As working from home begins to become the new normal, many of us have not driven our cars for weeks, even months, and some have even sold theirs. It’s safe to say the car market, both new and used, has taken a big hit. With social distancing measures in place, it’s difficult for showrooms to reopen so people can come and take a test drive.
With some restrictions now being lifted and non-essential shops now allowed to operate again, the used car market has begun to see an uptake once again. So, what do you need to look out when you’re in the market for a used car? Has the pandemic meant you need to be more wary?
What are the prices like?
There are some encouraging signs that the market is returning to pre-lockdown levels. In England, used car sales were up by 3.4% in the first 10 days of June compared to last year, according to data from INDICATA. But the data also shows that dealers are being a lot more cautious about replacing sold stock, with sales exceeding supply by a whopping 71%! Does this mean that prices are rising too?
With car showrooms closed for around 2 and a half months, you would assume that dealers would look to reduce their prices to try and shift as much stock as possible, especially with this new demand. Although there has been a boom in demand, research suggests that this could be short-lived, and this increased demand could dip after summer. So, if you’re in the market for a used set of wheels, it may be worth holding out for a little longer to get the best possible price.
Don’t simply buy online
It’s so easy to look at the images of a car online or be sent a video from the sales person. While it makes the car buying process much quicker, there’s nothing better than physically seeing and driving your potential purchase around for yourself. There will be certain restrictions in place by garages and showrooms such as social distancing measures and the potential to wear a mask, but it’s an important part of the car buying process, no matter whether you’re buying new or used.
With prices seemingly at an all time low, all to try an encourage us to get behind the wheel again and drive, remember to go and physically see the make and model you’re looking for and don’t forget to stay safe!