Auto sales increase in California

Despite a high unemployment rate in California, some auto dealers are beginning to see car sales increase.

According to, the U.S. Commerce Department said that auto sales increased 5 percent nationwide in the month of October. In Northern California, car sales in the first nine months of the year are up 10.2 percent over the same period in 2009, according to Brian Maas, the government affairs director for the California New Car Dealers Association.

The increased auto sales may seem surprising, given a national unemployment rate of 9.6 percent and unemployment rates in the double-digits in some parts of California. Maas’ explanation for the phenomenon of increased car sales is that unemployment, despite remaining high, has recently stabilized, and gas prices have remained relatively constant.

Many consumers who are part of the increased demand are also buying vehicles wisely, resisting impulse purchases and acquiring reliable used vehicles.

Drivers with bad credit history may hesitate to buy a vehicle, but there exist options that make a car purchase affordable for the many Americans who have become thrifty following the recession. A bad credit auto loan provides drivers with the option of buying an affordable, reliable used car.

Related Post