You’ll pay 60 percent more for a 10-year-old car today compared to 2014
Car prices have become outrageous. The average cost of a new car is nearing $50,000, pushing buyers towards the used car market. As a result, used car prices are skyrocketing. This trend isn’t limited to newer used cars; even older used cars have become extremely expensive.
A recent iSeeCars study shows that the average price of a 10-year-old car is now $12,194, compared to $7,583 in 2014—a 60 percent increase. This price hike is in line with a higher market share for older used cars, which is currently at 22.7 percent. In summary, more people are purchasing older cars than ever before, and they’re paying a premium for them.
As you might expect, these changes started with the COVID-19 pandemic. In early 2020, the market share was 15.1 percent, and the average selling price was $9,135. By 2022, the market share had risen to 19.2 percent, and the average price had climbed to $12,549.
“The trend in vehicle prices represents an inescapable tidal wave,” said Karl Brauer, executive analyst at iSeeCars. “When you have new and lightly used car prices spiking, as they have over the past four years, there’s no stopping the wave’s impact on older cars, even for cars produced more than a decade ago.”
Here’s where it gets interesting. While SUVs remain undeniably popular, the study—which analyzed 169 million used cars sold over the past decade—found that sedans, hatchbacks, and wagons were also in high demand. Leading the pack was the Hyundai Sonata, with a staggering 484.3 percent increase in market share among cars 10 years old or older. The Subaru Legacy, Impreza, and Impreza wagon, along with the Mercedes-Benz C-Class, also ranked in the top five. Contrary to some automakers’ claims, it appears many buyers still prefer vehicles that aren’t giant SUVs.
“While not as popular with new car buyers, older sedans, wagons, and hatchbacks are gaining market share in the used car market,” Brauer noted. “Their lower cost, lighter use, and higher fuel efficiency make them an excellent alternative to larger trucks and SUVs that cost more up front and more to fuel and insure.”
