The vehicle that's selling for a higher price secondhand than new

16 minutes ago

The Toyota Prado is one of the few cars that commands a higher price when it's had an owner than when it's fresh out of the factory.

Photo: Supplied / Toyota

There's one vehicle in New Zealand that sometimes sells for more secondhand than it does new.

It's not an electric vehicle - sales of which have jumped in recent months - but an SUV.

The Toyota Prado is one of the few that command a higher price when it's had an owner than when it's fresh out of the factory.

Lisa Stewart, head of Trade Me Motors said the average estimated value for new and near new Prados was $100,700, compared to a starting price of about $85,000 on the Toyota website.

She said about 25 percent of pre-owned Prados were priced above that benchmark and 27 percent off low-mileage dealer-certified listings were able to attract a higher price than newer models.

"This premium is driven by supply constraints, high-spec trims, and seller optimism, with dealer waitlists making online listings for new Prados uncommon."

Head of Trade Me Motors, Lisa Stewart.

Photo: Supplied / Trade Me

AA spokesperson Terry Collins said another aspect driving up the price was that most second-hand Prados were coming from Australia.

"Generally Toyota doesn't have a supply shortage... realistically it's the variant of the model."

He said Australian SUVs were often kitted out for tough terrain. "It might have snorkels, it might have a bunch of other more heavy endurance suspension kit, elevated... a whole bunch of things which would make them appear to be more pricey for a used vehicle than a new one."

In its most recent update, the Motor Industry Association said there were 11,294 vehicles registered in May, up 10.4 percent on a year earlier.

"The strongest movement is in the light passenger market, where more buyers are choosing battery electric and plug in hybrid vehicles," chief executive Aimee Wiley said.

"This is now more than a one-month movement, with plug-in registrations remaining elevated across March, April and May. Elevated fuel prices and uncertainty about future fuel costs are relevant to household and business purchasing decisions, but registration data alone cannot isolate a single cause."

Large SUVs have been 9.7 percent of sales so far this year, compared to 9.3 percent in the same period last year. Medium SUVs are 25 percent of sales and compact SUVs 23 percent.

Ford Rangers have had the largest number of sales, followed by Toyota Hilux utes and Toyota RAV4s, then Tesla Model Ys.

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