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Wednesday, 16 September 2015

Five Reasons To Buy Used Cars Now

Five Reasons To Buy Used Cars Now

For obvious reasons, pre-owned autos have always been less expensive than brand new ones. As such, they were far more popular with cash-strapped consumers during the Great Recession. However, as demand rose faster than supply during those years, the price of used cars reached an all-time high. Between 2007 and 2013, the cost of the average, secondhand ride surged by 18 percent. That trend continued in 2014, with an increase of 5.1 percent. But now, after seven consecutive years of growth, many experts believe prices will soon fall back down. Here's why.

Improving Economy

When people have money in their pockets, they are far more likely to purchase big-ticket items like cars and homes. With unemployment falling and wages rising (albeit marginally), consumers should invest in new autos at a disproportionate rate. The subsequent decline in demand for used vehicles should lead to lower prices.

Rising Inventory

One of the ways Americans saved during the economic downturn was to lease vehicles rather than buy them. According to industry insiders, a whopping 3.2 million new autos were leased from 2009. Many of these now-secondhand cars and trucks are coming back to dealerships. As a result, sellers should have huge inventories of late model vehicles. Now, even if demand were rising, the increased supply would most likely stabilize prices. However, with the expectation of a fall in demand, perhaps precipitously, costs could come crashing back to earth.

Better Quality

When you lease a vehicle, you must return it to the dealership in excellent condition. That is why most leased cars are in better shaped than those that are owned. With millions of these gently used automobiles returning to sellers in the coming years, the overall quality of the pre-owned fleet will improve.

Younger Fleet

There was a time, not so long ago, when most used car lots offered the dregs of the automotive industry. We're talking about clunkers so past their prime they probably belonged in junkyard. Times have changed! Because of leasing and better longevity, most sellers offer an appealing mix of nearly new and gently used cars. We should also mention that many dealerships now offer certified, pre-owned automobiles. These vehicles are thoroughly tested and inspected before they're put up for sale. They even come complete with extended warranties from their manufacturers.

Accurate Pricing

Before the advent of the Internet, it was almost impossible to price pre-owned autos; even the dealers weren't sure what they should charge. Today, there are dozens of websites that collect sales information from countless sellers across the country. This data is then used to calculate the average sales price for every make and model vehicle on the road. The prospective buyer just has to search for secondhand autos by zip code to find out what they're going for in his backyard. As you might expect, having access to this vital information makes it easier than ever to negotiate over price.

For all of these reasons and more, now is a great time to buy used cars in America.
To learn more about their options for used cars, Mobile, AL residents should visit http://www.deanmccraryaudi.com/used-inventory/index.htm.

Article Source: http://EzineArticles.com/9157015

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