The Industry's Leading Source For F&I, Sales And Technology

Special Finance®

Comerica Bank: Auto Affordability Improves in Q3

November 16, 2010

DALLASThe purchase and financing of an average priced new vehicle took 23.8 weeks of median family income in the third quarter 2010, according to Comerica Bank’s Auto Affordability Index.

The average total cost of buying and financing a new car decreased by $300 to $27,600, a 1.4 percent decrease from the second quarter. Median family income is estimated to have increased 0.2 percent in the third quarter. The second quarter reading was revised up 0.5 weeks to 24.1 weeks of median family income.

“With the recovery slowing and confidence shaky, consumers bought somewhat less expensive cars on average in the third quarter, thereby contributing to the improvement in affordability,” said Dana Johnson, chief economist at Comerica Bank. “However, the cost of financing new cars rose somewhat, as buyers extended the length of their car loans by a month and increased the average size of their loans by $200.”

Comerica Bank’s report incorporates the latest data on consumer spending on light vehicles and on the terms available on auto loans.

Your Comment

Please note that comments may be moderated. 
Leave this field empty:
Your Name:  
Your Email:  

CLOSE [X]

READ NEXT

AutoUpLinkUSA Offers Automated Ad Manager for Classified Listings

AutoUpLinkUSA, a provider of online inventory listing and marketing solutions, has launched the Automated Ad Manager, a fully automated ad management solution that distributes used-vehicle advertising on free classified platforms like Craigslist.