Used car prices continue to climb in Quebec despite cooling new car market

New cars, left, are parked at a car dealership on Friday October 11, 2024 in Quebec City. (THE CANADIAN PRESS/Jacques Boissinot)

Used car prices are still on the rise in Quebec, driven by strong demand and an ongoing trade war with the U.S. that continues to disrupt the automotive industry.

As of June 2025, the average price of a used vehicle in the province had climbed 6.4 per cent year over year to $35,746.

In contrast, the average price of a new vehicle dropped by 4.7 per cent, coming in at $63,284.

Benoit Laforce, vice-president of the media team at AutoHebdo, told Noovo Info the current situation isn’t exactly a surprise.

“At AutoHebdo, we predicted at the beginning of the year when we saw the price announcements that we could see an increase in used vehicle prices,” he said. “With the price announcements at the beginning of the year, it was certain that the market would be put to the test.”

Some used car dealerships say they welcome the uptick in prices.

At Gervais Auto, for example, it’s been good for business.

“Given that many customers are looking at used vehicles, for us, it’s actually a favour because they come looking for second-hand vehicles,” said Samuel Gervais, the dealership’s purchasing manager.

He said customers at Gervais Auto typically have a budget of $23,000.

Among gas-powered models, the Hyundai Elantra was Quebec’s top seller in 2024, with the RAM 1500 close behind.

Electric vehicles, on the other hand, are struggling, he said.

At Gervais Auto, just five per cent of sales are electric, and across the board, EV sales are down 45 per cent from last year, even as prices for both new and used models fall.

Part of that drop may be due to changes to government incentive programs.

“The end of government support at both the provincial and federal levels has caused consumers to put their purchase plans on hold,” said Laforce.

This hesitation, coupled with broader uncertainty around the shift to electric and hybrid, is pushing many people to hang onto their current vehicles for longer — something that benefits the auto repair industry.

“It’s starting to be fun to see that we have these extraordinary machines. People want to keep them longer. Is it worth it? I think so,” said André St-Pierre, general manager at Garage Charles Turcotte.

“We’re seeing more and more demand because of the change in cars. It’s very encouraging; the potential is tremendous.”

The trends playing out in Quebec are also being echoed in other parts of the country.