Australia’s used car market slowed in July 2025 as sales dipped after June’s end-of-financial-year (EOFY) peak, according to the latest Automotive Insights Report from the Australian Automotive Dealer Association (AADA) and AutoGrab.
Nationally, 206,216 used vehicles were sold in July. This is a 2.8 per cent drop compared with June. While Western Australia, Tasmania, the ACT and the Northern Territory recorded modest growth, all other states saw sales decline.
Market Trends
Dealers accounted for 47.5 per cent of all sales and 55.5 per cent of listings, with total active listings rising 2.9 per cent to 339,742, the highest level so far in 2025. Despite this growing supply, retained values continued to soften across most segments.
Sales of hybrid vehicles fell 8.5 per cent compared with June, while electric vehicles (EVs) saw a sharper decline of 20.3 per cent. At the same time, listings for hybrids rose 13.6 per cent and EV listings climbed 4.9 per cent, suggesting supply is still increasing despite weaker demand.
On average, used vehicles sold faster in July, with the average days to sell dropping from 47.0 in June to 44.6. Vehicles that matched buyer preferences were moving more quickly despite the overall sales dip.
Market Outlook
AADA CEO James Voortman said the slowdown was expected after the EOFY rush but highlighted the opportunities for buyers in the current market.
“Stock levels are building, which is positive for consumer choice, but the ongoing softening in retained values is something dealers will be factoring into pricing and margins,” Mr Voortman said.
“For consumers, the easing in retained values means there’s more opportunity to secure a better deal on a used vehicle than we’ve seen in recent years. With more stock on the market and prices softening across most segments, buyers have greater bargaining power and more choice to find the right car at the right price.”
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