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Q.Anyone got any opinions on whether the governments talk of lowering new car prices will have a knock on effect into the used car market? I am looking to buy a used Citroen ZX or Peugeot 306 for around ?000 and can't decide whether to wait a while.
A.The initial effect will be on those trying to sell a year-old whatever who find that they are being undercut by new ones. Someone thinking of a 4000 quid car isn't going to get a new one anyway, and it will take a few cycles of selling (the guy with the year-old car will hang on to it because he might as well, then accept his loss, and the person he sells it to will then sell their old car and accept a slightly smaller loss and so on down to you) before the effect is felt at the bottom of the market. I see the Consumers' Association website had a million hits on their first day...
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