Why Now Is the Time to Buy a Used Car

If you’re looking for a great car deal, buying a used one is the best way to go. A neat used car that is only a few years old has already taken a hit to wear and tear, but it should still be in decent condition. And with the flow of off-lease vehicles, now is a great time to get an even better deal on used (and new) vehicles.

Carmakers have offered attractive luxury car rental options in the past few years, but consumers seem to be more interested in SUVs, likely due to low gasoline prices . It’s not as expensive as it used to be to refuel the gas absorber.

This trend has led to an oversupply of used cars outside of rental, which means falling prices. In other words, there is more supply than demand here, which is good news if you’re looking to buy a neat used car. As the Associated Press reports :

Auto sales now account for about 38 percent of the market. As a result, according to the NADA Guides Index, used car prices fell 7 percent in March from a year ago. The organization expects them to fall 6 percent in a full year.

In fact, this can be good news if you are looking to buy a new car too. Used cars of later models are sold at discounted prices, yes, but experts expect the downward trend in prices will also lead to lower prices for new cars, AP said. Eric Lyman, lead analyst at Automotive Lease Guide, predicts that car prices are likely to fall over the next few years as leasing customers return their vehicles to dealers.

However, to try to control supply, car companies are starting to cut back on leasing deals, so experts say if you want to rent out, you might want to take advantage of that now, before the cut becomes more widespread.

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