How used prices are trending now in Canada

Canada’s used vehicle market continued to show signs of stabilization in the first quarter as inventory increased sharply and prices levelled off.

Carfax Canada’s Q1 Used Vehicle Market Insights, drawing from its database of vehicle records, the report analyzed used vehicle inventory volumes, national average listing prices and consumer search behaviour to provide market intelligence for dealers and other automotive stakeholders.

The national average used vehicle listing price reached $31,907 in March, up 0.5 per cent from February but down 2.3 per cent year over year. Prices have been trending upward since late 2025 but now appear to be flattening as supply conditions improve and the market returns to more balanced footing, Carfax reported.

Inventory growth accelerated as the spring selling season began. Used vehicle supply rose 31.6 per cent in March compared with February and was 3.1 per cent higher than the same month last year. Sport utility vehicles continued to dominate available inventory, accounting for 55.3 per cent of used listings, up from 51.1 per cent a year earlier. Passenger cars continued to lose ground, representing 27 per cent of listings in March compared with 30.6 per cent in 2025, while average passenger car prices fell 4.3 per cent year over year.

SUV demand remains strong as consumers prioritize versatility, cargo space and perceived safety, Carfax said, while the decline in passenger car share underscores a longer-term shift in buyer preferences.

The electric vehicle segment remained volatile. Used EV prices were down 6.5 per cent year over year as incentives, pricing pressure and anticipated market changes continue to influence buyer behaviour. The company noted that the federal government’s new Electric Vehicle Affordability Program plus expectations of increased EV supply from Chinese manufacturers later this decade are contributing to uncertainty. Although Canada has reopened its market to Chinese EV manufacturers under a reduced tariff, Carfax noted that truly low-cost models are unlikely to arrive in meaningful volume before 2027.

Regional differences persisted across the country. The western provinces continued to post the highest average used vehicle prices, driven in part by stronger demand for trucks and SUVs and higher overall costs of living. British Columbia saw the highest used prices at $35, 927, $155 higher than Saskatchewan.

Quebec ($28,301) and the Atlantic provinces ($28,131) remained the most affordable markets nationally. Ontario was pretty much at average with used prices coming in at $31,827.

By city, Vancouver sat atop the list at an average used price of $44,680. Winnipeg ($33,352), Calgary ($33,096) and Toronto ($32,998) followed.

Looking ahead, CARFAX said used vehicle performance through the remainder of the spring and summer will depend heavily on consumer confidence. Elevated oil prices, continued global economic uncertainty and the Bank of Canada’s decision to hold interest rates in March are expected to keep many buyers cautious, even as inventory availability improves.

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