Home / Car News / Why Are Used Car Sales On The Rise In Britain?

 

One interesting fact about the motor industry in Britain these days is to do with used cars. We seem to spend more of our money buying them than brand new models!

Given the mouthwatering deals on new car leases, you’d think we would opt for them instead. After all, who wouldn’t want a brand new car at a low monthly cost?

It might surprise you to know that companies are the main buyers and leaseholders of new vehicles. Private individuals like you and I only make up a small percentage of all new car buyers. Looking through industry statistics, it’s clear that used car sales are on the rise. So, what drives us to buy older models?

Hyundai coupe 2002

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Financial worries

The recession is still prominent in our minds. That’s despite the fact that the economy is improving these days. The last thing we want is to have a car lease and not have the funds to pay for it. Most people prefer buying a used car from www.carbase.co.uk or similar dealerships.

What they don’t want to do is get tied into a lease for three or five years. Especially if there’s no real way of getting out of it when times get tough.

Better choice

Let’s say that consumers have two choices. The first is to get a range-topping model that’s around three to five years old. The other is a brand new basic trim. It seems that we are more likely attracted to the former option.

Today’s used and nearly-new cars are generally affordable to the masses. There’s no need to buy an old banger for £300 that’s probably older than you are! Sure, we might not end up with the newest car on the market. But, we can still enjoy driving models that have all the top features that we want and need.

Even if you could afford a brand new range-topper, there’s another hurdle to overcome. Car manufacturers often have long waiting lists for new models. Especially if they get manufactured in places such as Japan! The time to build, import and register a new car can often take months.

More of those motorists are turning to the used car market because of the availability. They can, in effect, drive home in a car in a matter of days, not months!

Ford Fiesta Zetec 5 door hatchback

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Cheaper insurance

We all know that car insurance premiums in the UK go up all the time. The industry might fool you into thinking that prices are lower than last year. But, in reality, we have to pay MORE for our insurance this year. And the costs go up if you drive a brand new model!

Don’t believe me? Do some comparison quotes on comparethemarket.com. You’ll soon see how you can save money on your insurance with a used car!

Depreciation

One thing that will bite you when you least expect it is depreciation. Brand new cars are terrible for it! Some people will tell you that your car will lose value before you even drive it out of the showroom. The sad fact is they are telling you the truth.

On some cars, around 40% of its value will get dropped in the first 12 months alone. That makes for pretty scary statistics, don’t you think? The good news is depreciation is much slower on used cars.

 

About the author: Ahmad Wali

 

Ahmad Wali is associated with automotive industry from past 4 years. Also the member of the Cars Edition Magazine and critique for latest car reviews. Apart from Automotive industry he is an Entrepreneur running blog network including UK eBest Cars. Say Hello on twitter

 

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