Credit bureau TransUnion released its latest Vehicle Pricing Index for the first quarter of 2018, showing that South Africans are still opting to buy second-hand instead of new vehicles.
Based on data it received from dealers, vehicle financiers and banks throughout the country, the report found that vehicle financiers are financing 2.22 used vehicles for every new vehicle bought.
In addition, it found that used car finance deals have increased by 4% (compared to the previous quarter) with the average used car loan being around R234,000.
Commenting on the data, online marketplace OLX said that the growing secondhand car market is increasingly offering appealing options for families, first time drivers, entrepreneurs and small businesses.
Based on its 2017 sales data, it said that the average second-hand car selling on the site was 11 years old and cost around R100,000.
Additionally, OLX said that six out of the top ten most wanted cars on OLX of 2017 were larger vehicles – including bakkies, SUVs and minibuses.
“Global stats show that smaller cars dominate the pre-owned market but the fact that OLX sees six out of the top ten most wanted vehicles being larger models speaks to the uniqueness of the South African market,” said Brett Faure, business development manager at OLX South Africa. .
“It’s no secret the current economic climate has played a pivotal role in many car buyers’ pockets, however, consumers are becoming smarter when purchasing vehicles and understand the value of buying second hand. The allure of status when purchasing a new car is losing its appeal to great deals and good resale value in the larger vehicle market,” he said.
These are the top 10 cars – ranked in order of most-wanted
|Toyota Hiace||R95 329|
|Mazda Rustler||R34 490|
|Toyota Conquest||R37 201|
|Volkswagen Caddy Pickup||R70 573|
|Volkswagen Microbus||R59 476|
|Toyota Tazz||R45 472|
|Toyota RunX||R80 384|
|Isuzu KB280||R65 332|
|Volkswagen Caravelle||R131 808|
|BMW M3||R224 244|
Prices are averages