The Toyota 86 is retaining its value better than its Camry and Corolla siblings on the used car market. Here’s why…
Although Australia’s used car market is on a steady decline from its peak in May 2022, a few used models are defying the swiftly plummeting prices – and perhaps one of the most surprising is the Toyota 86.
RELATED: The model defying the used car industry’s declining prices
The Toyota 86 sports coupe recorded the highest value retention out of all two-to-four-year-old passenger vehicles in August 2024, according to used-car sales data from the Australian Automotive Dealer Association (AADA) and Autograb.
According to the report, two-to-four-year-old Toyota 86s retain an impressive 98.4 per cent of their value from new, somehow flouting the steadily declining used car prices in Australia.
Retained value reflects how much of a car’s value when purchased new it would hold if sold today. For example, if a 2022 Toyota RAV4 purchased new for $60,000 has a retained value of 85 per cent after two years, that means it would be worth roughly $51,000 if sold on the used car market in 2024.
“The declining trend in retained values continues with every vehicle segment across every age category experiencing a reduction in value for the month,” said AADA CEO James Voortman in July 2024.
This reduction in value can be primarily attributed to rising new car and used car stock levels, although light commercial vehicles such as utes and vans are more affected as they have “greater levels of oversupply” than passenger cars and SUVs, Mr Voortman said.
The Toyota 86 suddenly shot to the top of the list after not even ranking in the top 10 for retained value in the previous month’s report, besting other vehicles that are commonly seen on the list such as the Toyota Corolla, Kia Picanto and Toyota Camry.
What’s pushing up the Toyota 86 price on the used market?
There are a couple of possible reasons why two-to-four-year-old Toyota 86s are seeing such strong prices on the used market.
First, it’s important to note there are two generations of Toyota 86. The first generation was sold in Australia from 2012 until 2021. The second generation, referred to as the GR86, was announced in 2019 and first went on sale in late 2022.
The announcement of the GR86 throttled the sales of the previous generation for 2020 and 2021. Just 387 units sold in 2020 and 207 units sold in 2021 as prospective buyers of the 86 awaited the arrival of the GR86, which promised a new look, bigger engine and more power.
As such, Drive’s investigations of the used market suggest there is a stock shortage of the final two years of the first generation.
It’s possible these first-generation models are also more inclined to retain their value as they are P-plate legal in NSW, QLD, VIC, and SA, when the new GR86 is not.
The final two model years of the first-generation 86 have likely become a desirable option as they are the only two P-plate-legal model years still covered under factory warranty.
The Australian launch of the new GR86 occurred at a time when manufacturing was still hurting from the COVID-19 pandemic.
Extended wait times from customers exploded the value of the new model on the market as car flippers placed orders for new models and sold them at a profit to people who didn’t want to wait.
The Toyota 86 wasn’t the only performance vehicle that showed excellent value retention on the used market in August 2024, with the Ford Mustang and the Subaru BRZ also making an appearance on the list.
Passenger vehicles with the best value retention (2–4 years old)
- Toyota 86 – 98.4 per cent value retention
- Toyota Corolla – 98.1 per cent value retention
- Ford Mustang – 95 per cent value retention
- Kia Picanto – 94.5 per cent value retention
- Toyota Camry – 94.4 per cent value retention
- Toyota Yaris – 94.3 per cent value retention
- Kia Rio – 91.7 per cent value retention
- Hyundai i30 – 90.1 per cent value retention
- Subaru BRZ – 89.3 per cent value retention
- Volkswagen Polo – 88.9 per cent value retention
The post The surprising Toyota model surging to the top of the used car market appeared first on Drive.
