Superstorm Sandy could impact Ariz. used car market - | KTBC Fox 7 | News, Weather, Sports

Superstorm Sandy could impact Ariz. used car market


Superstorm Sandy is now blamed for 90 deaths in the northeast.  Nearly five million homes and businesses are still without power.

After being stopped in their tracks for three days, subway trains are once again rolling across most of New York City.  Buses are also transporting passengers.

But here in Arizona, the storm's impact might be felt over the next several months in the used car market.

Cars damaged by floodwaters are expected to be sent to other states around the country to be sold as-is or for their parts.  At the same time, used cars in good condition could be sent from Arizona and other states to the east coast to meet demand. 

With the super mess Sandy has made of neighborhoods -- flooding homes and businesses -- thousands of vehicles were rendered useless.  Could some of those soggy sedans make their way into the market and onto a lot near you?

"If it gets into the carpet, you're going to get mold and mildew.  You'll get corrosion and contamination of water into the wiring harnesses, computers and some of that stuff may not show up for a while," said Matt Allen with Virginia Auto Service.

Allen says you shouldn't really worry about scenes like a fleet of cabs that should be sent to a junkyard shortly -- but you could get some vehicles that were only partially damaged, so you have to be careful and pay attention to detail.

Even if we don't see those cars and their parts making their way out west from the storm damage back east, we could see the used car market impacted almost immediately.

"If I was in the car business, I would have a truck loaded up, headed east with as many cars and I could get on a carrier 'cause there's going to be a couple hundred thousand people trying to buy a car over the next couple of weeks," said Allen.

A spike in used car sales in the east means shortages and higher prices everywhere else.

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