Shape of used car market to change over next two years
The next two years could see significant demand for ex-fleet cars as used stocks dwindle due to lower sales in 2008 and 2009, leading to price increases.
According to Carsite.co.uk the number of fleet vehicles coming back onto the market in September 2012 is estimated to be almost 40,000 – or 20% – less than the number which re-entered the market in September 2009.
The number of used fleet models being fed back into the used car market is expected to be stable until around March 2011, before decreasing by around 20% to September 2011 and a further 20% to March 2012.
However, this window of opportunity for achieving the best prices may only last until 2013, when the stronger sales of 2010 release more units back into the used market.
Alistair Jeff of Carsite.co.uk said: ‘The used car market is heading into a significant period of change, with the next two years seeing even further reductions on the availability of ex-fleet vehicles. Some used models have experienced significant increase in value over the last 12 months and the reduced supply from 2011 to 2012 should strengthen residual performances but potentially trigger further price increases. It’s a very interesting time for the industry.’For more of the latest industry news, click here.