KBB: Avg. Transaction Price in June Rises 3%
With cars expected to make up only 31% of July sales, the industry's average transaction price climbed by $985 from a year ago to $35,359.

IRVINE, Calif. — Thanks to market demand quickly backing away from cars, average transaction prices in July rose 2.9% from a year ago, or $985, to $35,359, Kelley Blue Book reported this week.
Cars are expected to make up only 31% of July sales, down from 36% in the year-ago period. This decline is pushing transaction prices up as consumers opt for pricier SUVs and trucks, the firm said.
“Prices also are likely to strengthen as the average days in inventory has begun to recede for the first time this decade,” said Kelley Blue analyst Tim Fleming, “which is a sign automakers are managing production well in the post-peak demand era.”

Volkswagen Group’s average transaction price grew 4.1% in July, primarily on the strength of the Volkswagen brand. Volkswagen prices increased 5% due to the company’s Atlas and Tiguan SUVs, which have brought the brand’s sales mix of utility vehicles from 15% to nearly 40%. The redesigned Jetta also performed well, with its average transaction price rising 6%. Audi transaction prices were flat for the month, though the Q5 did show strong improvement with a 4% increase in its average transaction price.
Another great performer was Ford Motor Co., whose average transaction prices grew 4% in July 2018. Lincoln’s average transaction prices increased 10%, thanks to the meteoric rise of the new Navigator (up 33%). Ford also reported a big month. Its average transaction price rose 4%, thanks to the 5% increase in the average transaction price of its refreshed F-150. The new Expedition also was strong, with its average transaction price rising 14% — pushing it near the top of the full-size SUV segment.
More Auto Finance

July Was Hot for Auto Borrowers
Credit proved readily available for many, but most loans left buyers in negative territory, Cox Automotive said.
Read More →
Dealer Lender Preferences Revealed
When lenders provide consistent, fast service, their overall satisfaction scores with dealers greatly improve, according to JD Power research.
Read More →
Auto Refi Savings Surge
Consumers with 84-month auto loan terms who refinanced saved the most on monthly payments, according to a new report by auto refinancing provider Caribou.
Read More →
Subaru Enters Lending Business
The automaker follows other brands in adding captive financing in the U.S., and says the move will strengthen its position here.
Read More →
Positive Equity Reaches Record High
Mainstream vehicle owners who bought a car seven years ago are likely to have positive equity when trading in for a new vehicle, according to second-quarter Edmunds data.
Read More →
Dealerships Are Paying the Price for Extended Car Loans
Growing negative-equity scenarios mean such lengthy terms should be addressed in a forward-looking way to make them work for the dealer and the consumer down the road.
Read More →
Trade-Ins in Negative Equity Reach New Heights
As such trade-ins rise in frequency, so do monthly loan payment amounts and interest rates, according to second-quarter data compiled by Edmunds.
Read More →
Auto Credit Plentiful
June numbers show lenders are readily granting access, including to risky borrowers, as consumers leverage themselves to take on high prices.
Read More →
Automotive Consumers Sink Further in Debt
Most financing metrics hit records in the second quarter as more buyers locked themselves into long terms and high monthly payments.
Read More →
Porsche Financial Services Shifts Structure
After 36 years with Porsche, the Financial Services Chief Financial Officer Konrad Riedl is retiring, and the department is realigning its management structure.
Read More →