Stable auto sales forecasted for June
Posted on Thursday, June 26, 2014 at 9:10:57 AM
Buying a new car is something that is on the minds of many consumers across the country. In June, it appears that sales will remain strong, thanks in part to affordable auto financing rates, great deals on vehicles and an improved economy.
According to Cars.com, the forecast for total June sales is expected to hit more than 1.3 million units. While that figure is down 2.1 percent year-over-year, the seasonally adjusted annual rate for new cars alone is on the way up. For June, forecasters predict a SAAR of 16.37 million sales, or an increase of 3.1 percent compared to the same time last year.
"Despite the expected year-over-year dip, the pace of new-car sales remained healthy in June at approximately 16.4 million SAAR," said Jesse Toprak, chief analyst for Cars.com. "An attractive collection of new models as well as improved affordability due to very low interest rates and lease specials continued to bring customers into showrooms. We expect the rest of 2014 to continue to track above 16 million units."
In addition, the U.S. Department of Commerce reported that personal income increased as well, up 0.4 percent for May. American's disposable income ticked up the same amount during that time. Other economic elements also rose, such as private wages and salaries and rental income.
These positive changes could lead to growing consumer spending in the near future.