A supply crunch has sent used car prices soaring. These 16 models are now worth more used than new

2020 Kia Telluride.
A new Kia Telluride costs close to $4,000 less than a used one – if you can find one. Kristen Lee/Business Insider
  • Car dealers are facing a supply crunch that’s caused used car prices to go through the roof.
  • Some 2019 and 2020 cars are cheaper to buy new right now, according to a study from iSeeCars.
  • The Kia Telluride now costs $3,564 more to buy used than new.
  • See more stories on Insider’s business page.

Skipping a brand-new car for one that’s lightly used has always been the most wallet-friendly way of going about things. Not anymore.

In the strange and sometimes utterly backward-seeming times we’re living in, it’s actually cheaper to buy some cars new rather than second hand. A recent study from automotive research site iSeeCars.com identified 16 such vehicles, some of which cost thousands more to buy used.

The pandemic has led to a diminished supply of cars and an outsize demand for them, the result being that used vehicle prices are through the roof. Amid financial uncertainty, people have been hanging onto their cars longer, choking one of the key pipelines of used cars to dealers. Meanwhile, an ongoing shortage of microchips has hampered car production globally and slashed the supply of new models.

The result, according to iSeeCars.com’s analysis of some 470,000 2019- and 2020-model-year cars listed for sale in June, is that the gap between used- and new-car prices have shrunk considerably in recent months. In early November, the average lightly used car cost nearly 11% less than its new counterpart. In June, that gap closed to just over 3%.

Some especially popular models – ones that are hard to find new right now – cost thousands more than their MSRP on the second-hand market. See the list of 16 vehicles below:

1. Kia Telluride

Image
2020 Kia Telluride. Kristen Lee/Business Insider
  • Average price new: $44,166
  • Average price used: $47,730
  • Difference: 8.1%; $3,564

2. GMC Sierra 1500

2020 GMC Sierra Denali
C Sierra Denali. GM
  • Average price new: $54,205
  • Average price used: $57,671
  • Difference: 6.4%; $3,466

3. Toyota Tacoma

Toyota Tacoma
The Tacoma. Toyota
  • Average price new: $37,902
  • Average price used: $39,857
  • Difference: 5.2%; $1,955

4. Mercedes-Benz G-Class

Mercedes-benz g wagen g550
The G550. Mercedes-Benz
  • Average price new: $182,631
  • Average price used: $190,078
  • Difference: 4.1%; $7,447

5. Toyota Rav4 Hybrid

Toyota RAV4 hybrid
Rav4 Hybrid. Toyota
  • Average price new: $34,995
  • Average price used: $36,352
  • Difference: 3.9%; $1,357

6. Toyota Tundra

 2020 Toyota Tundra
2020 Tundra. Toyota
  • Average price new: $49,643
  • Average price used: $51,474
  • Difference: 3.7%; $1,831

7. Dodge Challenger

2020 Dodge Challenger sports car
2020 Challenger R/T Scat Pack. Dodge
  • Average price new: $39,375
  • Average price used: $40,764
  • Difference: 3.5%; $1,388

8. Toyota 4Runner

2019 Toyota 4Runner
4Runner. Toyota
  • Average price new: $45,382
  • Average price used: $46,867
  • Difference: 3.3%; $1,485

9. Hyundai Palisade

2020 Hyundai Palisade.
2020 Palisade. Hyundai
  • Average price new: $44,063
  • Average price used: $45,356
  • Difference: 2.9%; $1,293

10. Tesla Model 3

Tesla model 3
Tesla Model 3. AP Photo/David Zalubowski, File
  • Average price new: $44,409
  • Average price used: $45,677
  • Difference: 2.9%; $1,268

11. Honda Civic

2019 Honda Civic Sedan Touring
2019 Civic Sedan Touring. Honda
  • Average price new: $26,331
  • Average price used: $27,058
  • Difference: 2.8%; $727

12. Dodge Charger

Dodge Charger
Dodge Charger. FCA North America
  • Average price new: $38,977
  • Average price used: $39,874
  • Difference: 2.3%; $897

13. Honda Odyssey

2019 Honda Odyssey
Odyssey. Honda
  • Average price new: $37,612
  • Average price used: $38,048
  • Difference: 1.2%; $435

14. Kia Rio

2020 Kia Rio subcompact sedan.
2020 Rio. Kia
  • Average price new: $17,346
  • Average price used: $17,472
  • Difference: 0.7%; $127

15. Subaru Crosstrek

2020 Subaru Crosstrek Premium
2020 Crosstrek Premium. Subaru
  • Average price new: $29,474
  • Average price used: $29,642
  • Difference: 0.6%; $168

16. Subaru WRX

Subaru WRX
WRX. Subaru
  • Average price new: $34,487
  • Average price used: $34,568
  • Difference: 0.2%; $81