Down since January

Used cars now 1800 euros cheaper on average

After two years, used cars advertised online are finally more affordable.

(Bild: Arthur Kattowitz - stock.adobe.com)

The "pharmacy prices" of used cars during Corona are finally over. Since January, their average price has fallen by around 1800 euros to 26,733 euros, according to the online platform AutoScout24 for the "Krone". Electric vehicles in particular have become significantly more affordable.

"In recent months, we have seen a downward spiral in used car prices. In the first half of the year, they fell by an average of 6.3 percent," summarizes Nikolaus Menches, Head of AutoScout24 Austria. In virtually all categories, car buyers are now getting a better deal than just a short time ago. Even the coveted SUVs have become 4.47 percent or 1617 euros cheaper since January. A transferred small car is now available for an average of €14,632 or €944 less, while the compact class is €19,266 (-€1243), a price reduction of a good 6 percent in each case. Mid-range models cost €23,622 (-€1,201), while the luxury class is priced at €60,826 (-€4019) in the database, which includes around 111,000 cars on offer. 

(Bild: Krone KREATIV)

Two values stand out in particular: Young used cars (registered 1 to 3 years ago) are apparently particularly sought-after and even bucked the trend by increasing slightly by 1.78 percent. On the other hand, e-cars have seen a disproportionately high drop in value. They are now 9.2 percent cheaper than at the beginning of the year, saving almost 4000 euros in one fell swoop. Expert Menches explains why: "Many expensive first-generation e-cars are now coming onto the used market. However, the assumed high residual values are no longer achievable because demand is too low. At the same time, there have been price reductions for new cars, such as Tesla. Dealers have therefore had to heavily discount their stock."

Nikolaus Menches, AutoScout24: "There are discounts again, the market is normalizing."

(Bild: Felix Büchele, Felixfoto)

This is also partly responsible for the general downward trend in car costs, says Menches: "The high interest rates on loans are making financing more expensive for dealers, and the longer a car stays with them, the more expensive it becomes. They therefore have more pressure to sell and are giving discounts again. So the market is normalizing." In fact, the failure of the supply chains for new cars two years ago suddenly drove the level for old cars up from around 25,500 euros to around 28,500 euros. It remained fairly constant there until the end of 2023. There are now plenty of new vehicles available again, so the demand for used cars is easing - and with it the purchase prices for consumers.

When interest rates fall, cars could become more expensive again
So if you are looking for a cheap car, it is currently becoming increasingly cheaper. However, the tide could turn again if interest rates on loans fall again, probably in the fall. Menches: "Then I do expect demand to pick up and the pressure on dealers to sell will ease. That could keep prices on the used market more stable again." The downward trend in acquisition costs would then come to an end.