Local used car prices drop 5% to 8%

An excess in used cars and their brands have led to Johorean dealers dropping their prices.

JOHOR BAHRU: Dealers here have dropped their prices for used cars by between 5 per cent to 8 per cent, according to the Johor Used Car Dealer Association.

In a report in the Star Online, association president Simpson Tan attributed the drop to the excess of used cars and brands in the market.

“The price of used cars would possibly see a reduction of between 5 per cent and 8 per cent, and even more for models or brands that are not so popular.

“There are just too many used cars and too many brands and this makes it harder for us to do business,” he said.

He also attributed the drop in selling price by between RM4,000 and RM7,000, depending on the car model to new guidelines issued by banking institutions.

He said that many used car dealers were struggling to sell several makes, and that dealers were foreseeing an increase in prices for foreign-made new cars in view of the currency exchange rates against the US dollar.

It is the right time to buy used cars, as the prices were low now, he said, adding that there were more than 800 used car dealers statewide that customers could choose from.