TrueCar, Inc. estimates that the average price of new light vehicles rose in February. The average transaction price reached $30,958, which marks a 1.2 percent increase from February of last year and a 0.5 percent growth from January.
This upward trend is positive news for the auto industry, especially since prices in January were down from the month before. Prospective buyers don't have to be hesitant about rising costs, however, as the average incentives for light vehicles increased by 12.2 percent from January to February.
"The auto industry continues to rebound and there's still a strong pent-up demand from consumers and businesses that have been holding off on buying a new car for years," said Jesse Toprak, a senior analyst for TrueCar. "Even with the rise in gas prices, demand for new cars this month is expected to record the highest SAAR since December 2007, and transaction prices nearing record levels."
Chrysler had the largest change, with brands like Dodge, Jeep, Ram and Fiat having success. Positive reviews of new cars designs, coupled with a recent history of low-cost vehicle maintenance, has helped Chrysler and other manufacturers boost sales.