Used Car Prices 2022?

Do people anticipate a reduction in used car prices this time next year? Or will they likely remain the stable to what they are now, or possibly increase with lockdown officially over?

Hoping to buy a 3-4 year old car and save a few thousand. Otherwise will just have to go for a new one…

Poll Options

  • 22
    Prices likely to fall
  • 85
    Prices likely to remain similar to now
  • 10
    Prices likely to rise

Comments

  • +1

    Toyota new car production ramping up early in the year, though popular models might have to wait 12+ months before there's no wait time, depending on the world as a whole (Thailand is having issues currently). This is what causes the increase in used car prices.

    Doubt they'll increase, but they'll stay up there.

    What car are you looking at?

    • Corolla.

      I've heard Toyota is cutting production towards the end of this year.

      • +1

        Nope, that's in Thailand. Japan is going overtime to catch up

        Corolla Hybrid would only have around a 4 month wait right now

        • Buy it bog standard white in ascent sports and they would have stock immediately. Just tell the council, government, car rental companies one fell off the boat.

          • @netjock: No…

            • @spackbace: Walked in last Christmas and they were able to find one available immediately. The one I ordered arrived in 2 months rather than 4 months.

              Maybe the council, government and car rental companies are also panic buying.

              • +2

                @netjock: Last Christmas is 10 months ago now… A lot can (and has) changed in 10 months!

                • -1

                  @therog1: People are still stupid. Only thing that changed is COVID variants.

    • This is what causes the increase in used car prices.

      Just stupid people who think they are going to drive around Australia where you can only drive around half and the other half is closed.

  • Isn't there a major Magnesium shortage right now due to China that could affect car production? I wouldn't count on the prices coming down. Buying a new car is fine so long as you are willing to wait up to 6 months to get it.

    • Isn't that impacting only European car manufacturers?

      • Any manufacturers that use aluminium parts but then the semi conductor shortage has been running for 6 months.

  • Just set your expectations lower and buy an even older car

  • Car depreciation is the 3rd guarantee in life behind death and taxes.

    Whats holding it up is the financial pumping/inflation that the RBA is going on (i think inflation was 4.5% last quarter) people are flush with funds after jobkeeper/seeker and the trickling supply from car manufacturers.

    In a way it's kind of genius from the car industry that has been struggling for years to create a surge in demand.
    If they were smart they'd continue this concept, similar to how rolex actually sells hundreds of thousands of watches a year, yet still have an artificially created waitlist by tapering supply.

    • i think inflation was 4.5% last quarter

      But you find all the stuff that is inflating big time it is supply chain related (shipping or under investment in energy extraction, lack of labour) raising interest rates isn't going to solve that.

      Then there is the stupid things that cause inflations. People buying stuff they don't need, over eating, paying big for houses (when population growth is stalled due to closed borders).

  • Increased shipping cost will continue into next year so will impact on the pricing of new vehicles -> roll on effect to used vehicles.

    • Most car manufacturers have long term shipping contracts. They aren't amateurs doing it once a decade.

      The difference between car carriers vs container ships is that it isn't like they can convert it easily to carrying something else. They only do cars or anything that can roll on or roll off. Car carriers would be more worried about having no cars to ship due to supply chain issues.

  • +12

    I've got a Ford 2008 FG XR8 for sale if anyone is interested. It's done 387K Kms for $87K … No rego .. needs new diff bushes and has a little rust. I know what i've got. $123456 … low ballers are ignored.

    • +2

      Bargin I now wot youv got also. Wot is your best cash price r u ok to right a valu of $200 on the transfer stuff to save me sum stamps dudy.

      • I no wat I got brah

    • +2

      Is this still available?

      • Sorry. It's sold. I got a lot more than I expected although it was worth $8K in late 2019. Thanks for your interest :P

        • +10

          Is this still available?

        • +3

          Would you swap for a barbie doll and an Xbox controller?

        • What is your best price

  • Give you $10k cash Bruh, I'll pick it up in an hour.

    • Sorry it's sold cuz

  • Think will be level for next year, prices are nuts. Manufactures will artificially constrain supply for that fat margin.

    Both my cars appreciated in value, its silly. Dealers are jacking up prices , eg
    https://www.carsales.com.au/cars/details/2021-subaru-wrx-sti...
    https://www.carsales.com.au/cars/details/2021-subaru-wrx-sti...

    • No they wont. Someone will blink.

      Would anyone pay $80k+ for a sti? Doubt it. I am happy to get rid of my 2017 if that is the market rate.

      Asking and actual transaction price are two different things.

  • I think for small secondhand cars the price driver has been people reluctant to use public transport, coupled with diminished new car availability.
    I anticipate this will slowly resolve itself over the next 12 months, as traffic coming back and rising fuel prices will push people onto trains/buses if they see it is safe to do so. Car makers look like they are getting over the production line interruptions, and I can’t imagine the chip shortage getting worse from here.

    Utes and 4WD will take a bit longer, I think, as people bought them for local holidays/travel, and I reckon it will take a while for international travel to get back up to speed.

    In a couple of years, there will be a glut of 4WD and utes, as people have done the travel they wanted, and get sick of the fuel prices.

    • +1

      In a couple of years, there will be a glut of 4WD and utes

      People will be taking off the plates, filing down the VIN / serial numbers and driving them into rivers and lakes. But then stupid is, stupid does.

      • Lol. Maybe just secondhand ones back to selling for less than new!

  • Are you buying next year? Or trying to decide wether to bring it forward? There is no crystal ball, but I think used car prices are unlikely to change much until well after supply of new is better.

    Either buy now or take the chance. If new car prices rise you’ll pay extra or used car will be the same as now. Either way, whatever you buy will be worth 20-40% less in 12months.

    • Yeah plan on buying around this time next year.

      As of now, the price of a car that's 2-3 years old is too close to the price of a new one so will wait and out and see whether it changes at all otherwise going new.

      • Probably best you shut your eyes for now and start the process when it’s time to buy.

        Only thing you need to consider with new is delivery time. Ie if you want a new car in the first half of next year, you might need to order it now. If you are buying used, you get it immediately

  • Considering theres 12 mths waiting lists on certain cars, I'd say no chance in dropping… Toyota dealers offering 10k's more than people paid for 200 series and others… computer says no.

    Bloke i bought this place from ordered a Triton in Feb from memory- its due date now pushed out until Feb next yr.. he cancelled and bought a used ute

  • Buying a car about 2-3 years old with 50k’s or less on the clock is still the next best thing to a new car and a better investment, for want of a better word. The percentage loss over time is massively better than a new car but you still get most of the new mod cons and some new car warranty which you can milk. I even got a new set of tyres from the tyre manufacturer on my last purchase. When you get close to 100k’s rinse and repeat or if you like it drive it into the ground as a second car.

    • +3

      Buying a car about 2-3 years old with 50k’s or less on the clock is still the next best thing to a new car and a better investment, for want of a better word

      2yrs ago this advice would ring true, but not currently. Factoring in stamp duty, 2yo, in-demand cars are within close proximity to new car prices, but with less warranty, cps etc

      Eg - $25,990 driveaway for the cheapest 2019 Corolla sold by a dealer, with moderate kms in OP's state.

      That car is about $29k drive away for a new one with 12 months rego

      $4k for 2 years of ownership, kms, servicing etc? Not to mention its about to be 3yo for a $4k difference

      • I mathed wrong. That's a $3k difference

  • Just sold a QLD 2 previous owner high spec Jeep Wrangler privately via Gumtree with 100k kms for $33k to a dealer. I paid $26k for it just over a year ago. Car has been shipped to another state and is currently listed for $48k. Not sustainable and prices have to come down ……….

    • …like house prices?

      • I hear by vote all cars are now appreciating assets due to the limited number of cars available. First-car buyer woes soon to be seen in newspapers across australia.

  • There are always excuses, too much rain, not enough rain. Next year, people will want to travel, not drive, so cars will rise in effort to retain profit

    • But then they won’t sell, so there will be plenty of discounting.

  • +1

    Mate works in one of the Toyota and Kia dealerships and mentioned the supply of new cars of all major brands will be back to normal by Christmas this year as most major car brands have resolved Production shortages

    • +1

      Your mate's an idiot… It won't be 'normal' in that timeframe, certain cars will still have wait times. Wait times aren't 'normal'

  • New Isuzu MUX LST is $64k, I don't know the wait time. You can get a 4-5 year old one for $45k-$55k. That's still a potential $20k difference, not as pronounced drop in price for used as historically but still $20k. Some manufacturers such as Isuzu appear to be price jacking. Thoughts?

    • +1

      Totally different models

  • Bundling my car with an Aorus Elite 3060 ti on carsales

  • Merged from When Will Used Cars Drop Prices?

    Hi everyone,

    Just wondering when will used cars drop prices, looking to buy a 4WD, but all the used car prices are inflated.

    What do you guys think?

    Thanks

    • +6

      29/02/2024 according to my complex algorithm

      • Yeah i think 2 years sound about right

    • +1

      Yes.

      It won't happen overnight but it will happen.

    • When ship loads of new cars hit Australia on a regular basis, could be 2 years or even more.

    • +3

      There has to be a deal on crystal balls coming soon. Maybe about the same time…

    • When electric cars become mainstream.

    • Transitory vs structural inflation. Everybody is trying to work out what we are experiencing currently.

      Chip shortages are leading to new car lead times ballooning out. Therefore increasing demand for used cars

      Printing money is forcing increases in asset prices.

      Could be a fair chance that this is the new normal IMO.

    • Mate told me about this a couple of weeks ago there's thousands of new cars built but can't be released from the factory as they have no chips. .
      Once the chips come in they'll be banging them out as the cars already built. I wonder how they're going to go with VIN plate dates for next year when built this year technically?

      https://www.thedrive.com/news/40458/thousands-of-unfinished-...

      • Pretty amazing.

        I read an article last week that some manufacturers are still selling their cars to customers, however due to the chip shortage they lack certain things on them & customers will need to return to the dealership at a later stage when the chips are available again to get whatever is missing installed.

    • What do you guys think?

      Sometimes its what I'm having for dinner tonight.
      Other times it might be how to solve a problem at work.
      Then again there's times I think about my beautiful wife.
      Or what to buy her for Christmas, birthdays etc.
      I think about lots of things at different times.

    • I reckon there's a fairly good chance prices will drop significantly sometime between now and the end of time, just keep an eye on prices and have your deposit ready.

    • My crystal ball says 4 yrs.

    • Maybe tomorrow or the day after. Or the day after that. It'll go down one day!

      • The day after I buy a car, pretty sure

  • If you want one now you need to buy now and pay the going rate. Otherwise, hang onto your cash. Don’t expect prices to drop any time soon.

    • I will await mate, all 4wds seem to be very popular atm, sold so quickly

      • There are some stupid prices out there right now, but I don’t think prices will be going down much for a long time to come. 4wd has boomed in popularity.

    • Honestly its looking more and more like a new one.

      Seems like used car prices have actually elevated slightly in the past month, as opposed to stabilizing.

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