Updated
Updated · The New York Times · Sep 11
Only 1 in 9 Three-Year-Old Used Cars Costs Under $20,000 as Average Price Hits $33,000
Updated
Updated · The New York Times · Sep 11

Only 1 in 9 Three-Year-Old Used Cars Costs Under $20,000 as Average Price Hits $33,000

3 articles · Updated · The New York Times · Sep 11

Summary

  • Just one in nine three-year-old used cars is now priced below $20,000, down from about half in 2019, leaving budget buyers with fewer late-model options.
  • The average price for a three-year-old car reached about $33,000 in August, eroding what had long been a sweet spot for shoppers seeking lower mileage and modern safety features.
  • Higher new-car costs, Trump-era tariffs, elevated borrowing costs and pandemic-disrupted inventories have pushed more buyers into the used market, tightening supply of affordable models.
  • Used EV prices have also climbed as drivers look to offset gasoline costs, with regular gas averaging $4.28 a gallon on Thursday versus $3.19 a year earlier.

Insights

As affordable gas cars vanish, will the upcoming influx of 500,000 off-lease EVs finally provide relief for desperate bargain hunters?
With used car loans topping 11 percent, could buying a brand-new vehicle actually be the cheaper option for budget-conscious drivers in 2026?