Auto Dealers Forecast Modest Sales Growth In 2014

Early indicators suggest the pace of new vehicle sales in the Houston area will slow in 2014, following two years of rapid growth.

The Great Recession put a damper on sales of big ticket items — like cars, trucks, and SUVs. Drivers tried to keep their old vehicles running longer in order to save money. That led to a lot of pent-up demand, which burst through as Houston’s recovery took off.

Dealers have largely worked through that pent-up demand. Steve McDowell is president of Sugar Land-based InfoNation and publisher of TexAuto Facts.

“We anticipate a growth in sales for the full year of 3%-4%, which would mean about 360,000 new vehicles sold, and that’s down from the kind of numbers we’ve seen the last two years, which was 27% in 2012 and over 7% in 2013.”

New vehicle sales for the Houston region totaled nearly three hundred forty-eight thousand units in 2013. McDowell says, in 2014, most growth in local vehicle sales will depend on the growth of the Houston population.

Bio photo of Andrew Schneider

Andrew Schneider

Business Reporter

Andrew Schneider joined KUHF in January 2011, after more than a decade as a print reporter for The Kiplinger Letter...