Most people know that driving a brand new car off the lot means that it automatically begins to depreciate. Annually your car will lose anywhere between 15% and 20% of its value each year. Because of this, the used car market is booming. 

Traditionally, used car prices would remain constant year after year. In 2019 there was a 0.2 percent reduction over 2018, while 2020 had a 0.1 percent increase over 2019. In 2021, prices have increased 16.8%, over the last 12 months. This is the equivalent of $3,926 per car. 

If you have a used car that is no longer serving you, this might be an opportunity for someone else to purchase your vehicle. It is also an opportunity for you to get a lot more than you normally would for your used vehicle. It all depends on whether or not that is one of the best cars to sell right now.

What are the Best Cars to Sell Right Now

When it comes to selling a used car, pickup trucks and sports cars are currently yielding the highest prices as compared to what they used to. What is interesting about this is that it makes them the worst to buy used, but also the best to sell. If you are considering selling your car, the time is now.

When it comes to buying a used vehicle, the best would be hatchbacks and minivans. Despite this, they still slightly increased in price. Although not anything comparable to luxury and pickup trucks, there is still a slight increase. The only used car that we have seen decrease in price has been the Tesla Model S. 

Why are Used Car Prices Rising?

What you may or may not know is that there is a global microchip shortage. This has led to less new cars being produced, which has hiked up the price of new car prices. In turn, less people are trading in their currently owned cars. Because of this, there is more demand for used cars and less inventory, causing used car prices to climb. This is great for those who want to sell their car at the moment, but not great for those looking to buy. 

It was found that some cars did not follow the trend, and actually decreased in price. It is important to understand that not all cars are the same, and your used car model may not come in at that much of a higher price.

Cars You Can Sell to Get the Most for Your Money Right Now

If you can believe it, there are some used cars that are getting anywhere from 1.5 to 2 times the average price increase. Common types of cars include trucks, luxury, and sports cars. These cars have actually begun to appreciate which is unheard of with used cars. 

If you are considering purchasing one of these types of used cars, then you may want to wait to buy them. If you own one of these cars, it may be the right time to sell if you are hurting for cash, or looking to change up your vehicle.

Chevy Corvette

The average price for a Chevy Corvette in April 2021 was $68,804. This changed 33.9%, as it was $17,432 less in April 2020. This is a huge difference and means that it would be a great opportunity to sell. 

The vehicle with the largest increase is the Chevrolet Corvette. This makes sense because they are known as cars that need to be “achieved”. Consumers want to have these cars as they feel they can afford them. Another reason that these cars may have increased in price is due to the pandemic. Consumers were bored and purchased cars to drive around in. Despite this, it makes sense that consumers continued to purchase these cars even at a higher price. They are not common cars, and harder to find used, but still less than that of buying new.

Mercedes-Benz G-Class

Luxury cars tend to hold their value better than that of standard vehicles for obvious reasons. Typically they are made with better quality materials that last longer. This is what occurred with the Mercedes-Benz G-Class. When buying a Mercedes G-Class, you can expect to purchase it for $148,937. This is a 33.2% increase, as you could sell it for $37,161 less a year previously.

Additionally, the buyers of these cars will typically have more money to spend on cars, meaning that during the pandemic, these cars were often purchased. Thus, leading to the demand and the cost rising. 

Dodge Ram 1500

Going with the theme of pickup trucks being valued in 2021, the cost to sell a Dodge Ram 1500 would be $35,798. This is valued at $8,002 more which is 28.8%. There is a huge shortage of new trucks after the microchip shortage began. People require trucks for many activities and jobs. Most often, those who are looking for a pickup can also pay a higher price. Therefore, the costs rose, and consumers paid throughout 2021.

Chevrolet Silverado 1500

Another option that has increased due to the microchip shortage and popularity of pickups is the Chevy Silverado 1500. This was found at a 27.1% increase of an average of $7,960 more than the price in 2020 of $37,324. Similar to that of the Dodge Ram, consumers need these cars in order to work. Therefore the prices have increased. 

Used Cars to Valuing the Least Right Now

Although there are many cars reaching incredibly high prices, there are some that are decreasing as well. These range anywhere from 2 percent to 7.6 percent. If you are looking to buy a used car then these are the cars you want to look at. There are a variety of cars that are not going for a top dollar right now and have not been impacted by the recent hikes in vehicle prices.

Tesla Model S

Surprisingly, the Tesla Model S is not holding its value. Once valued at $53,212, it is now going for $ 1,077 less. Not a huge change, but something nonetheless. This is the only car that has decreased in value. Most likely this is due to the more affordable versions of Tesla being released, the Model 3 and Y. 

BMW i3

As one of the main hybrids in the BMW lineup, the i3 is typically valued at $20,868. For a hybrid, this is already very affordable. In the time that the microchip shortage has occurred, prices have only gone up 0.4%, which is a mere $91. Most likely this is because the BMW i3 was one of the plug-in hybrids of its time. Now there are plenty of other similar options, but with a larger space in the trunk and overall size of the car. 

Subaru Crosstrek

The Subaru Crosstrek is an affordable part of the Subaru lineup. This may be one reason why people are not buying them. The trend I that people are buying luxury and large SUVs at the moment. This means that these cars are reducing in price which makes it a great time to purchase one at only $314 more than the average of $22,440 last year.

Toyota Prius

Although Toyota Prius was essentially the first hybrid out there, they have also begun to decline in popularity as time has gone on. Various competitors have released more conventional-looking hybrids with the same or better mileage level. At this time, the Toyota Prius is only achieving $971 more than the original price tag of $19,087 last year. This is a 5.4% increase, so it is not a loss, but it is a great time to purchase one if you are considering it. 

Audi Q7

The midsize Audi Q7 is one of the best-rated vehicles in its class, but also one of the most expensive. Although trends are showing purchases of luxury vehicles, this does not always mean that consumers are looking for this style of car. Unfortunately, as a luxury car, it does not stand out as a midsize SUV. Despite this, prices have increased slightly from their original price of $40,626, with a $1,220 increase of 3.1%.

Body Type and its Effect on Used Car Prices

What is interesting to look at when it comes to the price of used cars is body style and how that affects pricing. For example, pickup trucks saw a 25.3% change from last year with an average increase of $7,383. On the opposite end of the spectrum. Convertibles saw a 25.1% increase and an average of $6,038. The smallest increase was in hatchbacks at 12.3% and an average of $1957.

It was found that every vehicle increased in price compared to last year. This is most likely due to the shortage of new cars and trucks. For example, because of the shortage of new pickup trucks, buyers are now looking to buy used versions, and pay more for them as well because they have no other choice. Convertibles however make sense because buyers are not necessarily looking for the best deal on a sports car as it is a luxury. When it came to minivans and SUVs, they actually increased in price as well. Although minivans have declined in popularity, they are still rising in prices. 

Prices of Used Cars Based on City

When it came to looking at the difference between used cars all over the United States, there was a dramatic increase. For example, Milwaukee had the smallest price increase at only 10.6 percent. This was still $2,526. In Las Vegas, there was the largest used car price increase, which was 25.2% and $5,174 on average. In other areas, such as the Sacramento-Stockton-Modesto area, there was a 22.7% increase with a $5,086 average increase. 

Understanding The Data

Using statistics from over 800,000 used car sales from model years 2016 to 2020 in April 2021. This gives quite a range but also includes the prices from 400,000 used car sales from model years 2015 to 2019 in April 2020. The prices used in comparisons are the average listing prices of each car between those time periods. It is also good to note that heavy-duty, low-volume, and discontinued vehicles were not included in the data set. 

Selling a Car for Cash

For the last year prices of used cars have been steadily increasing. This is why it's time to sell your car for cash at CashForCars.com. We can give you the cash that you deserve for your highly valued vehicle. Whatever your reason for selling your car, contact us today to learn more.