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 the
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 18, 1998