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Car sales. Used car prices are rising due to shortages in showrooms

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The slowed down or even stopped production of cars means that used cars started to become much more expensive. Those younger than a year cost more in car dealerships than their new counterparts, writes Rzeczpospolita on Friday. In October, the most popular Opel Astra on offer increased in yoy. by 14 percent

As the daily notes, price fever is booming in the shrinking used car market. According to the international chain of AAA Auto dealerships, comparing the three key markets of Central and Eastern Europe – Polish, Czech and Slovak – the greatest decrease in car availability occurred in Poland, and this was accompanied by large price increases – the newspaper notes.


The average offer price in car dealerships increased

He adds that in September the average price of offers in car dealerships, websites and used car dealers increased to 21.9 thousand. PLN against 20 thousand. PLN in August. In October, the most popular Opel Astra on offer increased in yoy. by 14 percent

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“According to our analyzes, prices will certainly continue to rise next year,” Karolina Topolova, CEO of Aures Holdings, the operator of the AAA Auto chain, told Rzeczpospolita.

The newspaper also cites the online sales platform Carvago.com, which states that the availability of used cars in Europe is the lowest in 5 years. If in May 2020 the number of used car offers reached 290,000, in January 2021 it dropped to 192,000, and now it has shrunk to 153,000.

“We see a similar situation in all other markets in Europe: it is an almost 50% decrease in the number of cars offered in one and a half years” – Jakub Sulta, CEO of Carvago.com tells the newspaper.

In Europe, aftermarket car prices are rising

Rzeczpospolita points out that the European secondary market is drying up because the crisis with the lack of semiconductors has slowed down the production of cars. “As a result, there is no influx of cars from rental agencies that got rid of vehicles during the pandemic and now cannot buy new ones,” he said.

As the newspaper writes, citing the Bloomberg agency, in Great Britain the increase in prices on the secondary market in October was compared to yoy. one quarter. “Used cars can already cost more than new ones,” he points out. In turn, AA Cars has calculated that the prices of the most popular cars on the British market have increased by 57% since 2019.

According to the newspaper, prices in Ireland jumped by 16 percent. In Germany, where there was a shortage of used cars a year ago, the prices of cars increased by an average of 3,000. euro. “At the same time, the situation in Germany is hitting the Polish market hard, because Germany is the most important source of supply for Polish car dealerships with a nearly 60% share,” says Rzeczpospolita.

The newspaper adds that the declining supply is pushing up prices also in the US. “Consumer Reports shows that current used car prices are 42 percent higher than in the first quarter of 2020, and according to the consulting firm PureCars, the number of consumer searches for used cars has doubled,” the newspaper said. (PAP)

Main photo source: Shutterstock

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