Nearly-New Car Prices Fall 3.5%: New or Nearly-New?
💡 Key Takeaway
Autotrader says nearly-new car prices fell 3.5% in October as cheap new-car finance bites. Here's what it means for buyers weighing up new vs used.
If you've been weighing up a brand-new car against one that's barely a year old, the latest figures make for interesting reading. 🚗
According to Autotrader's Retail Price Index, published on 10 November, cars under one year old saw asking prices fall 3.5% year on year in October. That's the biggest drop of any age group.
The headline numbers
The wider used market was softer too. The average used car asking price was £17,321, down 1.8% year on year, after a 1% fall in September.
Here's how the age bands looked:
- Under 1 year: down 3.5%
- 1–3 years: down 2%
- 3–5 years: down 2.3%
- 5–10 years: down 1.8%
- 10–15 years: up 4.6% to £7,290
- Over 15 years: up 3% to £5,294
Cars still sold in an average of 29 days, the same as October last year. So buyers haven't gone anywhere. They're just being pickier.
Why nearly-new is under pressure
The big reason is competition from new cars. Manufacturers, especially newer Chinese brands, are backing new cars with low-rate finance, deposit contributions and long warranties.
Speaking on the Car Dealer Podcast this week, former Marshall Motor Group boss Daksh Gupta warned that dealers holding too much nearly-new stock could get burned. His point was simple: when a brand-new car costs not much more each month than a one-year-old one, the nearly-new car has to get cheaper to compete.
He pointed to a Jaecoo 7 leasing deal at around £275 a month as an example of the kind of offer squeezing rivals.
Used EVs are bucking the trend ⚡
Electric cars went the other way. The average used EV price rose 2.8% year on year to £25,263, the sixth month in a row of like-for-like growth.
Demand for used EVs was up 38%, against supply up 11.5%. Used EVs sold in 25 days, four days faster than petrol and eight faster than diesel.
So should you buy new or nearly-new?
It genuinely depends on the deal in front of you. Here's how we'd think about it:
New might win if...
- There's a low APR or 0% offer from the manufacturer
- A deposit contribution knocks money off upfront
- You want the full warranty and the latest tech
- An Electric Car Grant applies to the model you want
Nearly-new might win if...
- The price has dropped enough to close the gap on monthly payments
- You don't want to absorb the steepest year of depreciation
- You can find a car with remaining manufacturer warranty
- You want something available now rather than waiting for factory orders
Don't just compare the price tag 💡
The cheapest car isn't always the cheapest to finance. Used car finance often carries a higher APR than manufacturer-backed new car deals.
So compare the total amount payable, the monthly payment, the deposit and, on PCP, the optional final payment. A nearly-new car that's £2,000 cheaper could still cost more over four years if the rate is higher.
What this means for buyers in Reading and Berkshire
With nearly-new prices softening and dealers keen to clear stock before the end of the year, now is a good time to negotiate. There may be room on price, part-exchange value or extras.
At We Finance Your Asset, we help drivers across Reading, Berkshire and the UK compare finance on new and used cars side by side, so you can see the real cost before you commit. Get in touch and we'll do the maths with you. ✅
Figures from the Autotrader Retail Price Index for October 2026, published 10 November 2026.