Transaction Prices Up, Incentives Down, TrueCar Reports
The average transaction price for light vehicles in March jumped $1,977 from a year ago, while the average incentive was down 1.8 percent.
SANTA MONICA, Calif. — TrueCar.com estimated today that the average transaction price for light vehicles in the United States was $30,748 in March, up $1,977, or 6.9 percent, from March 2011 and $143, 0.5 percent, from February 2012.
"The auto manufacturers have finally found their sweet spot, with the production of vehicles meeting the demand of consumers, keeping incentives to a minimum,” said Jesse Toprak, vice president of industry trends and insights for TrueCar.com. “This led to the highest transaction prices in the industry in March, along with record highs for Chrysler, GM, Hyundai/Kia, and Nissan.”
Transaction Pricing Forecast
Manufacturer | March 2012 Transact Price | February 2012 Transact Price | March 2011 Transact Price | YOY % Change | MOM % Change |
Chrysler (Chrysler, Dodge, Jeep, Ram, Fiat) | $29,842 | $29,458 | $28,052 | 6.4% | 1.3% |
Ford (Ford, Lincoln) | $31,758 | $31,644 | $30,524 | 4.0% | 0.4% |
GM (Buick, Cadillac, Chevrolet, GMC) | $33,289 | $33,086 | $32,200 | 3.4% | 0.6% |
Honda (Acura, Honda) | $26,249 | $26,141 | $24,876 | 5.5% | 0.4% |
Hyundai/Kia | $21,717 | $21,502 | $19,857 | 9.4% | 1.0% |
Nissan (Nissan, Infiniti) | $28,322 | $28,105 | $26,364 | 7.4% | 0.8% |
Toyota (Lexus, Scion, Toyota) | $27,396 | $27,012 | $26,214 | 4.5% | 1.4% |
Volkswagen (Audi, Volkswagen) | $33,124 | $33,159 | $31,378 | 5.6% | -0.1% |
Industry | $30,748 | $30,605 | $28,771 | 6.9% | 0.5% |
In addition, TrueCar.com estimated that the average incentive for light-vehicles was $2,440 in March 2012, down $43 (1.8 percent) from March 2011 and $36 (1.5 percent) from February 2012.
Average Incentives Forecast
Manufacturer | March 2012 Incentives | February 2012 Incentives | March 2011 Incentives | YOY % Change | MOM % Change |
Chrysler (Chrysler, Dodge, Jeep, Ram, Fiat) | $3,137 | $3,195 | $2,971 | 5.6% | -1.8% |
Ford (Ford, Lincoln) | $2,726 | $2,833 | $2,804 | -2.8% | -3.8% |
GM (Buick, Cadillac, Chevrolet, GMC) | $3,144 | $3,116 | $3,314 | -5.1% | 0.9% |
Honda (Acura, Honda) | $2,122 | $2,126 | $2,309 | -8.1% | -0.2% |
Hyundai/Kia | $882 | $841 | $1,270 | -30.6% | 4.8% |
Nissan (Nissan, Infiniti) | $3,115 | $3,233 | $2,433 | 28.0% | -3.7% |
Toyota (Lexus, Scion, Toyota) | $1,704 | $1,619 | $1,969 | -13.5% | 5.2% |
Volkswagen (Audi, Volkswagen) | $2,021 | $2,077 | $1,934 | 4.5% | -2.7% |
Industry | $2,440 | $2,476 | $2,483 | -1.8% | -1.5% |
TrueCar.com estimated that the ratio of incentives to average transaction price for light-vehicles was 7.9 percent in March 2012, down from 8.6 percent in March 2011 and down from 8.1 percent in February 2012.
Ratio of Incentives to Average Transaction Price
Manufacturer | March 2012 Incentives/ Avg. Transact Price | Feb 2012 Incentives/ Avg. Transact Price | March 2011 Incentives/ Avg. Transact Price | YOY Percent Change | MOM Percent Change |
Chrysler | 10.5% | 10.8% | 10.6% | -0.1% | -0.3% |
Ford | 8.6% | 9.0% | 9.2% | -0.6% | -0.4% |
GM | 9.4% | 9.4% | 10.3% | -0.8% | 0.0% |
Honda | 8.1% | 8.1% | 9.3% | -1.2% | 0.0% |
Hyundai/Kia | 4.1% | 3.9% | 6.4% | -2.3% | 0.1% |
Nissan | 11.0% | 11.5% | 9.2% | 1.8% | -0.5% |
Toyota | 6.2% | 6.0% | 7.5% | -1.3% | 0.2% |
Volkswagen | 6.1% | 6.3% | 6.2% | -0.1% | -0.2% |
Industry | 7.9% | 8.1% | 8.6% | -0.7% | -0.2% |
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 →