In light of the unusual economic situation, compact cars are gaining unexpected attention.

According to K-Car’s analysis of average prices for over 740 domestic and imported models released within the last 12 years in the South Korean used car market, there is a rapid sale of inexpensive models like compact cars despite an overall stability in prices.

Compact cars typically sell well from February to March, as many new graduates and young workers seek their first vehicles during this season. However, this year, the demand is increasing in September and October, which are usually considered off-peak months, suggesting a significant shift from previous trends.

The sales period is also shortening, demonstrating strong demand. As of September, the sales period for the Chevrolet Spark has decreased to 23 days, which is 11 days shorter than the previous month, reflecting high demand for cost-effective used compact cars. Compared to the same time last year, this also shows a decrease of 9 days. Even the Kia Morning, which has an average price approximately 1 million won higher than the Spark, saw its sales period drop to 27 days, 6 days shorter than the month before, indicating similarly high demand.

Park Sang-il, head of the K-Car PM1 team, stated, “As economic conditions have worsened, demand for cost-effective models like compact cars has increased while the supply has decreased, resulting in quick sales as inventory comes in. It seems the discontinued production of the Spark is also affecting this trend.” He added, “Such flow is different from previous years and could impact the prices of the target models in the future.”

Imported cars are also experiencing quick sales due to high demand, with the seventh generation Volkswagen Golf seeing its sales period drop to 20 days, 8 days shorter than the previous month and 13 days shorter than the same month last year.

Overall, the market continues to show stability at similar levels compared to last month, though the prices of new, almost new used cars from brands like Kia and BMW have begun to rise slightly due to increased new car prices.

By Lee Sang-jin daedusj@autodiary.kr