The automotive industry, which was overshadowed by the chip crisis in the pandemic, went through a critical bend last year. According to the data of the Automotive Distributors Association, the increase in second-hand prices in the sector, where 737 thousand 350 units were sold with a decrease of 4.6 percent in 2021, destabilized the market. According to the data of the Motor Vehicle Dealers Federation (MASFED), although the second-hand automotive market closed 2021 at the level of 6 million 15 thousand vehicles with a 7% contraction, it followed a bumpy course. The regulations made by the BRSA in terms of vehicle loan usage this week are expected to bring activity to the second-hand market, which started the year sluggishly.
“There was a 15 percent decline in prices!
Stating that the chip crisis and the rise in foreign exchange prices in the pandemic have shaken the supply-demand balance in the second-hand automotive market and the weight of heavily damaged vehicles continues in the market, expert name Emre Öztürk made the following assessment on the subject: Despite this, sales increased by 78.4 percent to a record level of 814,000. While sales decreased by 24.8 percent in December with the expectation of SCT reduction and decrease in loan interest rates, there was a decrease of up to 15 percent in prices. Although the decline in demand continued in 2022, the weight of heavily damaged vehicles in the market made the TSE certified appraisal service even more critical.
“CAN A FRAME CHANGE BE MADE?”
Emre Öztürk made the following assessment regarding the new updates made by the BRSA in the vehicle loan terms of use:
“The long-awaited update will remove the uncertainty in the market and increase sales in the used automotive market. We have been waiting for the regulations that will decrease the vehicle loan interest rates for a long time. Although the current interest rates are considered reasonable by the market, the long waiting period raises the question of whether a radical change can be made.
1 OF 4 VEHICLES IS HEAVY DAMAGED
Stating that the rising prices of the second hand have brought the entry of loaded vehicles into the market, Öztürk said, “Even vehicles with the status of scrap vehicles were almost sold out for a period. The 1-year new model vehicles, which have been severely damaged as a result of a major accident, are offered for sale as if they were accident-free. These vehicles are refurbished using different parts, re-examined and marketed as accident-free. During the period we are in, one of the 4 vehicles that come to our dealers is registered as severely damaged. The increase in the weight of scrap and heavily damaged vehicles increases the need for certified expertise.
INDICATOR THAT THE FOLLOWING PARTS ARE ACCIDENTAL
Emre Öztürk, who said that expertise companies with deep-rooted experience and high technology power are of great importance especially in the detection of heavily damaged vehicles that are shown as accident-free, said, “Insurance companies can ignore the heavy damage of the vehicles by approaching the issue with a profit-oriented approach. However, the airbag explosions and the parts added later are an indication that the vehicles are heavily damaged. Failure to detect such situations during the sale puts vehicle users in danger financially and morally.” he said.