LISBON, Ohio (WKBN) — Multiple national reports suggest that used car prices have come down, with an average decrease of $1,600 — but one used car dealership in Lisbon is seeing prices go up.
JMullen Motors houses two lots of used cars, all of different makes and models. Owner Jay Mullen says he’s been seeing the prices of used cars rise.
“What I’ve been noticing, the price has kind of been increasing, and I attribute that to availability,” Mullen says.
At Mullen’s dealership, he likes to sell used cars for $10,000 or below in most cases. Now, he says the market has started to see increases in prices, which has hurt his inventory.
“Normally, I can go out and buy 10 to 15 cars a week and rotate them through the system. Now, it’s been down to four or five,” Mullen says.
Mullen contributes this to multiple reasons, including prices of the cars or how much it costs to fix them.
He’s seen prices go up about $1,000 for his market, especially for smaller cars that are more fuel-efficient, which he doesn’t usually sell.
“People have been asking, ‘Do you have anything that gets good gas mileage?’ So we started looking at them and I’m like, ‘Wait a minute. These cars are up a lot more — $1,000; $2,000 — than what I’m used to,'” Mullen says.
He’s able to sell cars just as quickly as before the pandemic. But with lack of inventory, the scales are tipping too much one way.
“I have a couple of trucks for $20,000. That truck has been here 60 days. I just put a truck out there for $10,000 — it sold in three days,” Mullen says.
He’s expecting prices to rise more during income tax season.
“That’s just because people have available funds to either come in and pay cash for a car, or use that income tax return as a down payment on a car that makes it affordable for them,” Mullen says.
According to Mullen, the way to combat it is to “keep going.”
“You work harder. I spend days on the internet looking for cars I purchase and I go to auctions. I attend them weekly, daily,” he says.