It would certainly seem that the sales of cars have rocketed in January but why is this, are people really feeling the end of the recession?

The Reasons

Well the sales have actually risen by a massive 29.8% from 2009 which is brilliant but lets not forget how much of a state the world was in last year. There were so many people last year that were just too scared to buy something like a car because they didn’t know what the recession would do to them.

The government’s car scrappage scheme had a lot to do with it too as this has been extended to the end of March. This actually aloows people a £2,000 trade in sum which of course is why a lot of people are trading in their cars for a new one.

The Christmas period is over and people will perhaps have a bit of extra money spare around the late January early February time and having a really nice car is just one of those luxuries you are going to have if you have a bit of spare money.

Sticking Around?

When you look at the predictions for this year I have to say that it isn’t looking good. 1.Although an expected 82 million cars are meant to be sold this year when you compare it to last year it will be 10% down. The last time that the sales of cars got this low was 1995.

Although officially the recession is over, people are still going to be feeling the effects of it for a long time. The fact is that many people are spending their money on their homes now trying to fix them up because they haven’t had the money in a long while.

Even bad credit car loans are going to be expensive. The best thing to do it look out for cheap lease cars and cheap van leasing.