Amid increased vehicle values, a rise in vehicle repossessions and continued tariff-induced uncertainty, Auto and powersports players are implementing new leadership, positioning themselves for growth and weighing incentives to weather macroeconomic challenges.
Prices for every major vehicle segment except compact cars saw a year-over-year increase in May, according to Cox Automotive data published June 6. EV values and used-vehicle values may be normalizing after a pre-tariff purchase surge, according to Jeremy Robb, senior director of economic and industry insights at Cox Auto.
The rate of 30-day plus auto delinquencies fell 18 basis points YoY in the first quarter, according to an Experian report released June 5. Auto inventory also fell in the regions covered by the Federal Reserve banks of Philadelphia and Cleveland, prompting higher prices, according to the Fed’s June 4 edition of the Beige Book.
National repossession assignments reached 2.1 million year to date through April, though lenders are delaying filing repossession papers.
In the nonprime space, lenders are looking at using AI technologies and speeding funding time while preparing to slow their activity in the wake of tariffs, according to panelists at the Non-Prime Auto Financing Conference on June 4 and 5, respectively.
Amid supply chain concerns and tariff-induced market uncertainty, captives are meeting with their OEM partners and deciding whether to keep incentives they began in response to the tariffs.
Meanwhile, powersports lender Ironhorse Funding, which funds more than $20 million per month in originations, is seeking over $120 million in forward-flow commitments.
In the marine world, dealers have reported a rise in repower, or boat engine replacement sales.
In this episode of “Weekly Wrap,” Auto Finance News Editor Amanda Harris, Senior Associate Editor Truth Headlam and Associate Editor Aidan Bush discuss trends in affordability and powersports for the week ended June 6.
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