There has never been a shortage of used car buyers in Sydney. The demand for second-hand vehicles has been steadily increasing through the years, and with the current pandemic, sales are only expected to soar. But what does this mean for today’s market?
As a seller, finding someone willing to purchase an expensive vehicle has always been quite a chore. But now, it feels like it’s nearly impossible. If you are having trouble finding used car buyers in Sydney, these might be the reasons why:
- The COVID-19 Pandemic
If there’s one culprit that has forced the used car market to rise exponentially, it’s novel coronavirus. The untimely pandemic has affected millions of people around the globe and has caused numerous sectors to struggle.
For instance, the automotive industry currently can’t keep up with the rise in demand for new cars. In fact, there has been a 68% increase in new vehicle sales in Australia alone, but deliveries have been delayed.
Some new car buyers who placed their orders back in November 2020 still haven’t received their vehicles eight months later. Experts hypothesise that more people are opting to drive private vehicles in lieu of taking public transportation to avoid catching the virus, hence the sudden rise in demand.
- The Popularity Of New Cars
One thing to note is that current events have only sped up a problem that has been around for quite a while. In 2019, new car prices hit a record high, increasing by over $1000 compared to the past year.
This is because SUVs and pickup trucks have significantly become more popular over the years. According to CarsDirect, expensive pickups were expected to account for 72% of sales in October 2019, with consumers willing to spend up to $145 more on a new vehicle.
- Production Issues
Another issue brought by the pandemic is the shortage of parts, particularly the semiconductor chips needed to power newer models. Unfortunately, these chips are necessary for almost every electronic device, including smartphones, game consoles, and TVs, driving demand to an all-time high.
How important are these chips? Apple Inc. themselves have suffered from the lack of supply, resulting in a two-month delay of the much-awaited iPhone 12. Within the automotive industry, Ford is expecting a $2.5 billion hit in profits due to the shortage, while Nissan has slowed down production at two plants.
- A Larger Market
The used auto market will always be much larger than the new car market. In 2019 alone, over 40 million used vehicles were sold—more than twice as much as brand-new cars.
However, the used car market does rely heavily on customers trading in their older vehicles for new ones. And when the pandemic hit, this affected both sectors greatly.
Fortunately for you, this surge in prices could point to the best time to sell your vehicle. But if finding a used car buyer in Sydney is still too challenging, you can look to our services at Omega Cash for Cars.
Contact us at 0401234711 to discover what we can do for you!
Omega Cash for Cars is a licensed car removal and wrecker company in Sydney that promises to offer you the best instant cash value. Yasin Azimi, the Chief Operations Manager at Omega Cash for Cars is having years of expertise in this industry. He provides a wide range of “Cash for Cars”, “Car Removal”, “Eco-friendly Disposal”, and “Free Towing” services to his customers. This company is known as the best car removal service provider in Sydney that pays you the best value for your unwanted car. Yasin Azimi and his team of experts buy cars reasonably & efficiently by offering free car removal and towing services. In addition, he provides you with the best deals that you won't find at any other vehicle removal company!
