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Even Used Cars Are Becoming Unaffordable
Autoguide.com • • business
Key Points:
- The availability of late-model used cars under $20,000 has drastically declined, dropping from 49.4% of 3-year-old cars in 2019 to just 11.4% today, with average prices rising over 38%.
- Compact sedans like the Hyundai Elantra, Toyota Camry, and Honda Civic have seen the largest price increases—up to 56%—due to heightened demand from buyers seeking affordable alternatives to SUVs.
- Luxury vehicles such as the Porsche 911 and Mercedes-Benz G-Class have experienced unprecedented price surges of over 70%, driven by limited production and strong demand, a trend dubbed the "Disneyland Rule."
- Despite rising prices, modern cars are more durable than ever, with many well-maintained vehicles easily surpassing 100,000 miles, offering consumers a longer usable lifespan for their purchases.
- The return of abundant sub-$20,000 late-model cars is unlikely, but focusing on brands known for longevity can help buyers maximize value in the current market.
