After recording a positive sales month in September, car purchases in October are projected to finish strong as well, J.D. Power and Associates reports.
According to the global marketing firm, new-vehicle retail sales in October are expected to total 828,300 units, or what amounts to 10.5 million vehicles sold on a seasonally adjusted annualized basis.
John Humphrey, senior vice president of global automotive operations at J.D. Power, said the sales projection is good news for automotive dealers, many of which were uncertain about how the month would fare.
"After a solid September selling rate, there were questions as to whether the strength would continue into October, given continued concerns with the economy," said Humphrey. "However, consumers are again returning to dealerships, keeping the sales pace more consistent with the strength seen at the beginning of the year."
He added that retail transactions are viewed as the most accurate measurement of identifying consumers' demand for new vehicles.
Low-interest financing offers may be encouraging consumers who are in the market to buy. Consistently making payments on time can help ensure that individuals keep their prime interest rates and may also help improve their credit scores.