Used cars being bought at auction on the rise, NAMA says

Used cars being bought at auction on the rise, NAMA says

The number of used cars sold at auction in July rose by 12.2 per cent year-on-year, according to the latest figures.

Data from the National Association of Motor Auctions (NAMA) also showed that sale conversion levels rose to 80 per cent in July, which was an increase from the 73 per cent recorded the month before. Overall the findings "reflect strong levels of trade buyer activity", particularly among small and medium-sized dealerships, NAMA said.

Whether an independent trader or a franchised dealership, it is important that dealers keep a keen eye on their motor trade insurance policies if they are taking on a greater volume of stock - having extra vehicles stored on site could require additional cover from the business' insurance policy, so regular evaluation on the suitability of their policy is strongly recommended.

With confidence among consumers steadily growing since the lows of the recession, dealers themselves are now more optimistic about the future of their businesses. This in turn is prompting them to invest in more used cars to sell on to customers.

NAMA's Louise Wallis commented: “After a long extended period of financial austerity consumers and dealers are re-discovering a level of access to funding and the confidence to use it. As a result dealers are both stocking and selling more cars.”