Market factors drive up prices for used cars

[Bruce Nunnally]

“The largest thing affecting the used-car market is people are holding onto their cars longer,” said Tony Lawrence, an auto-industry specialist with BDO Seidman LLP in Grand Rapids.

Compounding the problem is the fact that automakers cut back sharply on vehicle production.

Short supply means higher prices. According to the car-data site Edmonds.com, a three-year-old vehicle sold in July for an average $19,248, up $1,800, or 10.3 percent more than in July 2009.

Read More: http://www.mlive.com/business/west-michigan/index.ssf/2010/10/fewer_available_vehicles_old_a.html