Used car values take a hitPrices of large 4x4s and luxury cars still sliding
22 August 2008
Used car buyers are turning their backs on larger, thirsty cars in favour of smaller models.
The values of some large executive cars and 4x4s have slipped by as much as 8% in one month, over this summer, according to the publishers of Glass’s Guide.
Glass’s points to the fact that buyers are becoming increasingly concerned by the high price of fuel and the planned rises to VED road tax in the next two years.
‘The current economic climate has accelerated the trend of downsizing in all but the smallest used car segments,’ said Adrian Rushmore, Glass’s managing editor.
‘These customers are presenting dealers with lots of unwanted part-exchanges - cars that are fuel-inefficient, with high emissions. These include off-road 4x4s, large MPVs, executive and luxury saloon cars.
‘In some cases, trade demand has been totally absent, as dealers consider how low retail prices need to be set in order to attract customer interest.’
Chance for a bargain
Richard Headland, Which? Car editor, said: ‘It’s no surprise to see buyers staying away from inefficient used cars - although this is quite a rapid change, given how popular 4x4s had become on the new market in recent years.
‘If you’re looking to offload a big, thirsty car, try to sell it privately than to a dealer - although don’t expect a great price either way.
‘On the plus side, if you’re a low-mileage driver who has always hankered after something big and prestigious, and can afford the running costs - now is an excellent time to be haggling for a bargain.’