The second-hand cars soaring in value – and an EV tops the lot
It has not been a pretty picture on car forecourts. Towards the end of 2023, used values started to slide dramatically, perhaps bursting the bubble caused by a lack of new car supply post-Covid pandemic – or, if not, at least deflating it somewhat.
According to Cap HPI, which keeps tabs on used car values for dealers, used prices dropped 10.5 per cent in the last quarter of 2023. And while it’s true that values always tail off in the run-up to Christmas as buyers are preoccupied with the associated costs, seasonality was only part of the problem; values simply don’t normally fall by this much, even toward the end of the year.
But while those figures reflect a market-wide trend, not all cars have dropped in value. Some have been driven up by customer demand even in this falling market.
That’s evidenced by data released last week by Motorway, showing the 10 cars whose values rose the most in 2023, based on the trade prices being paid by dealers for used cars purchased via Motorway’s online auction platform.
Commenting on the study, Alex Buttle, the co-founder of Motorway, said: “Despite the market at large seeing a decline in average used-car values at the end of 2023, a number of cars bucked the trend and maintained their values, with some even increasing year on year.
“Our data looked at the average sold price on Motorway, for makes and models under five years old, from 2022 to 2023. Interestingly, from the data we can see that compact city cars dominated the top 10, as drivers looked to save on running costs, adopting cost-efficient petrol, diesel, hybrid or electric models.”
It’s worth noting that retail prices paid by buyers will differ from the trade prices quoted in the study. But given that dealers only tend to buy models they know will sell well, the figures still give us a very strong indication of which cars are in demand on the used market.
If you own one of these, in other words, the good news is that dealers are keen to buy your car, meaning it could even be worth slightly more now than it was a year ago.
If you’re planning to sell it or trade it in, now might be a good time.
The top 10 cars which went up in value in 2023
10. Toyota RAV4
Average price in 2023: £28,188.50
Average price in 2022: £23,588.70
Price increase, year-on-year: 19.5 per cent
It should come as no surprise that the RAV4 is in demand. It combines Toyota’s stellar reputation for reliability – which has only been boosted by the addition of a great warranty offer – with a practical SUV body, a de rigueur hybrid powertrain and four-wheel drive. For many used car buyers, in other words, it ticks all the boxes.
9. Honda Jazz
Average price in 2023: £12,623.50
Average price in 2022: £10,304.90
Price increase, year-on-year: 22.5 per cent
The Jazz may have fallen out of favour with some insurers thanks to a spate of catalytic converter thefts – but most used car buyers either don’t know yet or don’t care, as the Jazz is still one of the most sought-after secondhand buys. And the Jazz’s uniquely practical interior, excellent reliability record and easy-going demeanour mean it’s a perennial favourite.
8. Dacia Duster
Average price in 2023: £11,161.00
Average price in 2022: £9,111.02
Price increase, year-on-year: 22.5 per cent
Given the trend for SUVs and these straitened times, it should come as no great surprise that an SUV that’s low on cost and high on space, yet stylish and decent to drive, is proving so popular as a used buy. The Duster is a cracking little car that offers much of what its SUV competitors do, yet at a much more reasonable price. No wonder it’s in demand.
7. Kia Picanto
Average price in 2023: £9,426.50
Average price in 2022: £7,632.79
Price increase, year-on-year: 23.5 per cent
The Picanto is now the cheapest brand new car in the UK and second-hand it’s just as affordable. Nearly-new examples also benefit from Kia’s long warranty, which means even three-year-old cars have four years’ warranty remaining where their rivals’ have just run out. Throw in delightful driving dynamics and a smart, spacious interior and the little Kia comes with a big list of reasons buyers are keen on it.
6. Citroën C4
Average price in 2023: £11,194.00
Average price in 2022: £8,991.16
Price increase, year-on-year: 24.5 per cent
Given Citroëns aren’t often known for holding their values brilliantly, it’s a bit of a surprise that this latest generation of C4 is in such demand. It could be that buyers are tempted by the blend of comfort and space, or it could be that the arrival of the costlier electric model to the market in greater numbers has dragged up prices. Either way, the C4’s values have rocketed since last year.
5. Vauxhall Corsa
Average price in 2023: £8,305.00
Average price in 2022: £6,617.53
Price increase, year-on-year: 25.5 per cent
It should come as no surprise that one of the UK’s best-selling cars features here – all the more so given the paucity of supply of its main rival, the Ford Fiesta, formerly a used bestseller. With Fiesta production ending in July 2023, the used market is crying out for small, affordable hatchbacks with low running costs and good dealer networks to replace it – and the sharply styled Corsa is the obvious alternative.
4. Hyundai i10
Average price in 2023: £8,261.00
Average price in 2022: £6,530.43
Price increase, year-on-year: 26.5 per cent
The i10 is closely related to the Kia Picanto and is popular for very similar reasons: good value, lots of space for its size, low running costs, an interior that feels plusher than you’d expect and impressive reliability. The i10’s relatively newer design has meant it’s proven more popular than the Picanto with used buyers – despite the fact it doesn’t have quite such a long warranty.
3. Toyota Aygo
Average price in 2023: £8,849.00
Average price in 2022: £6,859.69
Price increase, year-on-year: 29.0 per cent
Like the Kia Picanto and Hyundai i10, Toyota’s little Aygo and its successor, the Aygo X, are two of the holdouts in the hotly contested city car market, which means they appeal to buyers looking for a cheap, compact car that costs relatively little to run. The Aygo X’s big plus, though, is that it offers fashionable SUV-inspired styling cues. Combined with Toyota’s impressive warranty offering, that means it’s proven a hit with used buyers.
2. Dacia Sandero
Average price in 2023: £7,416.50
Average price in 2022: £5,597.36
Price increase, year-on-year: 32.5 per cent
Given the cost of living crisis, should it be any surprise that a car offering such extraordinary value is in such high demand? Renowned for its low cost and simplicity, the Sandero has a cult following among fans of no-frills motoring. It isn’t going to rival cars such as the Ford Fiesta and Vauxhall Corsa for quality or driver enjoyment – but if none of that matters and cost is a key concern, the Sandero is a great option.
1. BMW i3
Average price in 2023: £24,009.00
Average price in 2022: £18,051.89
Price increase, year-on-year: 33 per cent
The slump in interest in used electric cars clearly isn’t universal. While other EVs are falling in value, it seems the i3 is in the ascendancy. Its appeal lies in its eye-catching styling, its airy interior and its enjoyable driving dynamics. The premium badge doesn’t do any harm, either. This means it offers attainable electric motoring to used buyers without feeling like a hair shirt. Given there aren’t that many around, the current demand seems to be pushing up prices rapidly.
The 10 worst used cars for holding their value in 2023
These figures from Motorway.co.uk are based on the average sold price on its website, of models under five years old. They show the average sale price in 2023, along with the percentage decrease from 2022.
10. Audi S5
Average price in 2023: £26,150
Average price in 2022: £28,098
Price decrease, year-on-year: -7.45 per cent
Even though it’s not as troublesome as the previous generation sporty S5, this figure demonstrates that not all used Audis are the safe bet that many reckon.
9. Ford Focus
Average price in 2023: £14,702
Average price in 2022: £15,893
Price decrease, year-on-year: -8.11 per cent
The Ford’s sheer ubiquity and mainstream image conspire against it – as does the public’s stampede into more upright SUVs.
8. Ford Kuga
Average price in 2023: £16,007
Average price in 2022: £17,569
Price decrease, year-on-year: -9.76 per cent
Electrical issues are not uncommon with this SUV. As with the Focus, a humdrum image fails to find favour as buyers crave a premium German badge.
7. Skoda Karoq
Average price in 2023: £19,302
Average price in 2022: £21,226
Price decrease, year-on-year: -9.97 per cent
The looks are bland, while Skoda’s value-for-money reputation is less of a lure. This drop in value makes a used Karoq look better value than ever as a family wagon.
6. Seat Leon
Average price in 2023: £13,161
Average price in 2022: £14,499
Price decrease, year-on-year: -10.17 per cent
This VW Golf-based hatchback and estate have a dash of extra verve that’s less valued in the used market than the solid reputation of its parent.
5. Jaguar E-Pace
Average price in 2023: £25,650
Average price in 2022: £28,264
Price decrease, year-on-year: -10.19 per cent
Values of Jaguar’s urban SUV have perhaps been dented by it placing 27th out of 28 cars in the family SUV category of the 2022 What Car? reliability survey.
4. Skoda Kodiaq
Average price in 2023: £24,116
Average price in 2022: £26,646
Price decrease, year-on-year: -10.49 per cent
The largest of Skoda’s SUV family appearing on this list makes it even more irresistible for family buyers who want maximum space within a strict budget.
3. Jaguar F-Type
Average price in 2023: £38,250
Average price in 2022: £42,278
Price decrease, year-on-year: -10.53 per cent
The end of an era – the discontinued F-Type is Jaguar’s last petrol-engined sports car. At these prices, snap one up while you can.
2. Mazda MX-5
Average price in 2023: £15,987
Average price in 2022: £17,774
Price decrease, year-on-year: -11.18 per cent
A surprise addition to this list, since the MX-5 sports car previously enjoyed an excellent reputation for slow depreciation and all-round dependability.
1. Volvo V60
Average price in 2023: £21,000
Average price in 2022: £24,518
Price decrease, year-on-year: -16.75 per cent
The Swedish cars are generally renowned for holding their value reasonably well but with this sort of depreciation the firm’s smallest estate is something of a bargain.
