Used Car Stocks Set to Slump Over Next Two Years

Industry analysts have forecast a massive rise inthat entered the used car market at the same
demand for used cars following a slump in thetime three years previously.
sale of new vehicles over the past two years.Former fleet vehicle stocks should remain
One car sales website has told the Dailyadequate until March next year, and will then fall
Telegraph newspaper that poor sales in 2008 andby 20 per cent by September and by another 20
2009 had a significant effect on the availableper cent by March 2012, said Carsite's Alistair Jeff.
stocks of three-year-old former fleet vehicles.He added that there was some light on the
Carsite told the Telegraph that around threehorizon – stocks of former fleet cars should
quarters of former fleet cars tended to enter theimprove after March 2012 due to a boost in the
used car market after a three-year period. Butsale of new cars this March.
with a fall in the sale of new cars throughout"Some used models have experienced significant
2008, there is most likely going to be a shortageincrease in value over the last 12 months and the
of ex-fleet vehicles between March andreduced supply from 2011 to 2012 should
September 2011.strengthen residual performances but potentially
It said that it believes the total amount oftrigger further price increases," Mr Jeff added.
ex-fleet cars entering the used car market by"With scrappage gone, the focus is back on the
September 2012 will stand at just 40,000 –used cars market. It's a very interesting time for
some 20 per cent less than the amount of carsthe industry.