According to a recent survey, there have been record sales of new cars in the month of June. The reason behind it is that most of the private buyers have come back to the market.

The Federal Chamber of Automotive Industries (FCAI) revealed that 108,722 new cars were sold in the month of June, which is 5.7% more as compared to the previous year.

FCAI also disclosed that the sales of cars were at an all time high in the month of June.

Andrew McKellar, Chief Executive of FCAI, said that it is motivating to witness the return of private investors in the market.

Mr. McKellar also revealed that over the previous six months, the market is exhibiting a better than expected trend. Earlier, the industry had estimated the sales to be 940,000 units in the past six months, but according to the recent forecast, this number has increased to 980,000 units.

He further added that this is an encouraging, but watchful trend for the second half of the year. Mr. McKellar also highlighted the fact that the affect of different factors, like prior interest rate increases, needs to be evaluated.

In the first six months of 2010, the sale of sport utility vehicle increased by 30.9%.