Attention used car shoppers: Your perfect automobile might cost a little more, but don’t worry, because there’s still a way to find great deals.
Edmunds reports that car buyers on average paid $1,800 more for a used vehicle in July 2010 than they paid in July 2009. That translates to a hefty 10.3 percent increase and brings the average cost of a 3-year-old vehicle to $19,248.
The biggest surprise? The price of a Cadillac Escalade spiked nearly 36 percent, from an average of $25,500 in 2009 to $34,715 this year. Joe Spina, a senior analyst for Edmunds, said,
A lack of confidence in the economy is driving more people to used cars, putting upward pricing pressure on a limited supply of vehicles.
Why is the supply limited, and how can you be sure to find a great deal?
The supply is limited because people are holding onto their cars longer. Another factor is last year’s Cash for Clunkers rebate program, which permanently took a good chunk of sellable inventory off the market. Good deals are still out there – you’ll just have to look a little harder for them.
That makes the CarGurus DealFinder all the more imperative when looking for a used car, because it analyzes over 1 million listings every day and tells you which cars are great buys and which are priced too high.
For example, as of this writing DealFinder has more than 150 good deals on 2006-2007 Escalades.
Other used vehicles Edmunds listed as increasing over 30 percent in price over the last year are the Chevrolet Suburban, Dodge Grand Caravan, and BMW X5. A quick search on DealFinder turns up many listings for all three that are good or great deals.
We have been spending some time on this blog sharing advice and tips for buying used cars, and the DealFinder is perhaps the best tool available for making sure you get a great deal. In a market where prices are going up, doing your research is more important than ever.
Are you in the market for a used car? Are prices higher than you expected?