Consumers Setting Expectations Lower, Used Car Sales Continue To Rise

The ongoing downturn in the US economy, coupled with increasing prices at the pump, appears to be steering more drivers toward buying used vehicles instead of new ones.

A recent Wachovia survey of 40 vehicle retailers shows an increase in used car sales, with 28 percent of dealerships indicating that their used car sales were above expectations.

The results represented a steep increase from 6 percent in the investment bank's January survey and flat results compared with year-ago levels.

"Although there was some seasonality, we believe many dealers have lowered their expectations and new car intenders maybe switching to used cars," Wachovia's Richard M. Kwas wrote in a note to investors. "In general, dealers conveyed that prospects are more interested in used vehicles over new."

Whelan - 3/31/2008 2:35:43 PM

+2 Boost

Buying a used car is probably one of the smartest things a consumer could do. My last two vehicles have bee Certified Pre Owned from dealers with warranties. I get the car I want, at a phenomenal price, backed with a warranty and I don't have to worry about the huge hit I take from pulling it off the lot brand new.

Agent009 - 3/31/2008 3:06:29 PM

0 Boost

I tend to agree. Let someone else take the hit on depreciation.

Htay7500 - 3/31/2008 5:41:29 PM

+1 Boost

its also good for 1st time drivers like me! but then theres insurance.

JUGNU - 4/1/2008 6:42:45 AM

+1 Boost

Agent009
why my post/article about new Infiniti is not posted yet?

please put it in 'most recent stories' section soon.

JUGNU

M35MT - 4/1/2008 7:56:34 AM

+1 Boost

Still, like a fresh, clean, new pair of shoes, sometimes it's nice to get 'em fresh out the box. Some cars you win big, because they depreciate quick, others you might as well buy new, because you don't save much.