Getting towards the end of the year and the Festive period, Richard Crosthwaite, Prestige Car Editor at Glass’s, has given his views into Used Cars Whats Hot and Whats Not in the used car market.
Still featuring heavily but not as boldly as previous years, 4X4’s are still the big thing in the used car market. The Audi Q7 and Q5 still very popular, including as well the BMW X1, X3 and X5, diesel options being the favourites.The Sport versions are more popular. Premiums that people are paying for higher output diesels are shrinking, and lower running costs of entry point diesel engines are the most popular.
The MINI Countryman, offers off-road capabilities and has a significant following. Still being a family car iy offers peace of mind for driving in poor British weather. It offers a healthy Residual Value (RV’s) due to low supply. There is a tipping point, as shown by the Clubman – Keep an eye on the Countryman next year – hopefully HOT won’t turn into Cool.
Important on many buyers agenda is CO2. Whatever the car values of low output cars are noticeably higher in relation to their higher CO2 counterparts. Impossible to say if customers will ever make the money back, but lower CO2 is the way to go.
And what’s not…
Due to the state of the economy people are downsizing and they just aren’t looking for a £50k saloon, there really are better value options around. The Audi A7 is one of the few models in Audi’s line-up that has been immune to the brand’s normally strong RV’s. It isn’t that it’s inferior to other offerings – rather that this sector is over-subscribed. When the Mercedes CLS came out six years ago it was a niche sector now the economy has changed along with the automotive options available.
Struggling are XJ Jaguar values – supply outstrips demand. Values in this luxury sector are under extreme pressure, as a result of the lack of other top models, Jaguar may be in danger of over-supplying the market. It is possible we will see a new Jag offering soon, the XF Estate which may help ease the situation.
Prestige cars and pre-registration. Why? ‘real world’ retail new luxury car sales have fallen massively and fleet business has been left to support the remaining market. I’d expect dealers to be plentifully supplied with “nearly new” stock and for it to be very well priced, dealers will know as soon as the current batch has gone, it won’t be long before the next is on the horizon.