Used car prices set to fall in 2016, says dealer report

032516 RL A bright future for car enthusiasts, says self-driving vehicle boss

 

Looking to fill up on auto news? We’ve clocked some miles traversing the Web for all things auto-related. Pull in, grab a coffee and digest some of the week’s most interesting news with us.

 

Why 2016 could be a great year to buy a used car,” Money

Used car buyers may benefit from falling prices this year as an abundance of end-of-lease vehicles swell the market. The glut and associated price drop is set to come in the next one to two years, according to a new report by the National Automotive Dealers Association, highlighted by Money.

Millions of end-of-lease vehicles will be added to the used car market, says the association. That is likely to reduce the prices of low-mileage, late-model cars.

It stems from the growing popularity of leasing, which “exploded” in the early part of this decade, hit a high in 2014, and has been surpassed since, as Bob Sullivan explains in his article for Money. Two- and three-year leases signed in 2014 will start coming onto the market this year, adding an extra 800,000 used cars. The association estimates used car prices will fall by an average of 2.5 percent each year for the next three years.

The timing of the predicted price drop may be especially welcome for used-car buyers as it follows recent increases in the cost of pre-owned vehicles. As Sullivan summarizes, “During the recession, drivers held onto cars for longer, reducing the supply of used cars, helping push prices up 18 percent from 2007 to 2014, the report says.”

Read the full article in Money

 

Here’s the number one reason people want driverless cars,” Tech Insider

Is it more time to spend on a mobile phone, the possibility of better safety, or even the chance to eat breakfast on the go? The number one reason people want self-driving cars is actually parking, according to a survey by the World Economics Forum, and reported by Tech Insider.

The survey found that 58 percent of respondents would take a ride in a driverless car, and looked into why people are ready for them. Some 43.5 percent of respondents said the main reason was so the car can find a parking space, and then park there itself. It also revealed 39 percent of participants wanted a self-driving vehicle so they could multi-task en route to their destination.

Read the full article in Tech Insider

 

See you next time for more automotive news. Drive safe.

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