Car buyers in Europe can now get their hands on a brand-new electric vehicle for less than the typical cost of a mobile-phone contract. Thanks to newly generous subsidies, some are even free.

Shoppers have swarmed virtual showrooms in Germany and France — the region’s two largest passenger car markets — after their national governments boosted electric-vehicle incentives to stimulate demand. Their purchase subsidies are now among the most favorable in the world.

The state support is allowing Autohaus Koenig, a dealership chain with more than 50 locations across Germany, to advertise a lease for the battery-powered Renault Zoe that is entirely covered by subsidies. In the 20 days since it put the offer online, roughly 3,000 people have inquired and about 300 have signed contracts.