6How much should I budget for the purchase?


The price of vehicles has exploded over recent years, especially after the pandemic. As a result, even for an older car, you’ll need between AU$2,000 and AU$4,000. For a quality customised van, you’ll need between AU$8,000 and AU$13,000 on average.

Station wagons and sedans are, of course, the cheapest option, followed by minivans. For a van or 4×4, you will need a bigger budget. Remember when shopping that higher prices don’t always mean higher quality. Greedy sellers and scammers do exist.

Unfortunately, backpackers and working holiday makers have contributed to the inflation of prices. When they buy cars that are already potentially overpriced and then have to perform repairs, they try to resell at an even higher price to recoup some of their expenses. If everyone does this, the price will keep going up, even as the age and mileage of a vehicle increase. It’s a vicious cycle with no real winners.

Don’t take on a cheap wreck just to save money either. Assess every car as objectively as possible and listen to the results of your inspections!

When determining a budget for the purchase price, we recommend also allocating some funds for potential repairs. Say you have a budget of AU$5,000. You should pay no more than AU$4,000 for the vehicle, and save the remaining AU$1,000 for ongoing repairs and maintenance.

Prices are always negotiable, whether you are buying at a dealership or from an individual seller! Carsales Australia can help you estimate the value of cars; just enter the make and model of the vehicle you’re interested in.

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