May was a very good month for car dealers who are seeing sales in the range of 17 million cars sold so far this year. Auto makers are also hoping for a rejuvenated boost in sales for various SUV models that have staggered in recent years as a result of high fuel prices and the removal of the SUV tax break several years ago. Auto Makers See Boost in Car Sales in 2015
Crystal Hunt, trend analyst, reports that the steady improving economy and low car loan interest rates have help boost the sales. More specifically, low job unemployment numbers means more people going to work and needing a means to get to work. Additionally the federal reserve has kept the key interest rate on loans at close to zero which means that auto loans are still very cheap for good customers. Current oil prices below $3.00 a gallon nationwide has also lead to increased consumer confidence that the U.S. economy is getting better and that purchasing a car is not as risky a decision as it was merely a year ago. The number of sales have not been this robust since 2005 and auto dealers are glad to finally see relief in the buyer’s market.
Car sales tend to follow increase in new how sales, which have also been robust over the past several months. New homes mean new garages and many families expand their car ownership at least once within the first couple of years of buying a new home.