their vehicles prior to pickup and the renters get to skip the line at the rental desk.
Ship your car to renters
With potential car renters being located all over your state, or even the country, getting your vehicle to them can sometimes pose a challenge. If you have a renter that’s interested in booking your car, use a professional vehicle shipping company to get it to them quickly and safely. Find out how to select the best auto shipping company and then make sure that you’re prepared for car transport success. Montway is the leader in U.S. auto transportation with a mission of delivering a 5-star vehicle-shipping experience to every customer. Ship your car anywhere in the U.S. with Montway’s extensive network of carriers and rest assured knowing your vehicle will arrive safely and on time. Get a free instant quote on your car shipment or speak directly with a vehicle shipping advisor at 888-666-8929.