The year 2021 will be remembered forever as the year that car production halted due to a chip shortage and used car prices were on the rise with the entire used car market becoming unpredictable. The used car market as a result descended into chaos, with contrasting prices that soared and made headlines the world over.
A Visual Look: Used Car Prices
Month by month last year there were predictions on what was going to happen and each month, even the experts were surprised by the market.
So why does the used car shortage matter?
The pandemic era supply issues are baffling, yes, but the effect is not just felt by the manufacturers and the car dealers, but everyday people that rely on cars to commute to work and trucks that fuel their livelihood. The repercussions of the insane market fluctuations will be felt for years to come.
The end of the year and the run up to the festive season is historically a quiet period and the end of 2021 was no different. The strong season is always tax refund season and this year will hopefully be no different as the car dealers Northern Ireland wide utilise the funds in replenishing their stock and begin to see the spring footfall looking for a used car to become theirs.
In the market now, the pandemic has had a huge effect as previously stated, with a fear of public transport and a consumer status that in auto trader surveys stated that 44% of people feel more financially stable than ever before due to their lack of spending and therefore in a better position that ever to afford a new car.
The shortage of supply and increased demand has created somewhat of a perfect storm in the market. While the shortage is causing the current used car demand the world has not forgotten how to manufacture cars and thus it will revert to the normal market once the constraints on the supply chain ease – but experts say that this doesn’t look to be anytime soon.
It is usual that used car prices increase in the Spring in the ‘normal’ market and it is likely that this will remain the case in car dealers Belfast and wider Northern Ireland.
Bottom Line For The Used Car Market
Historical norms are completely thrown out the window, with a warped market comes warped predictions and bizarre results.
At Carlover, we are partners with some of the biggest car dealers across Northern Ireland. We pride ourselves on our state of the art used car search that enables users to find the perfect car for them in a quick and efficient manner.
If you are a customer looking for a car, check out some of our most trusted car dealers below:
And if you are a dealer looking to partner with us, then click on the link below.
