Is your state the cheapest or most expensive place to buy a new car?

Did you know that NSW is officially the cheapest place to buy a new car in Australia, closely followed by VIC? Recent research on the prices people pay for new cars on a state and territory basis, shows where you live significantly impacts what you’ll pay for a new car. 

According to PriceMyCar’s latest research, NSW consumers will pay on average 0.43% less for a car than the national average. However, NT is the most expensive state to buy a car with consumers paying 1.54% more than the national average. 

For specific brands, it can be even more. For instance, a KIA in NT will cost a whopping 6.32% more than the national average. However, if you were to buy a Mazda, Mitsubishi or Volvo in NSW it would cost you 4.95% less than average. A Toyota buyer in WA could expect to pay over 4.5% more than a NSW buyer. Nissan buyers in SA tend to pay nearly 5% more than their counterparts just over the border in VIC – that’s $1,500 more on a typical $30,000 car.

Let’s take a look at what the study shows about the overall new car prices paid across Australia. Note that the numbers represent prices paid, not advertised (in theory there’s a standard RRP pricing structure across the country for each manufacturer) so this gives a real insight into the level of discounting going on around the country.  The table below is based off around 60,000 prices from the last 6 months.

This is a significant data set and it clearly shows a difference of around 2% between the cheapest and the most expensive state.  Whilst some of this is to do with on-road costs (the dreaded stamp duty), there’s a lot more going on that impacts the markets locally.

In dollar terms, with the median average price of a new car in Australia around $35K, this equates to about a $700 difference per car.  With around 1,000,000 new cars sold every year, that’s a lot of money! 

Often, buying a car can be overwhelming, regardless of age, experience or knowledge. Options are endless, small differences in specifications make it confusing, and brand preference doesn’t always end up being the decider. Distinguishing and deciphering which car’s price holds the most value or falls within the budget can be the most stressful aspect of purchasing a new car. 

To take the stress out of the car buying experience, it’s a good idea to use an online comparison tool, which gives you a transparent analysis of the car market. As with any other purchase, you should know all your options so you can choose the deal that best suits your needs, preferences and budget.

Source: www.pricemycar.com.au

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