It should come as no surprise that as the economy in the UK continues to improve, car and home sales have also improved. The reason for this is simple: when times are tough and people don’t know where their next pay cheque is coming from, they tend to put off large purchases.
But then when the economy improves, large ticket items are often where you see the most growth. While the numbers are nothing to write home about, we do know that car sales are up and that most industry insiders expect them continue to grow as consumer spending and employment rebounds.
Believe it or not, the first market that experienced noticeable growth was the used car market. There are several good reasons for this. To begin with, when the economy is improving, people often remain cautious about major purchases, but since a car is a necessary item, they are sometimes willing to invest in cars second hand .
Another important factor is the increased security that used car dealerships are currently offering their customers. Years ago, a buyer could never be sure if he was buying a quality vehicle or a banger that would break down a kilometre from the dealership.
But these days consumers have a guarantee in the form of a full or partial warranty that affords that new owner some security. What this means is that if your car breaks down through no fault of your own, you can return it to the dealership where they will be responsible for all repairs.
