Page 21 - On The Move - Volume 17, Issue 4

August total new vehicle sales were down 19% year-over-year, Coronavirus uncertainty amid mixed conditions. The new
with two fewer selling days compared to August 2019. The home sales SAAR increased 13.9% in July, which again far
August SAAR came in at 15.2 million, a decrease from last outperformed consensus expectations even with June’s sales
year’s 17.1 million but up from July’s 14.6 million rate. revised up. The pace of new home sales is now 901,000,
which is up 36.3% from a year ago and is the highest level
Combined rental, commercial, and government purchases of of new home sales since 2006. New home sales are less
new vehicles were down 51% year-over-year in August. New encumbered by inventory problems and better reflect the boost
vehicle sales into the commercial channel declined 17% year- to housing demand caused by historically low mortgage rates.
over-year in August. Retail sales of new vehicles were down Demand for new homes may also be boosted by growing
15% year-over-year in August, leading to a retail SAAR of interest in suburban, rural, and second homes. Consumer Con-
14.0 million, down from 14.9 million last August but up from fidence according to the Conference Board declined 7.5% in
July’s 13.4 million rate. Fleet sales are down 44% in 2020 August and left confidence down 37% year-over-year. Plans to
through August, and retail sales are down 17%, as the overall purchase a vehicle in the next six months declined in August to
new vehicle market is down 21% so far this year. a 10-year low. Plans to purchase a home also fell but just to a
four-month low. The data for consumer confidence was collect-
New vehicle inventories came in around 2.5 million units. ed through Aug. 14. The final reading on Consumer Sentiment
in August from the University of Michigan increased to 74.1
Rental risk pricing improves. The average price for rental risk from the preliminary estimate of 72.8 midmonth. Sentiment
units sold at auction in August was up 8.4% year-over-year. recovered some of its July losses in August as daily new cases
Rental risk prices were up 2% compared to July. Average of COVID-19 trended down.
mileage for rental risk units in August (at 39,500 miles) was
down 17% compared to a year ago and down 15% month-
over-month.

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