According to the latest report from British Car Auctions (BCA), average used-car values improved for the second month running in December, but remain well behind where they were a year ago when the financial crisis was beginning to unfold in Britain.
“Used-car values appear to have stabilised in the second half of 2008, following large falls in value earlier in the year,” says the BCA report.
BCA communications director Tony Gannon says used cars currently represent exceptional value for money.
“The fact that values have stabilised in recent months is encouraging, particularly in view of the large falls we experienced earlier in 2008,” he said.
“When consumer confidence improves, we may well see prices rise again, but there is little to suggest such a scenario occurring in the short term.”
Meanwhile, trade price guide publisher EurotaxGlass’s says older used cars currently offer great value for money.
Car dealers have reported that there is a captive market for vehicles over six years old, according to EurotaxGlass’s, which publishes Glass’s Guide to Older Car Values.
These older, more affordable vehicles are of greater interest to many motorists who have a strong desire to remain mobile despite household budgets coming under more pressure than ever.
Dealers have been able to acquire these particular cars at competitive prices and are choosing to pass on savings to buyers.
There’s also good news for anyone in need of a change of car right now. Matthew Tumbridge, editor of Used Car Expert magazine and its’ sister website UsedCarExpert.com, says things are looking good for drivers wanting to change their car.
“Flicking through the magazine and comparing it to last year’s January edition reveals some exciting facts,” says Tumbridge.
“Everything is much cheaper but lots of popular cars haven’t been reduced, so you can still waste your money quite easily.”
“The savvy buyer, who does a bit of research, can pick up any number of sporty, chunky, or glamorous cars for a lot less than they would have cost 12 months ago.”