Are used car prices dropping?
The short answer to that question is no. The short answer is no.
Used car prices reached all-time highs around the world. The high demand for used cars was one of the major reasons for high prices.
Will car prices drop in 2023?
Mr Greenwood stated that “if you are sad about the fact that used cars cost more in Australia than you think a brand new car is worth, then you might find relief.”
“Moody’s Analytics predicts that demand will decrease in 2023 due to rising borrowing costs and higher prices of non-discretionary goods like food and energy, which puts pressure on household budgets.”
According to him, the prices of used vehicles will drop by 11% over the next year. However, a smaller decrease could be possible if interest rates “bite into more than anticipated”.
Do You Wait to Buy a Car or Buy It Now?
It’s been a smooth process to buy a car. It can seem impossible to find the car you desire. Even if you find it, will you be able to afford it? If you are able to afford it, can it be delivered in a reasonable time frame? Supply chain problems, shortages and changes in economics all play a role, but many drivers are now questioning whether it’s worthwhile to purchase a car now.
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