Car sales are expected to fall as less people are planning to buy in the next 12 months than they were last year, according to a Manchester car finance specialist.
Just 18% of drivers have their eyes set on a change of car over the next 12 months – compared to 25% in October.
The carfinance247 survey was first carried out in October, but the most recent results have indicated a stark change in patterns – which was claimed to be the result of an unpredictable market.
Emily Henshall, Marketing Manager, said: “Rerunning this survey after eight months has shown how volatile the car buying market can be in a short period of time.”
The independent study, undertaken to understand car-buying habits, showed a huge decrease in the amount of people prepared to dip into their savings or use cash to pay for a new motor.
Only 15% now said they would, compared to 73% last year – a stat which the specialist has suggested is down to a lack of readily available cash.
“Less people are looking to purchase a vehicle, and with cash and savings being depleted, men, in particular, are recognising other options such as car finance,” Ms Henshall said.
Male motorists were almost 10% more likely to get financial help in purchasing a vehicle.
Continuing the trend of unpredictability, this is a marked change from 2012’s results, where women were 9% more likely than men to choose some form of financial help to fund their car.
Christian Turner, Finance Manager at Dace Motor Company, said his company tended to see a mix of men and women.
He added: “Obviously guys like cars and buying them without the missus, though if they buy one without the missus they get a frying pan over the head.
“We do get a lot of males, but not many of them buy a car without consulting their partners. We also get the odd woman on her own.”
Mr Turner also admitted that the market could be volatile.
“There are a lot more companies emerging offering finance for people,” he said. “Three years ago the issues with the sub-prime sector meant a lot of companies stopped trading but there are more coming to fruition now.”
Mr Turner also suggested it was perhaps easier for people to get finance for their cars, though customers would have to be ‘cleaner’ to qualify for credit.
He added: “That might start getting people nervous, but there are lot more companies trying to cater for everyone credit statuses.”
Picture courtesy of Harry_nl, with thanks.