A Turkish used car buyer said that buying a used car is for investment, and after 1 to 2 hours, the price can even increase by 20%...
Turkey is currently one of the countries with the most serious inflation in the world. In May this year, Turkey's CPI rose as high as 73.5% year-on-year. In order to resist inflation, Turks have turned their attention to the second-hand car market, and second-hand cars have become the "hard currency" for the preservation of Turks' assets.
Affected by factors such as the chip crisis, the new crown pneumonia epidemic, and the conflict between Russia and Ukraine, global automobile production has declined. New cars are hard to find in Turkey, and the prices of used cars are rising, becoming a "hard currency" to resist inflation.
Some Turkish used car buyers said that they bought used cars for investment, and after 1 to 2 hours, the price could even increase by 20%.
Currently, the benchmark interest rate set by the Central Bank of Turkey is 14%. The May inflation rate announced by the Turkish Statistical Office was as high as 73.5%. Prices are rising much faster than bank rates.
A Turkish used car dealer said that because of inflation, people could not afford to buy a house and could not invest in property. So they use long-term bank loans to buy cars, and since Turkey's inflation rate is much higher than bank loan interest rates, people can take advantage of this. They believe that by buying a car this way, they will have better returns in the future.
