If you're in the market for a new car then you're not alone; new motor vehicles sales hitting record levels.
More than 1.1 million cars were sold in the year to October and it's not just the cheap ones that are rolling off showroom floors.
David McCarthy, Mercedes-Benz Australia public relations manager said the company is enjoying success with record sales.
Source: FCAI
"One of the reasons is that interest rates are at an all time low, wages are quite stable, prices in reality are at a level that haven't been in some time. We're up 16 per cent, we expect this year to do 30,000 units."
It's a trend being seen across the board. The Federal Chamber of Automotive Industries says the total market share of new luxury cars sold has risen from about 7 per cent in 2011 to nearly 10 per cent today.
Super luxury cars from manufacturers like Porsche, Rolls Royce and Maserati are up from point- 2 per cent to half a per cent today.
CommSec chief economist, Craig James said it reflects a comfortable economy.
Source: CommSec
"It confirms that consumer sentiment is in pretty good shape at the moment, and the strength of the job market the strongest annualised gains were seen in seven and a half years. The other thing that is happening at the moment is car affordability is very very good, the best since the 1970s," he said.
Head of dealer sales with Carsguide.com.au Markham Matthews said consumers are getting better deals.
"The cars in Australia are much more better optioned. The cars overseas come as standard come and they option up a lot of things. I think the expectation here in Australia is that when you buy a Mercedes, or a BMW or an Audi you get a lot of these things standard," he said.
Mercedes-Benz's David McCarthy says he's seeing more young people buy compact cars.
"The overwhelming majority of vehicles are financed, whether that's an operating lease, whether that's the old hire purchase scheme or something with a guaranteed future value, that's probably close to 80 per cent," he said.
Markham Matthews said with so many luxury cars financed or on lease there may be opportunities for buyers of used luxury cars down the track.
"In the next two to three years you're going to see a flood of these cars coming back from these three and four year leases so there is going to be some great choice for people that want to spend say between 20 grand and 30 grand on a car that's certainly an upmarket car to what they're used to in the past."
But if you're splurging now, consumer advocate Christopher Zinn says beware of leasing.
"Why are you doing it, is it to get a tax break, is it because it is an employee benefit that you can use or is it something that you think might be a good idea that will end up costing you more than you anticipated."
He adds, to think beyond the alluring exteriors and interiors of such machines.
"I think the main thing you need to watch out for when you buy a luxury car, is the seduction. These things are so shiny and so beautiful it's very easy to lose track of the cost, what the real cost is going to be and the depreciation over time."
