Have you noticed that the average used car in South Africa now costs around R420 000? If that figure feels steep compared to what you paid a few years ago, you're not imagining it. AutoTrader's industry data shows the average listed price of a used vehicle has climbed from R312 794 in 2020 to approximately R423 080 as of June 2026. A 35% increase over six years.
So what drove this shift, and what does it mean for buyers today?
From R312 794 to R420 000
The trajectory was anything but linear. AutoTrader's Bi-Annual Car Industry Report recorded an average used car price of R312,794 in 2020. By mid-2021, that figure had surged to R389,145, and by 2022 it peaked at roughly R423 964 - an extraordinary jump in under two years. Prices then corrected to R399 163 in 2023, as documented in AutoTrader's Annual Year Industry Report, before climbing again to R406 023 in 2024 and R417 584 in 2025. As of June 2026, AutoTrader's monthly market data places the average at R423 080, right on the R420 000 threshold.
What drove the price surge?
The primary catalyst was the global semiconductor shortage of 2020–2022, which throttled new vehicle production worldwide. With fewer new cars reaching dealership floors, buyers migrated to the used market in unprecedented numbers. Demand outstripped supply, and prices soared. We noted at the time that "fervent demand" for used vehicles was reshaping pricing dynamics faster than the market could absorb.
Correction and stabilisation
By 2023, new-vehicle supply chains had begun to recover, easing pressure on the used market. The average price dipped from its 2022 peak. However, elevated interest rates and inflation prevented a full return to pre-pandemic levels. In 2025, four interest rate cuts totalling 100 basis points provided consumer relief, and used car sales grew by 7% year-on-year to 383 410 units, generating R160.1 billion in total sales value, according to our 2025 Annual Report.
Value over badge
This 2025 report coined the phrase "value over badge" to describe a clear behavioural shift. Buyers increasingly prioritised reliability, fuel efficiency, and lower running costs over brand prestige. Chinese brands: Haval, Chery, and Omoda, saw used sales rise by 49% in 2025, while the Volkswagen Polo overtook the Toyota Hilux as the most-searched model on the platform. For many buyers, the practical sweet spot now sits between R340 000 and R420 000, targeting three- to five-year-old vehicles.
What this means for buyers in 2026
The average of R420 000 reflects a market that has settled but not crashed after years of turbulence. Prices are stabilising, supply is improving as new vehicle sales filter through as trade-ins, and interest rates are gradually easing. For buyers, the message is clear: the window of inflated pricing has closed, and today's market rewards research-driven purchasing over impulse decisions.
