"Used Car Corner: More Consumers Going Used Rather Than New" Edmunds Daily

Used Car Corner: More Consumers Going Used Rather Than New

In a show of the new consumer conservatism, more people are deciding to buy used vehicles rather than new. According to our experts here at Edmunds, in the last three months over a half-million consumers bought used vehicles while in a stronger economy they probably would've bought new.

We see two major factors contributing to this shift:

1) Consumers are more thrifty than any other time in recent memory. If they need to purchase a vehicle and can't (or don't want to) spring for a new one, a one- or two-year old, well-kept vehicle with low mileage is the way to go. That way, you still get a nice car that should last you and you don't take the huge depreciation hit that occurs when you buy new. Furthermore, often times you still have a fair amount of warranty coverage left.

2) Struggling car dealers are prioritizing selling their used cars, so salesmen are steering some new car intenders to the used car lot. The reason is that the profit margins tend to be much higher for used vehicles versus new, especially now.

You can get the whole story here on our AutoObserver article.

And for tips on shopping used, take a gander at our 10 Steps to Buying a Used Car.

John DiPietro, Automotive Editor