Introduction
You may sense it each time you scroll a car-listing site: the market feels busier, yet oddly more cautious. Interest-rate relief is nudging buyers back into showrooms, but fuel prices and electricity anxiety keep value at the centre of every deal. FindMy has compared its own search analytics with the latest public figures to trace where South Africa’s passenger-car market is heading in 2025.
Economic context
The South African Reserve Bank’s May cut took the repo rate to 7.25%, its lowest in two years. Consumer inflation slipped below 3%, sparking renewed curiosity among first-time buyers. Yet household budgets remain under strain after 18 months of rolling blackouts and employment uncertainty, creating a market that prizes predictable running costs over prestige.
Momentum in 2025
Data reveals a steady climb in used car sales even before the rate cut. In March, transactions totalled R12.48 billion, up 10.9 % year on year. April slipped slightly to R12.06 billion yet still beat 2024 by 3%. May then surprised analysts with R13.65 billion, a jump of 21.1% on the prior year, suggesting pent-up demand once financing eased.
FindMy’s own platform mirrors the curve: buyer enquiries rose 28% between February and May, while dealer uploads climbed 17%. The synchrony hints at genuine market momentum rather than mere seasonal noise.
Price and affordability
Average ticket prices followed a gentle upward slope: R417 688 in March, R420 771 in April and R423 900 in May by preliminary estimates. Buyers appear willing to stretch budgets if total cost of ownership stays in check. That same calculus explains why eight-year-old double-cab bakkies remain hot: they promise durability without the insurance shock of a new SUV.
Powertrain shift
Electrification is no longer a side note. Industry reports show new-energy-vehicle sales skyrocketing 92% year on year, with hybrids accounting for most volume thanks to price and charging concerns. Battery-electric cars still average above R1 million, but online curiosity is growing fast; FindMy search data place “EV under R600k” among the top five rising terms of Q2.
Dealer dynamics
Stock is moving briskly. The industry’s top three sellers, Ford Ranger, Toyota Hilux and Volkswagen Polo leave forecourts in roughly 30-35 days. Gauteng accounts for 56% of transactions, dwarfing the Western Cape’s 19%. Dealers report tighter gross margins, yet the faster rotation offsets some pressure. Meanwhile, FindMy’s advertising dashboard shows a 42% rise in paid listings as retailers chase digital eye-balls rather than roadside foot traffic.
Outlook
You should expect a two-speed market through summer. Interest-rate cuts will keep bargain hunters active, but fuel-cost jitters may restrain big-engine sales. If the Reserve Bank delivers a further 25bps trim in September, FindMy projects total cars for sale turnover could breach R150 billion for 2025, eclipsing last year by 14%.
Dealers who price realistically and embrace hybrid stock are poised to benefit most.
Conclusion
2025 is shaping into a year of cautious optimism. You can feel relief in the numbers: lower rates, higher turnover, rising electrified options. Yet the emotional undercurrent is still concerning; buyers want certainty, not flash. For market players, the lesson is clear. Offer value, embrace digital channels and stay alert to rapid shifts in technology. Do that, and you will ride this evolving wave rather than watch it recede from the showroom floor.
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