EXHIBIT 23.1


             Consent of Independent Certified Public Accountants




The Board of Directors
Lithia Motors, Inc. and Affiliated Companies:


We consent to the use of our reports  incorporated herein by reference in Form
S-8 of Lithia  Motors,  Inc.  Our  report  refers to a change in the method of
accounting for inventories,  effective January 1, 1997, as discussed in note 1
to the consolidated financial statements.



                                    /s/  KPMG Peat Marwick LLP


Portland, Oregon
December 11, 1998