Buying a used car used to be a way of avoiding some of the cost of taking possession of a new vehicle. These days, there are plenty of examples where that’s not the case.
For most of those in the market, buying a car is hard work right now. Popular new cars, particularly SUVs, have huge waiting lists potentially pushing delivery back into late 2023.
Many buyers aren’t prepared to wait that long and are turning to used cars to satisfy their desire for a vehicle.
That has seen prices soar. In many cases, car classified websites are advertising models for far more than what the same model brand new is worth.
In short, the days of grabbing a near-new car to avoid the depreciation that traditionally hit a new vehicle as it was driven out of a dealership are over... for now at least.
Small passenger cars a big deal
Toyota Corollas are the ubiquitous small hatch. A top-spec ZR hybrid will cost $40,500 out of the dealership door.
Expect to pay around $5,000 more if you aren’t prepared to wait up to nine months for one.
A used car with around 10,000km is typically going for $45,000, which indicates both the popularity and supply constraints surrounding the vehicle. Some are even more expensive (and for older, model year 2021 vehicles), so take your time to look around online before committing.