Used cars expected to come down in price
Posted on Tuesday, June 5, 2012 at 6:38:19 PM
After months on the rise, used cars are finally beginning to decrease in price. According to the National Automobile Dealers Association (NADA), used car prices are expected to decline in June. For example, the popular, fuel-efficient Toyota Prius is expected to lose $900 in value.
Initially, used cars were priced extremely high due to demand and low inventories. Owners were holding onto their vehicles for an extended period of time, and fuel efficiency was at the top of many consumers’ wish lists due to rising gas prices.
With the improving economy, more people are willing to trade in their used vehicles and buy new, thereby increasing inventory levels. In addition, gas prices have declined to a more affordable rate compared to prices from previous months.
If you’re on the market for a used car, waiting until vehicle prices decrease in value may make auto financing more affordable. Used cars featuring good gas mileage may be more affordable now, when gas prices are relatively low.