Dollar Stretched Thin on Used Models
Pandemic pressures have forced used-car buyers to get older and older vehicles.
The average used-vehicle price across all ages jumped 33% from 2019 to 2023 to just over $27,000.
IMAGE: Pixabay/Raten Kauf
Many car shoppers are being forced to buy older and older models to stretch their dollars, according to a new data analysis.
Continued high new-vehicle prices, high interest rates, and inflation have combined to push up the average age of sold used vehicles from 4.8 years in 2019, the last full year before the pandemic, to 6.1 years this year, said iSeeCars, an online researcher and auto search engine.
The average price across all ages, meanwhile, jumped 33% in that period to just over $27,000, the site said.
With $23,000 to spend on a used car, a buyer could pick up a 3-year-old model in 2019 but today couldn’t afford an average 6-year-old car today, it said.
The site blamed the reduced new-vehicle production between 2020 and 2022 that led to limited supply of both new and used cars, especially those between 1 and 3 years old.
“With 28 percent fewer 1- to 3-year-old used cars today compared to 2019, today’s buyers have to shop 6-year-old – or older – cars to find a comparably priced vehicle,” said Executive Analyst Karl Brauer.
DIG DEEPER: CPO Sales' Climb Steady
Originally posted on Auto Dealer Today
More Showroom
New-Vehicle Prices Stay Put
Affordability pressures and model availability shaped new-vehicle sales in September, according to an analysis by Kelley Blue Book.
Read More →
EV Buyer Consideration Shifts
What drives American consumers to purchase an electric vehicle is shifting as the question moves away from Should I?' to 'Which features and experience do I want to have?'
Read More →
Year-to-Date Auto Sales Holding Their Own
A forecast through August shows that automakers have shifted strategies to keep deliveries and revenues up despite tariffs and other economic challenges.
Read More →
Slow to Robo
Ten years of polling consumers shows autonomous vehicles’ profiles have risen considerably, but even more people now want at least some level of control if they go that route.
Read More →
Dealers a Little Down
A third-quarter Cox Automotive survey finds them in a mixed mood, bummed by fallen customer traffic but encouraged by better profits, costs and EV interest.
Read More →
European EV Sales Skyrocket
The EV market on the continent held strong in July with almost 25% of new-car sales being fully electric units, a stark contrast to the U.S., where EV sales declined about 42%.
Read More →
Mitsubishi Unveils U.S. Plan
The automaker announced a strategy that includes an expanded lineup and dealership presence, along with more ‘rugged’ and electric models.
Read More →
Used Lots Getting the Business
Many consumers are seeking out the units to save money, and the demand – higher in July than normal – is keeping supply limited and prices up.
Read More →
Used Market Stabilizes
The Carfax Used Car Index noted a major drop in used-vehicle price increases in July after several months of hikes.
Read More →
California Hybrids Reach State Record
The Golden State still leads the country in electric-vehicle registrations, but much like the rest of the U.S. its hybrid market share is up while full electrics stabilize after a dramatic first-quarter dip.
Read More →