Used car sales are up as people use different means of transportation during the pandemic
Used car sales are up as people use different means of transportation during the pandemic
Because fewer people are taking flights, using busses and other mass transit, more people are buying used cars.
PHOENIX - Eight months into the COVID-19 pandemic, used cars are in big demand and inventory is low. New models aren't rolling out as they used to.
It was a pleasant surprise for Fred Auer when he went to sell his used GMV SUV. He said, "When I looked up the Bluebook value on it so I could see what to sell it for, it was worth probably three or four thousand dollars more than I thought it would be."
Auer was at a Chevrolet dealer looking to trade it in for a new vehicle.
Scott Gruwell of Courtesy Chevrolet says the tough times they were bracing for in car sales haven’t actually happened.
"Since July, August business has gone down a little but it's still higher levels than pre-pandemic," Gruwell said. People are cutting back on mass transit and ride shares boosted pre-owned car sales, as did this summer’s stimulus checks.
Another factor in the increased business, the pandemic has changed what many people do for fun and how they get there.
"They're not spending the money on travel quite like they used to, airfare and airlines. They want to get out and explore the outdoors. Our Jeep store, for instance, used and new, are going very strong. People like to go enjoy the Arizona outdoors," Gruwell explained.
Your used car may command a high sales price, but because the market is tight, expect to pay more to get into another used vehicle.