Auction Houses Report Record Car Sales
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Further drops in the production and sales of new cars are being reported all over the news, but the same is not so true for second hand cars. Some of the biggest names in the industry report healthy figures.
There is no arguing with the fact that the new car market is suffering. Car retailers are having to make large portions of their workforce redundant due to a drop in demand and subsequent slow down of production. The luxury car market has also been hit, with Bentley announcing 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. 2012 has been the date suggested by many industry names that the new car market will see any increase in revenue.
On the flip side of the coin it seems to be that second hand car purchases are on the up, with 2 of the largest car auction names (BCA and Manheim) stating record numbers up since last year. BCA stated that more vans and cars were sold in Jan 2009 than any previous year and prices of vehicles have been on the rise for the last three months. 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 a likely result of people choosing to lease their vehicles during this economic downturn rather than commit to purchasing them outright. 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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