Australia’s used car market has started 2026 with higher sales volumes, although buyers are taking longer to commit as conditions settle into a more balanced phase.
The Australian Automotive Dealer Association (AADA), in partnership with AutoGrab, reported 188,421 used vehicles sold nationally in January, up 9.7 per cent from December. At the same time, active listings fell 5.4 per cent month on month to 291,666 vehicles, reducing overall supply.
AADA chief executive James Voortman said the lift in activity reflected a seasonal return to market following December’s typical slowdown.
“A solid lift in sales to start the year suggests buyers have returned to the market after the typical December slowdown, but conditions remain more balanced than the highs we saw in previous years,” Mr Voortman said.
Buyers take a more measured approach
Despite higher volumes, vehicles are taking longer to sell. Average days to sell rose to 49.4 days in January, continuing a gradual increase since a low point recorded in September.
“Even with stronger volumes, days to sell have continued trending higher since the lows recorded in September, which tells us consumers are taking their time and shopping carefully,” Mr Voortman said.
The shift suggests demand remains present but more cautious, with buyers weighing affordability and value more closely than during previous peak periods.
Hybrids and EVs lead growth
Alternative powertrains again recorded the strongest gains in the used market. Hybrid sales rose 15.3 per cent month on month, while electric vehicle sales climbed 20.1 per cent, highlighting steady demand for lower-emission vehicles.
The performance mirrors broader trends in the new vehicle market, where electrified options continue to expand their footprint.
Ranger remains on top
The Ford Ranger retained its position as Australia’s top-selling used vehicle, maintaining its long-standing dominance of the models leaderboard.
While January’s rebound signals renewed activity, the combination of tightening listings and slower turnover points to a market that is stabilising rather than accelerating
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