Toronto, Ontario – The mileage on an average used vehicle in Canada when sold has declined to about 63,000 km and it’s now about 3.4 years old, according to a report by J.D. Power and Associates. The typical Canadian used-vehicle buyer is now 43 years old, and slightly more than one-third of buyers are female.
More than half of all used vehicles are purchased with cash, including transactions with privately-obtained financing; about four of every 10 transactions are made with a loan taken out at the dealership, and less than one of every 10 is a lease.
The average transaction price for a used vehicle has gone down to about $17,700, but among financed deals, the amount financed has climbed to 90 per cent. A decline in the down payment and term has caused the average monthly payment to inch up to $441.
The report found that the typical Canadian used vehicle sits on the dealer’s lot for a little more than two months, and that slightly more than one of every 10 used-vehicle buyers also purchases an extended service contract, while fewer than one of every 10 buys supplemental insurance.