WesBank’s recent data reveals a significant increase in demand for pre-owned vehicles in South Africa. This trend is directly linked to the ongoing economic downturn and rising living costs.
According to WesBank’s Business Intelligence, applications for pre-owned car finance have substantially outpaced those for new cars. This surge is primarily driven by affordability concerns. Used cars often offer a more cost-effective alternative to new vehicles, especially considering factors like depreciation.
While pre-owned cars provide financial benefits, it’s essential to note potential drawbacks. Buyers may need to cover maintenance costs and may not have the same level of warranty protection as with a new car.
However, the pre-owned car market offers a wider range of options and can be a viable choice for those seeking affordable mobility. As the economic landscape continues to evolve, it remains to be seen how the balance between new and used car purchases will shift in the future.
Source: MotorPress/WesBank
