Why This Year Will Be A Good One For Car Sales |
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Scooter Davis
February 5, 2013
Car sales were better than expected last year and if end of the year trends are an indicator, this year will be even better. This high, embedded in an economic low, can be attributed to a good public attitude toward recovering home sales, better bank loans, and new car models that are actually capturing the attention of those who want them! All this adds up to help the US economy at a time when we need it. Analysts predict that auto sales plus real estate will lead the resurgence of the economy.
As long as these elements can be held in place and remain the invisible glue that makes it all work, we are in for a smoother ride compared to the past few years. Even banks are expected to be lending more at lower rates, providing new car buyers with the incentive to take the plunge. Leases have also been big in the past few years and many of these cars will be coming back in for a new deal this year, further brightening the picture.
Hurricane recovery in the northeast, coupled with new home construction will bring about the return of trucks on the market. Green cars will also get more attention as compacts and hybrids compete for less varoom and more eco friendly space in the lifestyle segment. Since all electric is not getting the love once predicted, part gas, part electric is getting the attention and will continue to play a bigger role moving forward. As hybrid features trickle down into less expensive cars, the demographic buying them will increase. This year, no major automaker is suffering as before so competition will be strong. The marketplace will no longer be a fight among the top three as smaller players step into battle vying for a more serious piece of the pie. The competition will take the form of extras that get attention. Gas mileage leads the way with style, personal fit, safety, new innovations, such as lane departure and blind spot warnings, will get attention.
This years new car advances in sales will be a boon to next years used car market. This will likely result in a lower price all around for used cars to come. While momentum will suffer this year the actual sales will increase making it a good year for automakers, dealers, and consumers. It is a great year for getting the new car you want. If you have a new driver in the family, consideration should be given to what they will drive in the next few years.