The automotive market is changing, and discerning buyers at Lexus of Valencia are likely aware of the recent trend of decreasing pre-owned car prices. While several factors contribute to the shift, the result is that now is the opportune time to consider a pre-owned Lexus model, particularly one from our inventory of used cars under $20,000 at Lexus of Valencia. Let’s look at the market forces in play and how things are evolving.
Increasing Supply and Stabilizing Demand For Used Cars
Stimulus money led to a buying spree on new and used models alike. The increased demand meant lower inventory, meaning trade-ins commanded record-high prices. However, after a period of limited inventory and high demand from 2020 to 2023, the pre-owned vehicle market is experiencing a gradual increase in supply and a corresponding price drop.
Supply Chain Stability for New Models
The new car market influences used car prices, too. Supply chain issues and shortages led to lower new car inventories across every OEM, and the paucity of new cars meant that used cars were in higher demand than before. Now that the tap is open and new models are flowing back to dealerships like ours, it takes some stress off our pre-owned inventory and helps tamp down prices.
Shifting Consumer Preferences
Larger economic factors, such as rising interest rates, can influence consumer spending habits. Certain buyers may begin to be more cautious about large purchases, which leads to a slight lessening in demand for pre-owned luxury vehicles. These economic factors and shifting consumer preferences create an excellent opportunity for discerning buyers to purchase a high-quality pre-owned Lexus vehicle at an attractive price.
Browse Our Large Selection of Pre-Owned Lexus Models
If you have been considering a pre-owned Lexus model, now is the perfect time to explore your options here at Lexus of Valencia. Visit us today to discover our versatile pre-owned Lexus inventory.
