Used car prices increased by as much as a third over the last four years, it has emerged.
A survey of used car prices by Motorcheck.ie found the greatest increase — 32% (€681) — was for cars that were 10 years old.
The value of a three-year-old car at the end of last year had increased by up to 18% since 2010 — an increase of €2,134.
The price of a five-year-old car increased by 27% — €1,732 more to pay for buyers.
The most popular makes and models of cars were surveyed over a four-year period, including the Audi A4, BMW 3-Series, Ford Mondeo, Opel Astra, Ford Focus, Hyundai Accent, Fiat Punto, Toyota Yaris, and Nissan Micra. The biggest hikes in value were for the Nissan Micra and the Toyota Yaris, according to the sale price survey.
In 2010, a 10-year-old Micra would have cost just over €1,900 and a Yaris €2,600. Last year, a 10-year old Micra was selling for just over €2,800 and a Yaris for €3,600, both increases of around €1,000.
Ten-year-old Audi A4 prices increased from €3,286 to €3,934, the Fiat Punto’s from €1,253 to €1,934, and the Ford Focus from €2,462 to €3,043. The Mondeo increased from €1,955 to €2,335, the Hyundai Accent from €1,579 to €2,088, and the Opel Astra from €2,117 to €2,568, significant gains in value across the board.
Once the new car market collapsed in the wake of the 2008 financial crash, used car values began to increase because of a reduced stock from 2009 onwards.
Motorcheck.ie managing director Michael Rochford said the situation evolved because the sale of new cars dropped and it was the scarcity of good used stock that drove up used car values.
“What’s interesting here is that the firming up of used car values for models from 2009 onwards seems to be having a trickle-down effect to even older models, of which there is a relatively healthy market supply,” said Mr Rochford.
He also warned consumers to beware of unscrupulous traders keen to make as big a profit as possible on badly repaired or clocked cars.
However, with new car sales up 26% on last year, the situation in the second-hand market should begin to stabilise at the end of the year.
Mr Rochford said that people looking for a one-year-old car next year will be offered more choice and better deals.
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