The Canadian Automobile Dealers Association (CADA) has reported new car sales are on pace for a new record in Canada in 2012. With total new vehicle sales up more than 8 per cent so far this year over 2011, the market is on pace to eclipse 1.7 million new units sold for the second time ever, and to post a record for new vehicle demand in Canada.

The biggest factor driving this record demand has been affordability: average new vehicle prices have never been lower and have been on a downward trend for the past two decades. This, combined with strong consumer confidence and a return of a full suite of finance products now available to consumers, is resulting in record-setting sales across the country.

If the domestic new car market has a second half of 2012 as strong as the first half, new sales records will be set this year.