CarMax reports rise in used car sales

CarMax reports rise in used car salesThe used car dealership chain CarMax recently announced that its third-quarter net income for this year rose by 10 percent, indicating increased demand for used vehicles. The chain, which operates more than 100 dealerships nationwide, said its gross revenue rose 23 percent, and that sales at stores that have been open a minimum of 12 months increased a full 16 percent, according to the Associated Press.

A number of factors are driving the increased profits and sales experienced by the auto dealership chain. Higher demand for used vehicles among drivers is a large component of the growth, along with cost-cutting measures undertaken by the company.

The news provider reports that increased access to credit for consumers with bad credit history is driving part of the increased demand. The prevalence of these bad credit car loans has allowed consumers with problematic credit histories to attain financing for a new vehicle.

The company's average selling price rose about 2 percent during the third quarter, according to the news source. Drivers who wish to purchase a used car may want to fill out a car loan application before prices rise further.