TIME RIGHT TO GO USED

NT News - Motoring - - NEWS - By MARK HINCH­LIFFE

NOW could be the time to buy a sec­ond­hand car, ute or van. As busi­nesses take de­liv­ery this year of new cars bought un­der the Gov­ern­ment’s busi­ness tax break which ended in De­cem­ber, a flood of trade-in ve­hi­cles is ex­pected to hit the mar­ket, driv­ing prices down.

David Scog­namiglio, boss of vedaauto.com which mon­i­tors au­to­mo­tive credit trends, said there would be an over­sup­ply of traded-in busi­ness ve­hi­cles and ‘‘some great deals in the used-car mar­ket this year’’.

Vedaauto.com’s Au­to­mo­tive Credit De­mand In­dex for De­cem­ber showed credit for new ve­hi­cles rose 10 per cent com­pared with the pre­vi­ous De­cem­ber while used car credit dropped 7 per cent.

While over­all au­to­mo­tive credit de­mand rose a mod­est 0.9 per cent in De­cem­ber from the pre­vi­ous month, busi­ness ve­hi­cle credit applications in­creased 20.6 per cent.

The av­er­age busi­ness car loan amount also in­creased by $1462 from $43,471 in 2008 to $44,933 in 2009 with a spike of $46,111 across the fi­nal quar­ter, ac­cord­ing to the data com­piled from Veda credit applications and the Na­tional Ve­hi­cle In­for­ma­tion Sys­tem.

AP Eagers Group state gen­eral man­ager Keith Thorn­ton said the best buys were in util­i­ties, vans and light com­mer­cial ve­hi­cles.

‘‘Cer­tainly there are a lot of used cars com­ing into the mar­ket so it’s a fan­tas­tic time to be buy­ing used,’’ he said.

‘‘We no­ticed quite a spike in trades to­ward the end of the year so we have a lot of stock.

‘‘There’s a real mix of cars avail­able, but ob­vi­ously be­cause of the in­cen­tive scheme we saw a lot of busi­ness buy­ers so there are more used com­mer­cial ve­hi­cles than nor­mal.’’

Used car dealer Alex Sal­ter said there would be ‘‘good buys’’ in the mar­ket, but not bar­gains.

‘‘We haven’t seen a flood of good used cars hit the mar­ket yet. We an­tic­i­pated it but we haven’t seen it just yet,’’ he said.

‘‘We are hop­ing that they will turn up but at the mo­ment we are still pay­ing a pre­mium for good qual­ity used cars.’’

A flood of trade-in ve­hi­cles is ex­pected to hit the mar­ket

Newspapers in English

Newspapers from Australia

© PressReader. All rights reserved.