These days, finding a gently used car for under $20,000 is no easy task.
As recently as 2019, nearly half of 3-year-old used cars cost $20,000 or less, according to iSeeCars. Today, that number has shrunk to just over 10%.
Since 2019, the price of 3-year-old cars has jumped 49.9%, from $23,159 in 2019 to $32,635 today. And over the past three months, car prices have been rising, according to iSeeCars.
Recently, iSeeCars analyzed 2.6 million 3-year-old used cars and found that prices have soared since the beginning of the COVID-19 pandemic. In a summary of the analysis, Karl Brauer, iSeeCars executive analyst, says:
“The pandemic may be a fading memory, but the lack of new car production five years ago has created a ‘pandemic hangover’ effect for today’s used car market. Many car buyers are now priced out of late-model used cars, forcing them to consider older models with more miles to fit within their budget.”
But even in today’s inflationary times, it’s still possible to snag a relative bargain. Here’s a trio of 3-year-old cars that you can still buy for less than $20,000, according to the analysis:
- Nissan Sentra: $18,224
- Chevrolet Trax: $18,459
- Toyota Corolla: $19,792
Depending on where you live, it might be difficult to find these lower-priced cars, however. The iSeeCars analysis found that since 2019, the share of gently used cars under $20,000 has fallen especially sharply in three cities that are among the nation’s largest 50 metro areas.
The cities that have seen the biggest loss of such vehicles for sale are:
- Boston, MA-Manchester, NH
- Minneapolis-St. Paul, MN
- Hartford and New Haven, CT
By contrast, Miami-Fort Lauderdale has seen the smallest drop in the number of such cars for sale. In fact, Florida cities make up four of the five metros with the smallest drops.
Are you looking for a vehicle? Don’t forget to consider the “25 Cars Proven to Hold Their Resale Value the Most.”
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