(iSeeCars) — Used car prices have reached record highs with the average one- to five-year-old used car costing $34,852.
How much have used car prices risen in recent months? According to iSeeCars.com’s latest analysis of over 1.8 million used car sales in January, used car prices increased 36.9 percent, or $9,409, compared to the same period the previous year.
Average Used Car Price Increases by State
Are used car price increases consistent across the country? Here are the average used car price increases by state in ascending order:
|Used Car Price Increases by State: January 2022- iSeeCars|
|Rank||State||Year-Over-Year % Price Change|
- North Dakota is the state with the greatest used car price increase in 2022 compared to 2021 at 43.5 percent, which amounts to $11,413.
- Delaware has the smallest used car price increase at 28.8 percent, which amounts to $7,714.
Average Used Car Prices by State
Some states pay more than others for used cars. Here is a ranking of the average used car price by state by ascending order:
|Average Used Car Price by State – iSeeCars|
|Rank||State||Average Used Car Price|
- Connecticut is the state with the lowest average used car price of $30,652.
- Montana is the state with the highest average used car price of $42,417.
What does this mean for consumers? The current state of the used car market presents a lucrative trade-in opportunity for consumers who have a used vehicle to sell. While consumers were previously advised to wait to purchase a used car if they were able to do so, the microchip shortage is expected to persist for most of 2022. The best way to avoid severe price hikes for the foreseeable future is to purchase a used vehicle that isn’t in very high demand, such as a sedan, and if possible, purchase it from a state or region with lower price increases.
iSeeCars.com analyzed over 1.8 million 1-5-year-old used car sales in January 2021 and 2022. The average listing prices of each car model were compared between the two time periods, and the differences were expressed as both a percentage difference from the 202a price as well as a dollar difference. Heavy-duty vehicles, low-volume vehicles, vehicles discontinued as of the 2022 model year, and vehicles with fewer than 4 of the 5 model years for each period were excluded from further analysis.