A carVertical recent research by a company that analyzes automotive data examined how many months of work are needed to buy an average used car in various European countries, including Hungary, based on the average earnings established in the respective countries. The research showed that the affordability of cars varies significantly from country to country.
Hungarians spend more than 11 months of their salary on a used car
The analysis of the used car market situation of the 23 European countries included in the research revealed that the purchase of an average used car would require nearly 10 months of work. For many drivers, buying such a car can be a real challenge.
In the research examining 23 countries, Hungary ranks 8th – Hungarians would have to work 11.2 months for a used car. Neighboring Slovaks 7.2 months, Austrians 10.9 months, and Croatians 11.7 months. In reality, this time can even be several times this, since even in households with several people, people cannot save their entire income every month.
In Europe, Portuguese drivers have to work the longest to buy an average used car – up to 22.4 months. They are followed by the Romanians with 15.4 and then the Serbians with 14.7 months. The Finns have to work the least for a car – only 2.7 months, followed by the Germans with 6 months and the Swiss with 6.1 months.
Financial experts generally recommend not spending more than six months’ salary on a car. However, in the majority of the countries examined, car buyers regularly break this rule and choose more expensive models.
The affordability of cars varies considerably from country to country
At the time of the research, the average salary in Hungary was 1,032 euros (approx. 407,309 forints). THE Vezess.hu buyers usually spend HUF 4.5 million on a used car in Hungary. For example, Volkswagen Golf and Opel Astra are among the most popular car models in the country. The average price of the Golf is HUF 5.9 million, which requires about 14.5 months of work, while the Astra costs about HUF 4 million, which means approximately 9.8 months of average earnings.
The average used car value is the highest in Switzerland – nearly 39,000 euros, but the average salary here is also the highest among the countries examined – 6,377 euros. This is followed by the Austrians with an average car price of 28,500 euros, while this amount is 24,200 euros for the Portuguese. Although the budget for cars in Austria and Portugal is similar, the salaries differ significantly: in Austria it is 2,600 euros, while in Portugal it is less than 1,100 euros.
The least is spent on a car in Ukraine – nearly 5,000 euros, in Latvia – 7,500 euros, and in Finland – 8,000 euros. The purchasing power in these countries also shows significant differences: the average salary in Ukraine is 394 euros, in Latvia 1,100 euros, and in Finland more than 2,900 euros.
While for some drivers it may seem too expensive to spend several months’ salary on a used car, it is important to remember that used vehicles can have additional costs. Many cars on the road have tampered odometers or hidden damage that can cause them to fail later.
Signs of the stability of the used car market
Matas Buzelis, automotive industry expert at carVertical, points out that used car sales have recovered from stagnation and the market situation is currently better than last year. As new car sales picked up, the used car market was finally flooded with one-owner cars, giving buyers a wider choice.
“Across the continent, we are experiencing signs of stabilization of the used car market. The price of used cars continues to show a slight decrease, and supply is beginning to match demand. The reasons why people didn’t sell their cars are finally gone – they no longer have to wait years for their new trade-in car.”
– notes Matas Buzelis, an expert at carVertical.
Source: www.technokrata.hu
