The retail prices of both new and used cars in Canada was on the rise last month compared to year-ago figures, but the rate of increase is slowing down, according to the latest autoTRADER.ca Price Index.
The national median price for used vehicles was $18,900 in June, up 5.1% year-over-year, while the national median price on new was $39,104, a 4.0% increase.
“While prices are up year-over-year, we have observed a levelling off over the past several months,” autoTRADER said in an analysis accompanying the index. “The median new-car price in Canada is down $830 in June compared to March of this year, while the median used-car price in Canada is $88 below the high watermark set last month ($18,988).”
Breaking it down by segment, used cars were at $15,198 (up 4.8%) in June while new cars were at $27,095 (up 4.0%), according to autoTRADER.
Used SUVs were at $22,849 (up 5.6%) and new SUVs were at $37,121 (up 0.8%).
Lastly, used trucks were at $29,995 (up 0.7%), with new trucks coming in at $52,950 (up 5.6%), the company said.
By OEM origin, used prices for North American automakers were at $20,779 (up 3.9%) and new prices at $48,314 (up 5.7%), according to the report.
For Asian brands, used prices climbed 9.8% to $16,850 and new prices were up slightly (0.2%) at $30,674.
Used prices for European brands were at $22,999 (up 0.4%) and new prices were at $48,787 (up 0.5%), autoTRADER said.
Regarding the increase for Asian brands, autoTRADER said they are, “closing the gap on European and domestic used-vehicle prices,” with the 9.8% uptick equating to average uptick of about $1,505.
“We continue to see price increases on a year-over-year basis for European and Domestic manufactured vehicles, up 0.4% and 3.9% respectively. However, prices month-over-month are down 1.9% and 1%, for European and domestic vehicles, respectively,” the company said. “New European vehicle prices have dropped 0.5% year-over-year and are now at the most competitive we have observed since August 2018.”
Among the various regions, Manitoba and Saskatchewan had the strongest used-vehicle price growth at 8.2%, but also the strongest new-car price growth at 7.8%.
AutoTRADER.ca attributes the used price increase there to increases in sedan and SUV prices, with the new-vehicle gains coming from not only from a 2.7% price hike in trucks but the 15.9% truck volume gain.