Kiwi used-car prices continue to explode over supply and demand

While NZ Autocar predominantly loves talking about the latest and greatest in motoring, it can be fun to look at the second-hand market every now and again — evidenced by yesterday’s yarn about the price of Nissan Pulsar GTI-Rs.

Now, new figures from Stats NZ show that it’s not just turbocharged homologation specials that are going up in price locally.

According to the data group, prices of used cars in New Zealand have climbed by 8.2 per cent year-to-date during the March 2021 quarter. That may not sound like too much to some, but Stats NZ reports that it’s the biggest jump the sector has seen since 2012.

This means that a second-hand car that may have been advertised for $10,000 in January could now be worth $800 more for the seller.

“There have been many delays with imports of goods into New Zealand,” says Stats NZ senior prices manager Aaron Beck.

“This may have resulted in fewer cars available for sale. […] Also, international travel has been restricted due to the Covid-19 pandemic, which may have boosted demand for used cars as people wanted other ways to spend their money.”

Beck’s reasoning for a boom in interest and price aligns with what some experts have said of the country’s parallel new-car sales trends. February and March’s sales data from the Motor Industry Association cemented each month as the busiest recorded February and March in Kiwi motoring history.

New Zealand’s used car market limped through the Covid-19 pandemic’s peak, battling against a lack of supply and local lockdowns that reduced customer count. But this has been followed in 2021 by a surge in used car stock arriving in New Zealand.

A total of 11,008 used imports were newly registered in New Zealand last month; a 28.5 per cent increase on March 2020’s figures.

The Toyota Aqua hybrid was the most popular import for March, recording 787 registrations. Second and third on the list went to the Mazda Axela (3) and Toyota Prius, with 512 and 491 sales respectively. The Honda Fit, Nissan X-Trail, and Volkswagen Golf were fourth through to sixth on the list.

Stats NZ recorded other recent price rises concerning Kiwi motorists. According to its data, the first quarter of 2021 also saw transport prices increase by 3.9 per cent, and petrol prices increased by 7.2 per cent (although the outright price of fuel is 3.8 per cent lower than it was this time last year).