Why Car Sales are Down

It seems like it is a combination of circumstances as detailed in this article from my email this morning from RBR.com:

Half of Americans have delayed purchasing a new car

Nearly half of Americans (48%) reported that they will wait longer before their next vehicle purchase, according to the results of Consumer Reports' 2009 Auto Brand Perception Survey.

The weak economy is forcing consumers to assess the value of their current vehicle. The number one reason people delayed purchase is that their vehicle is in good shape (39%). The other top reasons are: vehicles have become too expensive (30%), general concern for the weak economy (30%), consumers are waiting for fuel-saving technologies like hybrids to become more affordable (18%), and interest rates for vehicle financing are too high (18%). Delaying a car purchase is more apparent in lower-income households, where difficulty in obtaining financing is an issue for nearly a quarter of those respondents (24%).

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