Caldwell: May Was Best Used SAAR of Year So Far

Last month, the seasonally adjusted annualized rate for used-vehicle sales was the strongest it has been all year, according to Edmunds.com senior analyst Jessica Caldwell, who pinpointed May’s used SAAR at 36.3 million.

Calling it a “strong month for used sales,” Caldwell told Auto Remarketing that an ideal financing environment for franchised dealers was among the factors pushing the used market in May.

“The average finance rate for franchised used cars was quite favorable — the lowest we've seen in some time so that ultimately played a role in helping drive sales,” she said.

And even for dealers, franchised or independent, and lenders that work with consumers in lower-credit spectrums, the financing environment seemed to be a positive factor.

CNW Research found that turns to buyers with credit scores below 550 increased by more than 9 percent year-over-year as the industry posted 734,165 retail used sales to consumers typically considered to be either subprime or deep subprime.

Last month’s performance was even more positive for buy-here, pay-here dealers as CNW determined these operations saw their sales jump 20.9 percent in May versus the same month last year.

Staff Writer Nick Zulovich contributed to this report.