How used car sales are booming in Australia

Used car sales are up for the first half of 2024 compared to the same time in 2023, with private sellers leading the way over dealers.

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Data compiled by AutoGrab and published by the Australian Automotive Dealer Association (AADA) shows 1,112,580 used cars have been sold so far this year, up significantly from 953,985 sales in the first half of 2023.

Inventory – unique used car listings since the beginning of the year – has increased by nearly 25 per cent to 1,211,484, which the AADA attributes to "record-high new car sales" accompanied by demand growth of 16 per cent.

Used car prices have also dropped across Australia by eight per cent, while market share for private sellers has risen to 67.5 per cent (817,751 listings) from 59.9 per cent (576,531 listings) in mid-2023.

How used car sales are booming in Australia

The report follows a strong month for used car sales in June, when 192,266 used cars were sold. That figure beat the record set in May, which was the highest figure since the Automotive Insights Report (AIR) debuted at the end of 2023.

Available used car listings have been increasing steadily since the end of last year.

Petrol and diesel cars continue to hold 64.5 per cent and 30.8 per cent of the market respectively, driving used car growth as the number of listings for both increased by around 22 per cent on the same time last year.

Hybrid listings make up 3.7 per cent of the market for an 88.5 per cent increase, while electric vehicle (EV) listings are up 75 per cent to 0.8 per cent share.

The biggest increase in market share belonged to plug-in hybrids (PHEVs), which have increased by 131.7 per cent… off a low base. They still only make up 0.1 per cent of used car listings.

How used car sales are booming in Australia

LPG listings dipped by 24.3 per cent, and hold 0.1 per cent of the market share.

Market share for private sellers has jumped from 59.9 per cent to 67.5 per cent, well clear of the share for dealer listings at 32.5 per cent.

It's a similar story for used car sales, though hybrid market sales are up 79.5 per cent to 44,010. Petrol and diesel cars still hold 64 per cent and 31.4 per cent of the market share respectively, dominating sales figures with 712,047 and 626,035 each. They're up 13.7 per cent and 17.2 per cent on 2023.

Used EV sales have increased by 82.4 per cent, now holding 0.8 per cent of the market share. PHEV sales have also increased by 112.9 per cent, though their market share is only 0.08 per cent with 890 sales.

Like in available listings, LPG cars have declined by 32.6 per cent. More used LPG cars have been sold than PHEVs so far this year, with 1396 sales for the niche technology.

How used car sales are booming in Australia

Private sellers make up a larger percentage of used car sales at 63.5 per cent, and are still ahead of dealers at 36.5 per cent.

AutoGrab data found private sellers take 13 fewer days to sell compared to dealers, while the average time for a dealer to sell a vehicle remained at 50 days from 2023.

The percentage of dealer listings that have had at least one price drop before sales has increased to an average of 38 per cent so far this year, up from 27 per cent last year.

Prices have also dropped for EVs and hybrids, with one-year-old variants down 13.2 per cent as of June 2024 compared to last year. Despite that, one-year-old hybrids still command a 3.5 per cent higher sale price compare to their original retail price.

The Ford Ranger and Toyota HiLux remain the two best-selling used car models, followed by the Toyota Corolla. Leading the way for SUV models is the Toyota LandCruiser, which is the 11th best selling car so far this year.