Rising vehicle costs send Edmonton drivers to used car lots
Rising new vehicle prices are steering Edmonton drivers toward local used car lots as owners report steady sales and changing buyer habits.
Redline Motors co-owner Afrosyob Gulam stands outside his Edmonton dealership on Oct.17, 2025. Photo credit: Meral Ciplak
As new vehicle prices rise, Edmonton drivers are choosing used car lots. Dealers say the trend has supported their business amid higher costs.
At Redline Motors, a used car lot in Edmonton, sales and prices have grown over the past three years. According to co-owner Afrosyob Gulam, used cars will always be in demand because not everyone can afford a new vehicle.
When looking to buy a vehicle, Derya Jilany based her decision off of affordability. “Buying used meant a cheaper price and no monthly payments,” she said.
According to Gulam, many buyers now try to avoid financing. “People try to buy cars under ten grand because not everybody has $20,000 sitting in their account,” he said.
According to IBISWorld, the Canadian used car market is worth $17 billion. Mordor Intelligence projects it will grow by 6.7 per cent annually through 2030.
Statistics Canada reported new vehicle prices rose 5.2 per cent this year, while used car prices increased 1.7 per cent nationally. The average used car price reached $34,188 in September 2025, up nearly eight per cent from the previous year, according to Clutch.ca.
In September 2025, the average used car in Alberta sold for $37,466, surpassing the national average.
First-time buyer Lily Smith said price was one of several factors she considered when purchasing her vehicle from Redline Motors. “Price was important, but I also wanted something reliable and comfortable to drive,” she said. “Gas mileage mattered too, with everything costing more lately.”
The dealership made the process of purchasing a used car for Smith easy. “The dealership made everything so simple and stress-free,” Smith said.
Industry analysts say small dealerships like Redline Motors play a key role for lower-income drivers.
“People need cars to get from point A to point B,” Gulam said. “Used cars will always be in business.”
