How prices for used cars have changed (infographic)

By the end of 2022, the absolute majority of used cars sold on the Internet during this period cost less than $10,000 — 73.4% of such cars. This is stated in a study by experts of the Institute of Auto Market Research.

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73% of cars on the market cost less than $10 thousand

By the end of 2022, the absolute majority of used cars sold on the Internet during this period cost less than $10,000 — 73.4% of such cars. The largest amount was offered in the price ranges of $4-5 thousand (9.5%) and $1-2 thousand (9%).

The number of ads after the price tag of $20,000 is significantly reduced; in total, used cars for sale in the price range from $20,000 to $50,000 amounted to only 7.2%. Cars worth more than $50,000: 1.2%.

Such a situation in the automobile market is primarily a consequence of the low purchasing power of Ukrainians. Due to low incomes, against the background of the lack of available financing programs – lending or leasing – Ukrainians have to buy used cars, in most cases – for cash. At the same time, Ukrainians preferred cars of such value even before the start of a full-scale war.

Read also: Car market in Ukraine: in 2022, Ukrainians bought almost 38 thousand cars. Toyota is in the lead. The price collapse did not happen

The average price of a used passenger car for sale in 2022 was $5,700. Since the beginning of the year, this indicator has decreased: back in January, the average cost of a car was $6,000, and in December – $5,200. This indicator turned out to be a record low over the past 12 months. Since it happened historically that car prices in Ukraine are formed in US dollars, now for the same money in the hryvnia equivalent, due to the change in the exchange rate, today you can buy a worse car. However, against the background of all the events that took place during the past year, it is possible to state that the price “collapse” in the Ukrainian car market did not occur.

Regarding specific models, if you compare the beginning of the year and the end (January and December), all 10 of the most popular models that Ukrainians sold most often on the Internet in the last 12 months have become cheaper.

The average price of Daewoo Lanos and its modifications decreased the most (-16.6%, from $2,500 to $2,000). Thus, the once most popular car in Ukraine is losing its position year after year, both in terms of sales and price.

As a result of the active replenishment of the car fleet with used cars from abroad, Ukrainians got an alternative and a choice. The ability to buy a quality car for the same money regulates pricing and forces sellers to gradually reduce prices for these models.

Read: The car market in Ukraine: The results of 2022 turned out to be the worst since 2000

The popular Volkswagen Passat fell in price by -16%, from $7,800 to $6,550. This may be the result of a large number of imported models during the so-called “zero” customs clearance in April-June, when many such cars were brought from abroad at a lower price it is not.

VAZ 2109/21099 became cheaper by 14.3%. This can be both a natural decrease in the price of these machines as a result of aging, and a decrease in demand for Soviet-Russian machines as a result of the war. In order to sell a car, you have to lower prices.

How much did the average cost of the most popular passenger car models on sales sites change in December 2022, compared to January:

• Volkswagen Passat — $6,550 (-16%)
• Skoda Octavia — $6,750 (-10%)
• Volkswagen Golf — $4,800 (-9.4%)
• VAZ 2109/21099 — $1,500 (-14.3%)
• Daewoo Lanos — $2,500 (-16.6%)
• Renault Megane — $6,400 (-8.6%)
• BMW 5 Series — $6,000 (-9.1%)
• Opel Astra — $4,900 (-$12.5%)
• Ford Focus — $6,200 (-6.8%)
• BMW 3 Series — $5,500 (-12.7%).

It should be noted that the largest fluctuations during 2022 occurred in April-June, when the so-called “zero” customs clearance was in effect. Starting from September 2022, the average prices for popular models stabilized, and there were no significant fluctuations.

Prices have changed the most in war-affected regions

The highest average value of passenger cars sold on the Internet during 2022 was in Kyiv and the region — there, this indicator was fixed at the level of $7,500. The Lviv region took second place: $6,350. Zakarpattia Oblast was in third place ($6,200).

The lowest average price of cars for sale last year was in Donetsk ($3,950), Nikolaev ($4,000) and Chernihiv regions ($4,300).

Author: News feed editor Anna Nedogybchenko. She writes on the following topics: Finance, banks, economy, investments

Source: Ministry of Finance

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