The Automotive Insights Report for the month of July indicates that the market for used cars is tightening, with rising sales and falling listings leading to a reduced gap between demand and supply.
Listings of used cars experienced a reduction of 5.8% down to 285,133, while sales observed a significant jump of 11.6% to 214,588.
The average days to sell has remained relatively steady at 43.6 days, marginally lower than June and the lowest in the past 12 months.
Tasmania was the only state to experience a slight increase in used cars listed for sale, while the Northern Territory stands out as the only state observing slower demand, with a significant decline of 15.6% in sales. However, this reduction in supply should be considered in the context of the trend which saw increases in supply experienced during the first half of the year.
A notable trend that has emerged since the start of this year is the greater proportion of cars being listed privately compared to Dealer listings. Private listings reached a high of 69.1% this month. However, dealer sales have remained steady at around 40% which suggests Dealers are pricing their stock to sell.
Petrol and diesel cars accounted for 95% of used cars sold, with hybrid sales increasing by 12.3% this month. Meanwhile, the supply of EVs saw the most significant decline, down 16.1% even as demand increased by 12.2%.
Retained values remain on a downward trajectory. Small passenger vehicles have once again demonstrated the strongest value retention, with the Toyota Corolla and Toyota Yaris being at the top with 97.6% for the 2-4 year old category and 96.7% for the 5-7 year old category, respectively. The Suzuki Jimny continues to lead in value retention within the SUV segment, topping both the 2-4 year old category (115.6%) and the 5-7 year old category (115.8%).
HIGHLIGHTS FROM THE AIR FOR JULY
- 214,588 vehicles were sold, an increase of 11.6% compared to the previous month.
- Tasmania was the only state to experience an increase in the supply of used cars, rising by 0.3%, while the Northern Territory was the only state to see a decline in demand, falling by 15.6%.
- 285,133 used cars were listed for sale in July, a drop of 5.8% from the previous month.
- Sales in Victoria rebounded to take the top position (14.1%), while ACT (+1.4%) and NT (-15.6%) were weakest in terms of sales.
- Average time to sell a used car is 43.6 days, the lowest it has been over the past 12 months.
- Retained values continue their gradual decline with passenger vehicles holding their value best in the 2-4 year age bracket (82.1%) as well as for the older 5-7 year category (68.1%).
- The Ford Ranger remains Australia’s best-selling used car, followed by the Toyota Hilux.
Dealers seeking more granular and local data can contact AutoGrab directly for a tailored solution.
If you are a Dealer of a contributing brand and would like access to the monthly report please email Policy and Communications Officer Urmika Deb on udeb@aada.asn.au.
