1. Why it may be the right time to sell your vehicle
- Rising Vehicle Prices: The vehicle market in Canada continues to grow. Data shows a 15% increase in the average price of used vehicles in 2023 compared to 2022. The average price of used vehicles rose by 4.1%, reaching $39,645, while new vehicle prices saw a 21.3% increase, with an average sticker price of $66,288 (as of June 2023, source: autotrader.ca). If your vehicle is well-maintained, you might be able to benefit from this excellent opportunity in the market.
- Transition to Electric Vehicles: With the rise of electric vehicles and the Canadian market shifting toward more eco-friendly solutions, gasoline-powered vehicles might experience a drop in price in the coming years. Moreover, vehicle inventory levels are affected by supply chain challenges, which directly impact vehicle prices. Selling your car now allows you to take advantage of high retail prices before potential market fluctuations.
💡 The financial move: sell new, buy used!
With rising financing rates in Canada in 2023, it is becoming more expensive to borrow for a new vehicle. In this changing automotive industry, a smart strategy could be selling your new vehicle at a high price and opting for a well-maintained used vehicle at a more affordable rate. However, hidden risks exist! Ensure you have any used vehicle inspected to confirm its condition. Our CarInspect service helps you secure your purchase with no surprises.
🌿 A green alternative: carsharing and public transit?
While not the ideal choice for every consumer, especially in Canada, those living in larger cities may consider carsharing or public transportation as an eco-friendly and budget-conscious option. Reducing your reliance on a personal vehicle and exploring alternatives like electric vehicles, bikes, buses, or the metro could help you manage mobility expenses more effectively.
2. Why keeping your vehicle could be beneficial
- Economic Uncertainty: In this unstable economic environment, having a reliable vehicle is a major asset. Vehicle market fluctuations complicate the purchase of new or used vehicles at attractive prices. The auto industry is facing supply challenges, which directly influence vehicle inventory and sticker prices.
- Limited Vehicle Inventory: The shortage of vehicles and high demand for used vehicles makes finding good deals challenging. With low vehicle inventory levels and high prices, finding a model that suits your needs and budget could prove difficult.
3. If you're considering buying a used vehicle
Be strategic! If you’re planning a purchase, ensure you use our CarInspect service to secure a confident transaction. We help you verify the true condition of a used vehicle before buying, and help estimate potential repair costs. This allows you to avoid surprises, as even an honest seller or dealer might not know every detail about the condition of their vehicle.
Conclusion
Whether you choose to sell or keep your vehicle, the decision is a personal one. However, with the right information and reliable services like CarInspect, you’ll be better prepared to make an informed decision based on vehicle market trends, inventory levels, and economic factors in Canada.
