The last 12 months have been crazy for used car prices. For 84 consecutive months, prices have increased with the result being the value of some cars increasing by up to 30% in 2021 compared to 2020.
So should we be anticipating a crash in used car prices in 2022 as a result?
The short answer is no. This is because the semiconductor crisis is far from over, with supply chain issues still being felt across the world. As a result, lead times for new cars are extremely long, whilst some customers are being told that some options such as upgraded infotainment systems or reversing parking camera can’t be specified.
Last month, AlixPartners (a global consulting firm) said that it estimated the global automotive industry will lose more than $200 bn (£148 bn) in sales for 2021. Credit: Bloomberg News.
With 5 million cars on UK roads being leased, many people are choosing to extend their leases rather than having to wait too long for a new car, that doesn’t even come with all the kit they hoped for.
The issue with this is that those lease cars help fuel the used car market, which has a trickle-down effect on us all. That’s why we’re now in a situation where there just aren’t any bargains out there.
So whilst I might be sulking that a Sierra Cosworth is more out of reach than ever, with new car registration falling (as I covered back in October), it’s no surprise that used car prices are buoyant.
Of course, if you have a car to sell or trade in, then the upside is your car is worth far more too! In reality then, you may not really be paying more for your next car.
We spoke to our friends at Prestige Cars Kent who commented on the current state of the used car market,
“Last year we paid a customer £6,000 more for her Ford Mustang which we had sold her just 6 months previously, and that’s with her adding over 5,000 miles! At the other end of the spectrum, we are listing a Lamborghini Urus for nearly £40,000 more than what we probably would have in 2020. The fact that we have received enquiries before the full advert going lives shows that the demand is definitely outstripping supply.”
Prestige Cars’ buying team shared their tips on getting the most for your car when part exchanging.
“Whilst modified cars can be great, the reality is most dealers will see them as an issue and have to put them back to standard. It’s also very difficult to finance a modified car, which affects the majority of buyers. As a result, we suggest retuning cars back to standard to get the best offer. Unsurprisingly, we pay less for cars which are missing services, or their spare key. Meanwhile, you may find it work out cheaper if you sort out any minor dings yourself. Likewise, if you’re buying a car, you should consider all of these factors before paying the asking price.”
What do you think? Are cars overpriced, or have things settled down? Let us know your experiences in the comments section. Meanwhile, you’re ready to start the New Year with some car shopping, check out the Prestige Cars Kent website
FOLLOW ME ON:
Facebook – webloganycar.co.uk
YouTube – youtube.com/c/WeBlogAnyCar
Instagram – webloganycar
- VAUXHALL CELEBRATING 40 YEARS OF THE CORSA WITH THIS NEW CORSA-e ANNIVERSARY EDITION. Short new car news
Vauxhall has released details on its Corsa-e Anniversary Edition celebrating 40 years of its supermini. There will only be 1000 fully electric Corsa-e Anniversary Editions destined for the UK. It will be available in a new “Record Red” metallic paint – inspired by the original Nova with a two-tone black roof, black badging and 17-inch […]
- PORSCHE 911 TURBO REIMAGINED BY SINGER. Short new car news.
This is the Porsche 911 Turbo reimagined by Singer. The Californian based brand wrote this on their latest media post: Californian luxury brand Singer adds a sports focus to their Turbo Study restoration service. These images show the results, illustrating the breadth of capability enabled by the study and Singer’s collaboration with owners to deliver […]
- EURO CAR PARTS PRESSURE WASHER OFFERS.
I do use affiliate links. If you purchase an item, via a link on the blog, I will receive a small percentage from the sale. Please do not let this put you off from purchasing something through the blog. My aim is to inform and save you money. Karcher K3 Power Control Pressure Washer only […]
- HYUNDAI I20N QUICK VIDEO REVIEW.
Check out below my first impressions review on the new Hyundai i20N. Prices start from £25,250 on the road for this “hot hatch”. Power comes from a 1.6 litre turbo engine that produces 204 PS and 275 Nm of torque. It has a top speed of 143 mph and takes 6.2 seconds from 0 to […]
- CLASSIC BMWS ON DISPLAY AT COTSWOLD CHELTENHAM BMW DEALERSHIP. Car news
A few Sundays ago, I popped into my local BMW dealership to take a look at some of their classic BMWs on display. I have been meaning to pay a visit to Cotswold BMW for quite some time. A couple of months ago I was passing the dealership and caught a glimpse of a BMW […]
- Infratech Automotive Solutions. What To Know About Adding Ceramic Coating To Your Car.
*Advertisement feature*. If you’re seeking to spruce up your car and make it look as good as when you bought it, if not better, you might be considering investing in a modification to your vehicle. While a car’s hidden components are its most essential features for smooth performance, it is the bodywork that matters most […]
- MAY 2022 NEW CAR REGISTRATIONS FALL. New car news.
New figures out today from The Society of Motor Manufacturers and Traders (SMMT) show that May 2022 UK new car registrations fell by -20.6%.A total of 124,394 new cars were registered but this figure represents the second weakest May in three decades after lockdown 2020.Battery electric registrations rise by 17.7%. In yet another challenging month […]
- KIA PICANTO GT LINE S Short video review.
In this video, I quickly review the latest Kia Picanto GT – Line S. If you are looking for a small sporty practical car? The new Kia Picanto GT Line S is worth a look. £16,610 on the road 1.0 litre 3 cylinder petrol engine 99 bhp 9.9 seconds 0 to 60 mph 112 mph […]
- 50% OFF SELECTED ITEMS WITH EURO CAR PARTS PLATINUM DEALS. Car news.
I do use affiliate links. If you purchase an item, via a link on the blog, I will receive a small percentage from the sale. Please do not let this put you off from purchasing something through the blog. My aim is to inform and save you money. Get 50% off Castrol oils, Shell oils, […]