In 2024, the used car market will change dramatically due to changes in the economy, technology, and the way people buy cars. Understanding these trends can help buyers, sellers, and industry practitioners understand the market more easily. In 2024, the used car market will be influenced by the following key trends.
More and more people are looking to buy used cars.
The growing demand for used cars is one of the most attractive trends of 2024. Due to inflation and economic uncertainty, many people are looking for cheaper car options. As new car prices continue to rise, used cars are becoming a more affordable option, attracting more buyers on a budget.
Used car prices are rising.
As more people are looking for used cars, prices have risen significantly. There are not many new cars on the market due to supply chain issues and a shortage of semiconductors. This is leading to more people looking at used cars, which is driving up prices. This trend is likely to continue as long as there are supply chain issues.
Electric and hybrid vehicles will gain more attention.
Electric and hybrid vehicles are becoming more common and easier to find in the used car market, as growing environmental concerns and government regulations are pushing people to seek greener options. Consumers are increasingly interested in eco-friendly options, and as more of these vehicles enter the used car market, their prices are dropping.
Improvements in used car technology
New technology is entering the used car market. Especially in recent years, more and more used cars have been equipped with features such as advanced driver assistance systems (ADAS), connectivity options, and better infotainment systems. People want to buy cars that have modern technology, but do not cost as much as new cars.
Online platforms are taking over the market.
Since 2024, online platforms and digital marketplaces for buying and selling used cars have become extremely popular. These platforms make things easier and more open, giving you a wider choice of vehicles. With services like door-to-door delivery, virtual tours, and online financing options, people can buy used cars from the comfort of their home.
Certified Pre-Owned (CPO) Program
Certified Pre-Owned (CPO) programs continue to be popular with buyers who want to feel safe and confident. Certified Pre-Owned cars have been thoroughly inspected and come with a longer warranty, making them a good choice for those who want to be sure of the quality of a car without paying the high price of a new one. To meet customer demand, more dealers and manufacturers will add more CPO options in 2024.
Supply Chain and Inventory Issues
Supply chain issues and a lack of inventory have made it harder to buy new cars, which has also affected the used car market. With fewer new cars coming onto the market, trade-in prices have also fallen. This has tightened the used car market and pushed up prices, and is likely to continue as long as the auto industry struggles with its supply chain.
How popular are car rentals and subscriptions?
Subscription services and flexible leasing options are becoming increasingly popular as an alternative to buying a car. These models allow customers to rent a car for a set period of time and then switch or cancel the service without long-term commitments. This trend is particularly important for young people who value freedom and opportunity over ownership.
Pay attention to the history and transparency of the vehicle.
More and more buyers want clear information when buying a used car. Inspection certificates, detailed vehicle history reports and maintenance records are now a given. In response, online platforms and dealers are providing buyers with comprehensive vehicle information to build trust and ensure they make informed purchasing decisions.
The impact of money problems
Interest rates, inflation and employment rates are some of the economic factors that influence people’s behavior in the used car market. Higher interest rates make loans more expensive, making them harder to get. If people don’t know what’s going to happen to the economy, they might postpone a major purchase or opt for a cheaper used car instead of a new one.
More and more people are interested
There is a growing interest in dealers and platforms that promote environmental measures, such as selling electric and hybrid cars or encouraging recycling and reuse.
Switch to smaller, more fuel-efficient cars
As fuel prices rise and environmental concerns grow, there is a clear trend in the used car market toward smaller, more fuel-efficient vehicles. Many people want to buy a car that uses less fuel and has low running costs. This trend has led to people wanting small cars, hybrids, and other models that use less fuel.
