We predicted that used stock levels would remain low and they are. However we have seen within in the last week to ten days stock levels return to somewhere near normality. Prices are still on the high side, but if you know where to look there is choice around, rather than before where small levels of stock and way over book prices made trading tough.

With more stock out there do not expect prices to rise any further than they did in the first crazy quarter this year. Expect pricing to level out and for more usual small price drops in line with depreciation. Over the next two quarter we should see stock and pricing come further in to line.

Large cars will still be affected and small to medium sized models to be stabilised through out the year. It’s a very weird old trading cycle at the moment, but the end of 2009 will see it return to a true reflection of tough economic times. Expect the new car and commercial market to slump even further and the used car market to prosper, although not at it’s current level.

If I’m wrong about this, I will buy myself an American car and drive it until I can’t take it any more, probably ending my own life whilst trying to take a corner in a boat like Cadillac. What a way to go, dying in the most horrific car in the world, with a shard of cheap interior plastic through the heart.

In all seriousness it’s a great time to buy new. With lots of good deals around. The used market will be a level playing field this year, so buying should not put you off, just wait for the right deal and get you’re ideal spec.