Years of waiting have left desperate customers paying the price of a new car for 12-year-old used cars as manufacturers struggle to find inventory.
The used car industry is booming, with some cars worth 60 per cent more than three years ago thanks to Covid plant closures and global computer chip shortages.
Australians with reliable small cars, rugged four-wheel drives or fast V8 engines can sell their vehicles for tens of thousands more because customers don’t want to wait months for a brand new vehicle.
The 2010 Holden Commodore SSV is worth $30,500, up about 60 percent from 2019
A 2010 Holden Commodore SSV sporting a six-liter V8 has taken first place for the largest median price increase, Carsales data provided to Daily Mail Australia showed.
The car is now worth over 60 percent more than it was in 2019, with sellers typically asking around $30,500 for the 12-year-old model.
Carsales Editor-in-Chief Mike Sinclair said the Commodores gained collectible status in 2021 after brand owner General Motors ended production of Holden vehicles.
“It’s a car that nobody makes anymore,” he said.
“It’s fun to drive and it’s got a V8 engine, so the Aussies jump on it.”
The 2017 Toyota Corolla Ascent is worth about 40 percent more than the 2019 price tag at $23,500
The 23-year-old 1999 Toyota Landcruiser GXL is now worth $21,500 compared to just $13,500 in 2019.
A brand new Landcruiser GXL costs about $75,000, but customers have to wait 280 days to drive their new car, 22 percent longer than three months ago.
Similarly, the 2008 Toyota Hilux SR is now worth 50 percent more than it was in 2019, with the used model now being worth $22,500 compared to its new counterpart worth about $48,000 with a 150-day waiting period.
Director of Content at Drive James Ward said a key issue driving prices up is that Aussies don’t just want better cars. You want her now.
In 1999, Toyota Landcruiser GXLs saw the second highest price jump between 2019 and 2022 with used cars selling for $21,500
“New car production has ground to a halt and there is a massive backlog of orders,” he said.
“When it is literally impossible to buy the new car you want, the power is in the hands of the used car salesman.
“As soon as state borders opened up, people wanted to get out and go on vacations, so they turned to the good old road trip.
“For that they need an adventure-oriented vehicle with good towing capacity, they have a need and they want it now.”
Mr Ward said the price of Hyundai i30s has also gone through the roof, as models bought for $33,950 in 2017 are now valued at $31,950.
One odd turn in the market that Mr. Ward noted is the dramatic change in demand for electric vehicles that has caused the price of used Tesla Model 3s to rise by $20,000.
People are now paying $85,000 for used Model 3 cars, while buying them new costs $65,500.
“People are looking at the rise in fuel prices and instead of waiting 18 months for a new Tesla, they’re choosing to spend $20,000 more to buy one now,” he said.
‘It’s crazy! You could own a sports car with a V8 engine and drive like crazy for 18 months and still not spend that much money on fuel.
“You will never be able to recoup the additional costs through fuel savings.”
Director of content at Drive James Ward said customers would choose to spend an extra $20,000 to buy used electric vehicles now rather than wait 18 months with inflated fuel prices
He said it’s a similar story with the Toyota Landcruiser GX 70 series, which costs $73,000 new from dealers but sells for $103,000 in used markets.
Other notable price jumps in the Carsales data include the 2017 Ford Mustang GT, which is worth about $13,000 more than in 2019 at $60,990, and the 2017 Toyota Corolla Ascent, which is worth $6,500 more at $23,500.
Mr Sinclair said the long wait for new cars could be attributed to a number of things, the most pressing being a global shortage of computer chips.
The Toyota Landcruiser GX 70 Series sells for $103,000 in used markets, although they are only $73,000 new from dealerships due to long wait lists
“Chip shortages are an ongoing problem in the auto industry, partly because of the pandemic but also because every car is now using more chips,” he said.
“Heated seats need a computer, moving mirrors need a computer, every additional function in the car needs another computer.
“Now that chips are scarce, automakers are just lining up.”
Mr Sinclair added that production companies are running with fewer staff and often more slowly due to international social distancing measures.
Pre-owned Tesla Model 3s are reportedly selling for $20,000 more than new because customers skip long waiting lists
The chart above shows the median value of a range of cars or how much they cost to buy new and what they are selling on the used market
“Cars are made on production lines. So if you have to separate people because of distancing requirements, those employees can’t do as much at one station and fewer cars will be made,” he said.
“Australia no longer makes cars, so we are at the mercy of the vagaries of the world’s rules.”
He added that more Australians have taken to using public transport during the pandemic.
“Due to Covid, Australians decided they wanted to drive again,” he said.
“We add cars to the family fleet, not trade them.
“When the supply of new cars runs out and there aren’t as many cars left, the used car market gets tighter.”
TOP TEN BIGGEST JUMPS FOR USED CARS (BY PERCENTAGE)
1. 2010 Holden Commodore SSV
Average price 2019: $19,000
Average price 2022: $30,940
3. 2016 Holden Calais V
Average price 2019: $30,450
Average price 2022: $47,495
5. 2015 Ford Falcon XR8
Average price 2019: $44,990
Average price 2022: $67,990
7. 2008 Toyota Hilux SR
Average price 2019: $15,000
Average price 2022: $22,500
9. 2003 Toyota Landcruiser Prado GXL
Average price 2019: $11,990
Average price 2022: $16,500
2. 1999 Toyota Landcruiser GXL
Average price 2019: $13,500
Average price 2022: $21,500
4. 2004 Nissan Patrol ST
Average price 2019: $15,990
Average price 2022: $24,500
6. 2018 Mitsubishi Triton GLX
Average price 2019: $23,990
Average price 2022: $35,990
8. 2017 Toyota Corolla Rise
Average price 2019: $16,990
Average price 2022: $23,500
10. 2017 Toyota Yaris Rise
Average price 2019: $14,490
Average price 2022: $19,500
https://www.dailymail.co.uk/news/article-11158767/Second-hand-cars-sale-Australia-sell-did-new.html?ns_mchannel=rss&ns_campaign=1490&ito=1490 Used cars sold in Australia sell for more than new