Independent and FREE - 2021 Best Online Publication

How much did used car prices rise and what’s next

Independent and FREE – 2021 Best Online Publication (Qld Country Press)

How much did used car prices rise and what’s next

[pj-news-ticker]

The rise of the used car: how much did prices soar and what's likely to happen next

Do you have a news tip? Click here to send to our news team.

IN PHOTOS: ‘Fantastic’ Sunshine Coast Marathon

Thousands of serious runners and casual joggers converged for one of the Sunshine Coast's biggest sports events on Sunday, August 13. About 7000 participants signed More

Whole floors empty as use of $23.5m car park revealed

Drivers have been shunning the new paid multi-storey carpark in Mooloolaba, with stark figures revealing a daily occupancy rate of just 13 per cent. Many More

Glory days: ironman icon to lead revival at historic club

An ironman legend has been tasked with leading the revival of surf sports at a historic and once-dominant club. Former Coolangatta Gold winner Rhys Drury More

What residents love most about the Coast, and our greatest needs

Sunshine Coast residents love the easy access to nature in our region but are concerned about traffic congestion and housing affordability, a survey of More

The message in artist’s murals that are splashed across the Coast

A Bli-Bli artist whose murals are splashed throughout the region is being recognised for her contribution to community and advocacy for protecting the environment. Claire Matthews, More

‘Brickville’ was transformed into a bustling Coast suburb

It has a less than grandiose ring to it, but 'Brickville' almost became the name of a Sunshine Coast suburb. The name was abandoned, not More

Experts have revealed how much used car prices have jumped in Australia and what will happen next.

A low inventory and a continued shortage of new vehicles has fueled a surge in interest in “pre-loved” vehicles.

In its latest report, Moody’s Analytics said prices jumped by 21 per cent last year.

This is likely to increase again in 2022, but by a more modest 3.6 per cent before they start to slip back in 2023.

“High used-vehicle prices will be supported by steady demand and a lack of new and used inventory,” the company said.


“With no way to increase the supply of used vehicles, prices will stay high in the near term.”

Among the most in-demand cars were the Mazda 3, BMW 3 Series, Volkswagen Golf and Polo, Toyota Camry and HiLux, Honda Civic, Hyundai i30 and Subaru Outback.

Australia’s new-car market was contained throughout 2021 by slow deliveries as a shortage of semi-conductors cut production across the globe.

Used car prices have surged. Picture: James Ross/AAP

That shortage was expected to ease in the third quarter of this year and as new car production ramps up, used car prices should cool.

“The shortage of new vehicles has occurred alongside a tightening in supplies of used vehicles – drivers are unwilling or unable to trade in their vehicles,” Moody’s Analytics said.

“Combined, these trends have created a perfect storm, manifesting as unprecedented prices.


“Auction inventories, low since mid-2020, eased further in the final months of 2021, ending the year at a record low.

“In short, car owners are sitting tight.”

The report said the local COVID-19 situation was also having an impact on used car prices, which dipped in the third quarter last year amid strict lockdowns in NSW and Victoria.

But when those restrictions were eased, household spending and demand for vehicles rebounded, prompting prices to jump again.