Australia Used Car Financing Market Report and Forecast 2025-2034

Australia Used Car Financing Market Outlook

The Australia used car financing market size is projected to grow at a CAGR of 5.97% between 2024 and 2032.

Key Takeaways:

• According to a report released by the Australian Automotive Dealer Association, in 2023, sales of used cars reached 2,074,535 units.

• Furthermore, in 2023, the number of used cars listed for sale were 2,013,465.

• According to AADA, petrol and diesel vehicles made up over 96% of used car sales in Australia.

Hatchback leads the Australia used car financing market by car type owing to the increased desirability among customers and evolving consumer preferences

Hatchbacks are preferred for plenty of reasons, notably cheaper taxes than sedans while offering identical efficiency and comfort. Additionally, considering the diverse set of vehicle models that are eligible for these tax incentives, the price of used hatchbacks remains constant. When it comes to used hatchbacks, these cars are more desirable than sedans and SUVs, which raises the entire price. In the Australia used car financing market, hatchbacks, which are between 5 to 10 years old, are the most preferred among used cars.

Further, with shifting customer preferences for fuel efficiency, cost-effectiveness, and overall maintenance advantages, demand for second-hand hatchbacks has grown substantially. Currently, there is an extensive range of hatchbacks on the marketplace, spanning from Japanese to South Korean to American models, ending up buyers' preferred choice in Australia used car financing market.

Toyota remains the leading used automobile brand followed by Mazda and Ford. Furthermore, the used EV market experienced nearly a doubling of supply and sales. However, EVs account for less than 1% of the market share.

Market Segmentation

Australia Used Car Financing Market Report and Forecast 2024-2032 offers a detailed analysis of the market based on the following segments:

Market Breakup by Car Type

• Multi-purpose Vehicle (MPV)

• Sedan

• Hatchback

• Sport Utility Vehicle (SUV)

Market Breakup by Financier

• Non-Banking Financial Companies (NBFC)

• OEM

• Banks

Market Breakup by Region

• New South Wales

• Victoria

• Queensland

• Australian Capital Territory

• Western Australia

• Others

The Australia used car financing market key players are Ozcar Pty Ltd., Plenti Group Limited (Plenti Pty Limited), Pepper Money Limited, Sojitz Corp. (Albert Automotive Holdings Pty Ltd.), Wisr Finance Pty Ltd., Quantum Savvy Pty Ltd., and Adelaide Vehicle Centre, among others.

Key Highlights of the Report