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Used Car Prices On The Rise

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If you are reading this article you are most likely in the market to buy a vehicle, and if you haven’t been in that market for a while, boy have things changed in the last six months.  Used car prices are at an all time high right now.  Inventory is hard to come by for dealerships and quality vehicles are hard to find.  After reading an article at nwtimes.com, used car prices are up for a 3rd consecutive year and on the rise.  This is partly to blame on production of new cars, sales of new cars, and consumers trading in the vehicles they currently have.  With new car sales being down, 1 and 2 year old cars are at a record low, with production of new cars being down or even in some case stopped, the value of used cars continues to rise, and with people being afraid of the economy and their current job situation, most consumers are keeping their current vehicles and doing simple repairs instead of trading them for new or used vehicles.  All of has driven up the price of used vehicles.  As dealers we try and buy cars at different auctions (Houston Auto Auction for example), as we buy the cars, we have to price them accordingly to make a profit on them when we sell them at our dealerships.  As fewer and fewer used vehicles are available, the prices continue to increase and thus are passed along to the consumer at the end of the day.  So be prepared to pay a little more then what you expected when you are out there shopping for that vehicle this year, the prices are high and unless something drastic happens, they are going to stay that way for a while.

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