Renting cars between individuals: is it an opportunity?

Your car spends a lot of time parked, why not rent it and make money from it? The advantages are numerous.

Leasing between individuals allows the person who rents a car to pay off an expensive purchase more quickly – and who spends most of his time immobile in a garage or parking space – and for the person who rents to have a vehicle sometimes right next door to his home, and at a rate that is often interesting.

Finally, be careful not to confuse this service with car-sharing, which is based on the provision by a company of a fleet of vehicles on a limited territory and for very short-term rental (a few dozen minutes to a few hours). The best known example is the Autolib’ service deployed in Île-de-France.

Rental between private individuals is therefore an additional area of development that allows them to control the use and, potentially, the data from their products. Tesla has already integrated this parameter for its future autonomous vehicles, which individuals will be able to rent to each other… by operating exclusively via the Tesla Network!

Business… and Technological Innovation

Since always, car rental implies a constraint: the presence of a person to make the inventory of fixtures and to give you the keys (and to recover them at the end of the rental). What does not pose a problem for a professional renter becomes a constraint for a private individual who wishes to rent his car while he is at the office or on holiday. While the physical handover of keys is still frequent, companies in the sector are developing an innovative alternative: at Getaround, for example, a connected box installed in the vehicle allows the car to be opened with a simple badge and/or smartphone – with the keys remaining in the vehicle.

Easily earned money?

Leasing between private individuals makes it possible to recoup the substantial investment involved in buying a new or recent car, and to offset the cost of use. The company that acts as an intermediary between you and the renter usually keeps at least 30% of the amount paid, but by renting your car regularly, you can theoretically earn several hundred euros per month – provided you have an attractive vehicle and are in an area where demand is high. The amount varies according to the model and, of course, the length of the rental and the mileage.

Insurers play the game

Good news: car rental between individuals is not an activity without rules and guarantees. Companies in the sector have partnered with insurance companies, which take over from your car insurer while your car is being rented.

What if I want to rent a car?

You might also want to rent a car, and have a car for a few hours or a few days. The main advantage of renting between private individuals: with a little luck, you will find a car available next door, you will be able to choose a precise model (and not only a category), and if the car is not recent, the rental rate will be more interesting than with a professional. But beware of the drawbacks: the lessor may refuse – sometimes at the last minute – to rent you his car, and if it breaks down or has an accident in the meantime, he will have no alternative to offer you. As we have mentioned, the rates are sometimes lower (and the guarantees better) at professional car rental companies: so before signing up, don’t hesitate to compare!

Car rental between private individuals: conditions
How does insurance work when you rent a car?