J.D. Power: new-vehicle transaction prices hit all-time high despite rising interest rates; sales volume constrained as inventory stays flat
New-vehicle retail sales for June 2022 are expected to decline when compared with June 2021, according to a joint forecast from J.D. Power and LMC Automotive. Retail sales of new vehicles this month are expected to reach 965,300 units, a 18.2% decrease compared with June 2021 when adjusted for...
...The average transaction price for the first six months of 2022 is expected to reach a record of $44,907—a 17.5% increase from 2021.
For June, new-vehicle prices continue to set records, with the average transaction price expected to reach $45,844—a 14.5% increase from a year ago and the highest level on record.
Total retailer profit per unit—inclusive of grosses and finance and insurance income—is on pace to reach a monthly record of $5,123, an increase of $1,174 from a year ago. Eight of the past nine months have seen retailer profit per unit at or above $5,000.
Despite record level trade-in values, the average monthly finance payment in June is on pace to hit a record high of $698, up $79 from June 2021.