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New Car Sales Affecting Used Car Prices
Posted November 20, 2013
There hasn't been, in quite some time, a better opportunity to pick up a
used car at
really fantastic prices. For the first time in years, new car sales are on a
steep rise, filling used car dealerships with an increased stock of vehicle
What does this mean for the used car shopper? Better prices! The old theory
of supply and demand, and it's affect on pricing. The average price of a
used car sold at a franchised dealership is as low as it has been since
Some more good news......for those with no credit history, or a bad credit
history, automotive lenders are again offering loan programs to those most
in need. For quite a few years now, since the fall of many lenders in 2008,
financial institutions have tightened their belts, and stopped the flow of
loans to many without a perfect credit score. Thankfully.....those same
lenders now consider all who apply.
So....if you have been thinking about purchasing a used car, this may be the
Strong Car Sales In The Horizon
Posted May 26, 2013
Forecasters say that May U.S. auto sales are expected to rebound from an
April slowdown, easing concerns of another spring swoon, and automotive
lenders are providing car loan programs to those with bad credit histories,
that just a short time ago would have been declined.
The light vehicle seasonally adjusted annual selling rate for this month
will be 15.2 million, both LMC Automotive/J.D. Power and Associates and
TrueCar.com predicted today. The April sales rate, or SAAR, was 14.9
million, ending five straight
months above the 15 million mark.
That April dip was worrisome because the previous three years had strong
first quarters followed by weak springs, said Jeff Schuster, LMC forecasting
"This is the time of year when the automotive industry holds its collective
breath [but] the current pace suggests full steam ahead for the second half
of 2013," Schuster said in a statement today. "Economic and market headwinds
have been minimized while demand continues to build momentum."
Both companies expect overall May volume to exceed 1.4 million units, which
would be up 9% from a year earlier. April's sales rate fell despite a 9%
increase in unit sales.
In addition, LMC/Power forecasts a retail sales rate of 12.5 million,
compared with 11.5 million a last year.
Wells Fargo analyst Richard Kwas forecast a May SAAR of 15.1 to 15.2 million
but noted upside potential "given the spiffs set for Memorial Day weekend."
Kelley Blue Book, meanwhile, said a holiday boost would lift monthly sales
by 6 percent, for a SAAR of 15 million.
Analysts also found other encouraging sales trends.
TrueCar's Jesse Toprak said industrywide incentives are falling.
"Stability in the industry is now the norm, which is a positive for
automakers as it results in the ability to optimize production levels [and
improve] profitability," he said.
Strong sales of full-sized pickups will again drive the market as the
housing industry continues to rebound -- and that is helping keep industry
average transaction prices at record levels, said John Humphrey, Power
senior vice president. He also cited low-interest loans, longer car loans
and strong used-vehicle values. And, once again, car loan providers are
eager to assist those with a bad credit history, or no credit history at
"While industry new-vehicle transaction prices have risen by 19 percent the
past six years, the average monthly payment for new-car buyers and lessees
has increased only 3 percent," he said. "Consumers can purchase new vehicles
with improved fuel economy, safety and technology at an affordable monthly
Vehicle Review: 2012 Hyundai Elantra
a crummy choice, then a dark horse alternative, and now one of the sales
leaders, the Hyundai Elantra is quite the success story. After 2011's
complete redesign, the Elantra had shed its frumpy, anonymous styling and
gained fluid curves and a
coupe-like roof line. The 2012 Hyundai Elantra
looks good, and that counts for a lot in a segment not normally known for
Thankfully, there's substance to go along with the 2012 Elantra's new sheet
metal. Its 1.8-liter engine delivers commendable power for its class, as
well as thrifty fuel economy. The latter improves even further for 2012,
thanks to a new system known as Active Eco. When the driver selects this
mode, the Elantra's automatic transmission shift points and throttle
response are adjusted to increase fuel economy by up to 7 percent. The
downside, though, is more sluggish performance when the mode is
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