Used Car Market Stabilises as Dealers Play a Greater Role

The Australian Automotive Dealer Association (AADA), in partnership with AutoGrab, has released the Annual 2025 Automotive Insights Report (AIR), providing a comprehensive overview of Australia’s used car market over the past calendar year.

National used car sales totalled 2.32 million vehicles in 2025, down 0.37 per cent compared to 2024, highlighting a broadly stable market year on year. After several years of disruption, the used car market settled into a more sustainable operating environment in 2025, with conditions improving for both buyers and sellers and less extreme movement in prices and stock availability.

A notable shift during the year was the growing share of dealer-led transactions. Dealer sales accounted for 48.6 per cent of the used car market in 2025, up from 39.1 per cent in 2024, reflecting stronger consumer confidence in the dealer channel and improved availability of dealer stock.

“The increase in dealer market share reflects growing consumer confidence in what purchasing through a dealer provides,” said AADA CEO James Voortman. “Dealers are playing a more prominent role as consumers seek greater certainty around pricing, vehicle quality and after-sales support in a more balanced market environment.”

Vehicle preferences continued to evolve throughout 2025, with SUVs further strengthening their dominance of the used car market, while passenger vehicles continued to lose share. At the same time, electrified vehicles including hybrids, electric vehicles and plug-in hybrid electric vehicles continued to grow their presence in market share.

“The Annual 2025 Automotive Insights Report confirms the used car market has moved beyond the distortions of recent years and into a more stable, sustainable phase. What we’re seeing now is a structurally healthier market, where disciplined pricing, better stock availability and data-led decision-making are once again central to dealer performance,” said AutoGrab COO Saxon Odgers. “With supply chains normalising and transparency improving, the 2025 results provide a constructive foundation for 2026. Dealers and OEMs now have a clearer line of sight to pricing, risk and inventory planning than at any point in the last five years.”

Key insights from the Annual 2025 Automotive Insights Report include:

  • Stable annual sales: National used car sales declined by just 0.37 per cent compared to 2024.
  • Dealer share rises: Dealer transactions increased to 48.6 per cent of total sales, up from 39.1 per cent in 2024.
  • Electrification gains ground: Hybrid, EV and PHEV vehicles all increased their share of the used car market.

EV Purchase Intentions Steady

Over the past 3 years, Australian’s intentions to purchase an electric vehicle has flatlined despite new EV brands coming into the market at cheaper prices with declines found in regional Australia.

The Australian Automotive Dealer Association (AADA) has surveyed Australian drivers annually since 2022 to understand their intention to purchase an EV, helping new car dealers respond to changing consumer demand.

The latest survey shows that, despite three consecutive years of growth in the overall new car market, intention to purchase an electric vehicle as a main car has remained unchanged. This is despite the entry of new EV brands at lower price points and the introduction of government incentives designed to accelerate EV uptake.

The consumer survey also found that there has been a national decline in intention to purchase an electric vehicle in regional and rural Australia. This is a significant finding backing up direct evidence from new car dealers of the reluctance of regional drivers to make the transition to electric vehicles.

“Our members are committed to supporting Australia’s transition to lower-emissions vehicles and want to meet Australian driver’s needs,” said AADA CEO James Voortman. “However new car dealers are not yet seeing a significant increase in the number of consumers intending to purchase an EV at the scale required.”

In 2025 the Government released the Climate Change Authority’s modelling for Australia to meet its 2035 emissions targets. A significant part of that modelling was the reliance of Australians buying electric vehicles, with 50 per cent of all new car sales every year to 2035 needing to be electric. Based upon the results from the fourth edition of this survey, this will be challenging.

However, there are positive indicators where there is an increase in consumers’ intention to purchase a hybrid or plug in hybrid electric vehicle which is also demonstrated in recent sales data.

“What we are seeing is the automotive transition is happening but at the pace of the consumers choosing,” said Mr Voortman.

December 2025 AIR

The Australian Automotive Dealer Association (AADA), in partnership with AutoGrab, has released the December 2025 Automotive Insights Report (AIR), providing a national snapshot of used car sales and listings.

The latest figures show further softening in the used car market to close out the year, with December recording the lowest monthly sales result since January 2025, alongside the lowest level of active listings for the year. At the same time, vehicles are taking longer to sell, reinforcing the gradual cooling that has emerged over recent months.

National used car sales fell to 171,837 vehicles, down 11.1 per cent from November, while total active listings declined 1.7 per cent to 308,315, marking the lowest listing volume recorded in 2025.

“December capped off a year where momentum in the used car market steadily eased, with listings falling to their lowest point of 2025,” said AADA CEO James Voortman.

“Longer days to sell are now a clear trend, reflecting more price sensitivity among buyers and a more balanced market environment compared to the heightened conditions of recent years,” he said.

Despite the overall slowdown, alternative powertrains continued to gain ground. Hybrid vehicles, electric vehicles and plug-in hybrid electric vehicles all increased their share of the used car market compared to December 2024, highlighting ongoing consumer interest in lower-emission options, even as total sales volumes declined.

Key insights from the December 2025 AIR include:

  • Sales decrease: National used car sales fell to 171,837 vehicles, the lowest monthly result since January 2025.
  • Listings tighten: Total listings for the month declined to 308,315, the lowest level recorded since August 2024.
  • Slower turnover: Average days to sell rose to 47.0 days, increasing for the third month in a row.
  • Broad-based decline: Sales eased across all states and major vehicle segments, consistent with a softer end-of-year market.

View the full December 2025 AIR below.

The AADA and AutoGrab will release the ‘2025 Year That Was’ Automotive Insights Report in the coming weeks, providing a comprehensive overview of used car market trends across the full calendar year.

November 2025 AIR

The Australian Automotive Dealer Association (AADA), in partnership with AutoGrab, has released the November 2025 Automotive Insights Report (AIR). The report provides a national snapshot of used car sales and listings, with the figures revealing a broad softening across the used car market as both sales and listings decline.

National used car sales fell to 193,266 vehicles, down 6.4 per cent from October, while total active listings eased 3.5 per cent to 313,781. The slowdown was consistent across all major states and segments, signalling a cooling phase following a long period of heightened activity.

“November saw a clear softening across the board, with fewer buyers active in the market and a gradual reduction in stock levels,” said AADA CEO James Voortman.

“This softer activity is something many dealers will recognise on the ground, fewer leads, longer days to sell, and a shift toward more deliberate consumer purchasing behaviour,” he said.

Key insights from the November 2025 AIR include:

  • Sales soften: National used car sales declined 6.4 per cent to 193,266 vehicles, with decreases across every state and territory.
  • Market cooling: Average days to sell increased to 46.7 days, indicating slower turnover.
  • Listings ease: Total used car listings dropped 3.5 per cent to 313,781, with most states showing reduced supply.
  • Fuel types ease evenly: Sales across all fuel types declined at a broadly similar rate, reflecting the overall softening in the market.
  • SUVs remain strong: SUVs accounted for over 43 per cent of all used car sales despite month-on-month declines.

View the full November 2025 AIR below.


DOWNLOAD NOVEMBER 2025 AIR

New Vehicle Sales October 2025

New vehicle sales in October 2025 recorded a 0.69 per cent increase on the same month last year, continuing a trend of steady market performance. 100,658 new vehicles were delivered across the country in October.

Year-to-date, sales reached 1,039,618, up 0.36 per cent on 2024.

Market segment data shows SUVs remain the dominant preference for Australian motorists, representing 60 per cent of total sales year-to-date. Passenger vehicles accounted for 22 per cent, with light commercials at 14 per cent and heavy commercials at 4 per cent.

Electrified vehicle uptake continues to build, supported by growing model availability and consumer interest. Hybrids account for 16 per cent of sales YTD, with 8 per cent battery electric vehicles and 4 per cent plug-in hybrids.

The top-selling brands year-to-date were led by Toyota, retaining strong leadership with 201,535 units and 19.39 per cent market share. The Ford Ranger remains Australia’s highest selling model with 46,452 sales YTD.

The AADA has assessed VFACTs and EVC Top 10 Makes & Models YTD, ranking them by volume. The AADA has also analysed new vehicle sales figures by state for the month of October, as well as fuel types and market segments.

September 2025 AIR

The Australian Automotive Dealer Association (AADA), in partnership with AutoGrab, has released the September 2025 Automotive Insights Report (AIR). The report is a national snapshot of used car sales and listings for the month of September, with 200,916 vehicles sold during the month.

AADA CEO James Voortman said price pressures in the new EV market are clearly flowing through to used cars with challenges remaining regarding vehicle depreciation.

“Used EV prices have dropped faster than the rest of the market, which isn’t surprising given the big discounts now being offered on new models,” he said.

“We’re seeing those price cuts flow through to the second-hand market, so buyers are getting better value but sellers are facing steeper depreciation.”

“Higher depreciation doesn’t just impact private owners, it flows through to trade-in values, dealer margins and fleet replacement costs, all of which shape how quickly EV adoption grows,” said Mr Voortman.

September’s results show the used car market holding steady, with total sales edging slightly lower but vehicles selling faster than at any point this year. Average days to sell fell again, indicating sustained buyer activity despite overall volumes easing.

Key insights from September include:

  • Sales ease slightly: National used car sales totalled 200,916, down 1.3 per cent month-on-month. NSW and the NT bucked the trend, recording increases in sales activity.
  • Vehicles selling faster: The average days to sell fell to 42.4 days, down from 43.9 in August – the lowest figure of 2025 so far and continuing the steady decline from March’s high of 51.3 days.
  • Dealer activity steady: Dealers accounted for 53.1 per cent of all sales and 59.8 per cent of listings, showing stable participation despite a marginal dip in total active listings to 338,090.
  • EV momentum returns: Used EV sales rose 8.9 per cent to 2,995 vehicles, reversing last month’s fall.

“The used car market continues to show resilience. Even with overall volumes softening, vehicles are turning over faster, which highlights strong underlying demand for well-priced stock. Dealers are maintaining solid inventory levels and adapting quickly to changing consumer preferences,” said Mr Voortman.

New Vehicle Sales September 2025

New vehicle sales in September were strong, with a 7 per cent increase on last year’s results at 106,891 vehicles sold. Chinese made vehicles continue to dominate the headlines, becoming the second-largest importer this month. Chinese manufactured vehicles also represent over 70 per cent of all EV sales this year, underscoring how much of Australia’s electric car uptake is being driven by China.

Other highlights include:

  • NSW led the nation with 32,957 sales, followed by VIC (28,038) and QLD (22,789).
  • Toyota remains on top, with 181,809 vehicles sold YTD and a 19.36 per cent market share.
  • Petrol vehicles continue to lead with 39 per cent of sales YTD, followed by diesel (33 per cent), hybrids (16 per cent), and BEVs (8 per cent).
  • SUVs dominate the market mix, accounting for 60 per cent of all sales YTD.

The AADA has assessed VFACTs and EVC Top 10 Makes & Models YTD, ranking them by volume. The AADA has also analysed new vehicle sales figures by state for the month of September, as well as fuel types and market segments.

August 2025 AIR

The Australian Automotive Dealer Association (AADA), in partnership with AutoGrab, have released the August 2025 Automotive Insights Report (AIR), offering a national snapshot of used car sales and listings across both dealer and private transactions.

This month’s results show the market cooling slightly after July, with total sales dipping lower, however dealer inventory remaining firm, and average days to sell continuing a steady decline. The EV segment remains volatile, with sales falling in August, coinciding with a sharp drop in listings.

Key insights from August include:

  • Sales ease further: National used car sales fell to 203,480 in August, down 1.3 per cent month-on-month. VIC, TAS and ACT were the states holding strong recording slight increases in sales.
  • Days to sell continue downward trend: Average days to sell improved again, falling to 43.9 days in August from 44.6 in July. This marks the fifth consecutive monthly decline since March’s peak of 51.3 days.
  • Dealer inventory remains strong: Dealers accounted for 46.1 per cent of sales and 58.9 per cent of listings. Total active listings rose slightly to 339,932, the second-highest level of 2025.
  • EVs remain a small, volatile market: EV sales fell 9.8 per cent in August to 2,750, representing just 1.35 per cent of all used car sales. Listings of used EVs dropped sharply, showing fluctuating consumer demand even as more models enter the market.

“Used car activity has softened in line with seasonal patterns, but what’s notable is the continued reduction in average days to sell,” said AADA CEO James Voortman.

“This reflects strong consumer demand when vehicles are priced competitively. At the same time, the EV market is proving unpredictable, sales remain a very small share overall and continue to move up and down month-to-month,” he said.

“For consumers, the combination of softening values and more choice in the market means better buying opportunities. Dealers, meanwhile, will be focused on managing turnover and stock levels in a more competitive environment,” said Mr Voortman.

July 2025 AIR

The Australian Automotive Dealer Association (AADA), in partnership with AutoGrab, have released the July 2025 Automotive Insights Report (AIR), offering comprehensive national reporting of used car sales covering both dealer and private transactions. This national, all-channel view helps industry and policy-makers understand real demand, track emerging trends, and make better-informed decisions.

The results from the July AIR shows a slight slowdown in used vehicle sales activity following June’s end-of-financial-year peak, alongside continued softening in retained values across most segments.

Key insights from July include:

  • Sales ease after EOFY surge: National used car sales fell to 206,216 in July, down 2.8 per cent month-on-month. WA, TAS, ACT and NT recorded modest increases, while all other states saw declines.
  • Dealer inventory remains strong: Dealers accounted for 47.5 per cent of sales and 55.5 per cent of listings. Total active listings rose 2.9 per cent to 339,742 nationally, the highest level so far in 2025.
  • Hybrid and EV sales slow: Hybrid sales fell 8.5 per cent month-on-month, while EVs dropped 20.3 per cent. However, hybrid listings increased 13.6 per cent and EV listings rose 4.9 per cent, indicating ongoing supply growth in these segments.
  • Days to sell dropped: Average days to sell across all used vehicles fell to 44.6 days in July, down from 47.0 in June, indicating a quicker turnover for vehicles that matched buyer demand.

“July often sees a cooling in sales activity after EOFY, so these results are in line with seasonal patterns,” said AADA CEO James Voortman.

“Stock levels are building, which is positive for consumer choice, but the ongoing softening in retained values is something dealers will be factoring into pricing and margins,” he said.

“For consumers, the easing in retained values means there’s more opportunity to secure a better deal on a used vehicle than we’ve seen in recent years. With more stock on the market and prices softening across most segments, buyers have greater bargaining power and more choice to find the right car at the right price.” said Mr Voortman.

New Vehicle Sales July 2025

Australia’s new vehicle market recorded 104,244 sales in July, up 2.02 per cent compared to the same month in 2024. While year-to-date sales are down slightly by 0.94 per cent, the July figures highlight continued resilience in the market.

➡️ NSW led the way with over 31,000 sales, followed by VIC and QLD.
➡️ Toyota remains the market leader, with 142,700 vehicles sold YTD, holding a 19.59 per cent market share.
➡️ Petrol continues to dominate (40 per cent), while diesel holds a 33 per cent share.
➡️ Battery electric vehicles (BEVs) account for 8 per cent of sales YTD. Hybrids are tracking slightly higher at 15 per cent.

The AADA has assessed VFACTS and the EVC Top 10 Makes & Models YTD, analysing trends across fuel types, segments, and states.