Increase In Car Sales At Auction
As the new car market plummets to another all time low, there is better news in the second hand vehicle arena as auction houses are starting to see climbing figures.
The new car market is clearly not in a good way. Production is down at all the major car manufacturers and lay offs have been announced across the board. The luxurious vehicle market has also seen its far share of problems, with Bentley submitting job losses last month. Official figures show a 30.9% fall in new car registrations in January as compared to the previous year according to the Society of Motor Manufactures. This is apparently the biggest fall since 1974 and the trend looks set to continue. Experts in the field are stating that the market for new cars will not witness an improvement until 2012 at the very earliest.
The market for second hand card has not been hit so hard, in fact there have been suggestions that numbers are healthy. Two of the countries most well know auction houses, Manheim and BCA have come forward to state that they have seem some record numbers of cars being put up for bidding. BCA reports that vehicle prices have risen now for 3 months in a row, and yet more vans and cars were sold this January than in any previous year. They estimate an average of rise of £300 on last year.
Van leasing and car leasing is also on the up it seems as the major leasers are reporting improving numbers this year. This is likely being caused by people leasing their vehicles rather than committing to a buy during this ecomonic low point. Out of all the countries in the UK car leasing in Cardiff has seen the biggest boost.
Last september was the last time that wholesale van prices saw an increase, but Manheim, the auction giant stated that numbers where up by £140 this month suggesting this market is doing well. Cars with 4-wheel-drive have seen the best improvements in sales, with 6 consecutive months of increase.
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