Vehicle sales rising

The automotive industry is having a strong month as vehicle sales are projected to rise significantly by the time the May is over.

According to a recent report from Cars.com, total light vehicle sales are expected to hit 1.54 million units, marking a 6.9 percent increase from a year before and an 11 percent jump from April. These sales would translate to a seasonally adjusted annual rate of 16.1 million units, up 4.1 percent on a year-over-year comparison and 0.4 percent from the month prior. Cars.com noted that this sales rate would mark the highest since May 2007.

"Retail sales were very healthy for nearly all brands in May, fueled by attractive incentives and a great selection of new models for consumers," said Jesse Toprak, chief analyst for Cars.com. "Among major manufacturers, Chrysler had the most impressive performance with a nearly 15 percent year-over-year increase in sales, largely due to the robust growth of its Jeep brand. We expect the SAAR for the rest of the year to track between 16 and 16.5 million units, finishing 2014 with approximately 16.1 million total new light vehicle sales."

KBB agrees
​A separate report from Kelley Blue Book confirms what the Cars.com report revealed - that vehicle sales are expected to be strong this month.

According to that data, new-vehicle sales are also projected to hit 1.54 million units, up 6.7 percent from a year ago and translating to a seasonally adjusted annual rate of 16.05 million.

May represents one of the strongest sales months of the year, as consumers take advantage of warm weather and the extended Memorial Day Sales weekend," said Alec Gutierrez, senior analyst for Kelley Blue Book. "Among major manufacturers, Chrysler had the most impressive performance with a nearly 15 percent year-over-year increase in sales, largely due to the robust growth of its Jeep brand. We expect the SAAR for the rest of the year to track between 16 and 16.5 million units, finishing 2014 with approximately 16.1 million total new light vehicle sales."

Gutierrez said consumers were able to offset higher transaction prices with low-interest financing and affordable leasing options.

Consumers who recently purchased a vehicle are encouraged to shop around for their car insurance. Comparison tools are available to help streamline the shopping process, not to mention likely find a consumer the lowest possible price.

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