A new survey shows that the average second hand car is worth 16% more now than last year as a result of Brexit, chip shortages and other factors.
The survey from Cartell.ie and car sales platform CarsIreland said that instead of depreciating, most owners' vehicles have actually increased in price this year compared to last year.
Jeff Aherne, from Cartell.ie, said today's results show that "a perfect storm" has taken place in the used cars market.
Mr Aherne said a combination of Brexit, microchip shortages, real-world testing of new cars (WLTP) and supply-side availability have led to an unprecedented rise in used vehicle values.
He said that since Cartell.ie was set up in 2006, and started monitoring the used vehicle market, the company has not seen anything like this before.
"Lead-in times for delivery of new vehicles have extended, principally due to the microchip shortage, and, until supply ramps up again we don't see this situation improving in the near-term," he said.
"Those who benefit most are the owners of used vehicles, which have seen a spike in values, who are looking, and can afford to wait, for a new vehicle," he added.
For the survey, Cartell took a sample size of 5,000 vehicles and looked at the retail price of each vehicle, assuming average mileage, in November 2020.
It used this as a control to test the value of each of the same vehicles in 2021 by running both years through the Cartell Price Guide (CPG), a vehicle valuation service available to users of its service.