Used car prices jump 10%, thanks to new-car coronavirus crunch – Roadshow [CNET]
![ram-1500-promo](https://i0.wp.com/cnet2.cbsistatic.com/img/S6DdM7WgLqCXok_8uItVmwC_ap8=/1092x0/2019/06/03/55fd7496-da04-42c7-8907-fe220f60c218/ram-1500-promo.jpg?resize=800%2C0&ssl=1)
But for those moving to the used car market, it’s a tough pill to swallow, too. Data shows used car prices are up a whopping 9.5% from this time last year. In dollars, the percentage increase translates to an average price hike of $2,193. The narrative remains the same, however. As more buyers can’t find a new car they want due to inventory constraints, they’re looking at a comparable used car. Supply and demand shows as more buyers want a used car, prices increase.
There are two segments where used car prices are really punching at buyers’ wallets more: pickup trucks and, surprisingly, convertibles. For those seeking a drop-top automobile in the used market, prices are up 27% from this time last year. Expect to pay over $10,000 more on average for a used convertible compared to this time last year. Yikes. Meanwhile, pickups cost, on average, 14% more, or $4,400.
As an example, the data shows a used Ram 1500 pickup right now on average costs $32,841, an increase of $5,911 from this time last year. And a used Ford Mustang convertible costs $25,435 on average today. That’s up $3,997 from last year. The car that saw the highest price increase year-over-year is actually the BMW 5 Series, which on average rings in at $34,157, up nearly $7,000.
There’s another side to high used car prices, though. It also means those trading in or selling a car are receiving far greater values as demand pushes prices higher. That bodes will for those applying the credit toward a new car, potentially, or perhaps it washes out when purchasing a used car noting higher prices across the board.
Used vehicles with the greatest price increases
Rank | Used vehicle | Average price (Oct. 2020) | Price change from Oct. 2019 | YoY increase |
---|---|---|---|---|
1 | BMW 5 Series | $34,157 | $6,924 | 25.40% |
2 | Ram 1500 | $32,841 | $5,911 | 21.90% |
3 | Ford Mustang coupe | $29,540 | $5,060 | 20.70% |
4 | Dodge Charger | $28,394 | $4,812 | 20.40% |
5 | GMC Sierra 1500 | $38,750 | $6,380 | 19.70% |
6 | Ford Mustang convertible | $25,435 | $3,997 | 18.60% |
7 | Chevrolet Camaro | $28,715 | $4,455 | 18.40% |
8 | Dodge Challenger | $32,409 | $4,786 | 17.30% |
9 | Toyota Tundra | $38,046 | $5,535 | 17% |
10 | Chevrolet Silverado 1500 | $34,245 | $4,876 | 16.60% |
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