Great News For New Car Buyers 🚗 🎉

Recent data obtained shows that despite a myriad of local and global factors placing pressure on the automotive sector and consumers, it is cheaper to buy a new car in South Africa right now than it has been in the last couple of years. 💰

BUT!!! Don’t get too excited… 🛑 ✋🏽

New car prices are finally starting to decline — but even with this being the case, interest rates are now at their highest levels in 15 years!

Why is this happening?

The global automotive industry had a challenging time recovering from the worldwide pandemic — with sourcing inventory being one of the biggest constraints.

Lower listing prices are speculated to be caused by South Africa’s rising interest rates, horrendous petrol price hikes, higher vehicle supply and worsening economic conditions which places pressure on the disposable income of consumers.

Ultimately, the result of these record high interest rates is that lower income and lower credit quality buyers are being eliminated from the market, while higher-end buyers remain.

What’s the verdict? Well – I’d say that if you were looking to purchase a brand new set of wheel cash, it’s definitely a good time to sell your current car and get cracking 🚙  

Have a great week, folks!

Jono 💁🏽‍♂️