- Dealers had more new cars on their lots in October, the second straight month of increases.
- Inventory is not consistent across segments and geographic areas.
- Prices remain elevated, but more inventory could help stem the tide in the coming months.
New-vehicle pricing reached record highs in October, but dealer inventory is also rising, which could relieve some of the pressure. Kelley Blue Book’s parent company, Cox Automotive, analyzed vAuto Live Market View data, finding a 4.2% increase from September in inventory, to 2.92 million units.
Inventory increased for the second straight month in October, but the gains were spread across different vehicle segments. Toyota, Lexus, Honda, and Subaru were all below the national inventory average, while domestic brands like Ram, Ford, and GMC had days’ supply higher than the 94-day industry average.
Part of the change related to the model-year changeover. New 2027 models accounted for 32% of dealer inventory in October, an increase of almost 10% from September. More popular models like the Kia Telluride transitioned to the new model year faster than lower-volume vehicles.
This might all sound like car dealer-speak, but it could have an impact on your next shopping trip. Stronger supply can put downward pressure on prices, making it more likely to find a good deal on a new car. Additionally, lower- and mid-priced vehicles remain available, though their supply didn’t increase as much as pricier models.
Shopping around remains one of the best ways to save money on a new car purchase. Dealer inventory is inconsistent across different areas, so a higher-priced vehicle may be available at a lower price elsewhere. It’s sometimes possible for dealers to compete for your business, too, so you can negotiate using a lower price from another store.
