Changes in Australians’ driving habits have revealed the shocking reality behind the country’s cost of living crisis.
The number of repossessed vehicles for sale has continued to rise as Australians face a worsening cost of living crisis.
Auction site Pickles reported an average increase in repossessed cars coming to auction of 13 percent over the past six months.
In the second quarter of 2024 (April to June), the number of recovered vehicles increased again by 11 percent compared to the first three months of 2024.
Notably, the number of used electric vehicles, or EVs, also rose a record 91 percent in the second quarter of 2024, with a whopping 82 vehicles coming to auction.
“This represents a year-on-year growth of 246 per cent, underlining Pickles’ growing status as the place to buy a used electric vehicle,” the report said.
‘A more consistent growth pattern is expected for the remainder of 2024, but we are witnessing the biggest shift in fuel types in generations.’
The number of used electric vehicles also increased by a record 91 percent in the second quarter of 2024 with a whopping 82 vehicles coming to auction.
The number of repossessed vehicles for sale has continued to rise as Australians face a worsening cost of living crisis. (file image)
Pickles noted in his second quarterly report that the “significant rate” at which repossessed vehicles were arriving before auction was due to multiple factors.
‘Pickles believes the two key factors contributing to this growth are ongoing cost-of-living pressures (related to high CPI inflation and interest rates), coupled with owners’ ability to refinance, which declines as vehicle values generally decline, contrary to booming used (car) values prior to the second quarter of 2022,’ the report stated.
According to the report, the volume of used vehicles continued to grow with a new post-Covid record and a 34 percent year-on-year increase in second-hand car sales.
This comes after the ABS reported a moderate rise in personal loans for “road vehicle purchases” in May, with some $1.397 billion owed that month.
That figure represents a marginal decrease from the $1.4 billion reported in September 2023 and a significant increase from the $693 million 20 years earlier in May 2006.
