Is now the time to act on a used car deal? If you've been thinking about purchasing a vehicle, you may want to get serious, as this month could be a good one for prospective buyers thanks to a combination of nice weather and lower prices.
A harsh winter gives way to spring
The NADA Used Car Guide noted that this past winter was harsh, especially throughout the month of February. The East Coast was pummeled with snow and ice, in addition to frigid temperatures, which made it hard for some car lots to move merchandise.
"Since the inclement weather possibly prevented dealers from attending auctions – and customers from commuting to dealer lots – demand wasn't as strong as it usually is in February," said Jonathan Banks, an executive analyst with the NADA Used Car Guide. "As a result, prices were almost a full percentage point lower than the historical average we've tracked since 1996 … consumers should know the savings trend won't last for long, as pent-up demand and tax refund checks will fuel spring season purchases."
Know the segments
According to the NADA Used Car Guide's March report, used luxury vehicles suffered the most from the winter season. The segment saw values decline by an average of 0.5 percent, with luxury compacts dropping 1 full percentage point. Other options you may be interested in, such as non-luxury compact cars or midsize SUVs, experienced a small increase of 0.7 percent. That's about half of the original prediction, the Used Car Guide reported.
Overall, the jump in used car prices was relatively consistent across all segments. There was also an increase in the volume of used cars, meaning shoppers have plenty of choices to consider without bashing their budgets. More options may be hitting the market soon as well. Eager drivers may be ready to ditch their older models in favor of some fresher vehicles this spring.
Are you convinced yet? March may be the perfect time to get behind the wheel of that used car you've had your eye on, but you need to be smart about your purchase. Start by turning to a lot you can trust, like New Jersey State Auto Auction. This facility boasts hundreds of Carfax-certified used cars, trucks and vans, providing you with a wide selection at prices you can afford.