Filed under: Car Buying
We all remember our first car. There’s nothing quite like the memory of seeing your parents hand you the keys to a vehicle you can call your own, and the experience has historically happened somewhere between a child’s 16th and 18th year. Right?
Perhaps not. It seems that the time-honored act of buying your first new-to-you car in your teenage years is waning in popularity. And the same is also true of vehicles purchased from well-meaning parents for their children. According to CNW Marketing Research, in calendar year 2005, there were 7.5 million vehicles purchased by or for teens. In 2010, that number is expected to dwindle all the way down to 4.2 million.
Tellingly, this statistic is falling right alongside the flickering teen job market. CNW reports that 27 percent of all American teens have not worked full- or part-time so far this year, which is up dramatically from 2005. Not surprisingly, only 16 percent of teenagers that do happen to have their own set of wheels pay the full monthly payment themselves (that’s down from 21 percent).
Transaction prices are also down, which has led to another intriguing bullet point: 57 percent of cars purchased by or for teens are from domestic automakers, due largely to the fact that American cars tend to be less expensive on the used market.
[CNW Marketing Research | Image: Getty]
Report: Teen car sales drop as jobs remain scarce originally appeared on Autoblog on Fri, 23 Jul 2010 10:59:00 EST. Please see our terms for use of feeds.
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