Record Used Car Sales in Estonia: 23.3% Increase in 2023 | Tallinn Leads with Newest Vehicles

Estonia’s Used Car Market Hits Record high in 2024

in 2024, Estonia’s used car market achieved a historic milestone, with sales surging by an extraordinary 23.3% compared to the previous year, according to data from the Estonian transport Management. This remarkable growth highlights the increasing demand for pre-owned vehicles across the country, as buyers and sellers alike flock to the thriving market.

Regional Trends in Used car Sales

Tallinn and Harju County emerged as the epicenters of Estonia’s used car boom, with vehicles averaging just 6.4 years old. On the other end of the spectrum, Põlva County recorded the oldest vehicles, with an average age of 11.7 years. Nationwide, the typical used car registered in Estonia was 7.5 years old, showcasing a balanced mix of newer and older models.

Record-Breaking Transactions

Last year, nearly 185,000 used cars changed hands in Estonia, setting a new benchmark for the automotive sector. luxury brands such as BMW, Volvo, and Mercedes-Benz dominated the market, accounting for the majority of transactions. Hybrid vehicles also saw a significant rise in registrations, reflecting a growing preference for eco-friendly options.

Andro Rahu, head of car trade advertisements at “Autoportaal.ee,” commented, “The share of diesel engine car registrations dropped by 17 percentage points, yet diesel vehicles remained the most popular choice among buyers.” this observation underscores the enduring appeal of diesel-powered cars, even as alternative fuel options gain traction.

First-Time Registrations Reach New Heights

First-time registrations of used cars also reached a record high in 2024, with 24,685 vehicles entering the Estonian market for the first time—a 1.5% increase from 2023. Popular models included the Volvo XC60, XC90, and Volkswagen passat, wich resonated with consumers seeking reliability and versatility.

Engine types: A Diverse Market

The Estonian used car market showcased a diverse range of engine types, with diesel vehicles maintaining their dominance despite a decline in market share. Hybrid and electric vehicles continued to gain popularity, signaling a gradual shift toward more sustainable transportation options.

What This Means for Buyers and Sellers

For buyers, the surge in Estonia’s used car market offers a wide array of choices, from luxury models to eco-friendly hybrids. Sellers, on the other hand, benefit from increased demand and competitive pricing. The market’s growth also reflects broader trends in consumer preferences and economic conditions.

What Are the Main Drivers Behind the Surge in Estonia’s Used Car Market in 2024?

The unprecedented growth in Estonia’s used car market can be attributed to several factors, including rising consumer confidence, increased availability of financing options, and a growing preference for cost-effective and sustainable transportation. Additionally, the influx of high-quality used cars from other European markets has further fueled demand.

Engine Types: A Diverse Market

The Estonian used car market in 2024 showcases a fascinating mix of engine types, reflecting evolving consumer preferences. Diesel engines dominate with 12,584 registrations, while gasoline-powered vehicles follow closely with 5,676 registrations. Hybrid and electric vehicles are also gaining traction, with 5,177 and 1,201 registrations, respectively. This data highlights a gradual but noticeable shift toward more sustainable transportation options in the region.

What This Means for Buyers and Sellers

For buyers, the thriving used car market in Estonia offers an impressive variety of choices, ranging from luxury models to fuel-efficient hybrids. Sellers, meanwhile, are benefiting from increased demand, notably for vehicles in good condition with low mileage. Staying informed about market trends and consumer preferences is essential for both parties to make informed decisions in this dynamic landscape.

Estonia’s used car market isn’t just growing—it’s setting new standards. With record-breaking sales, a shift toward greener technologies, and an ever-expanding range of options, 2024 has become a landmark year for the automotive industry in the region.

What Are the Main Drivers Behind the Surge in Estonia’s Used Car Market in 2024?

Interview with Kati Tamm,Automotive Market Analyst and Founder of AutoInsight Estonia

Conducted by Archyde News

Archyde: Thank you for joining us today,kati.Estonia’s used car market has experienced a significant surge in 2024, reaching unprecedented levels. Can you explain what’s driving this growth?

Kati tamm: Thank you for having me. The growth in Estonia’s used car market is indeed remarkable. Several factors are contributing to this trend. First, global supply chain disruptions that began during the pandemic have made new cars more expensive and harder to obtain. As a result, consumers are turning to the used car market as a more affordable and accessible alternative.Additionally, the rise of online platforms like Auto24.ee has made it easier for buyers and sellers to connect, considerably expanding the market.

Archyde: Auto24.ee is Estonia’s largest database for vehicle ads. how has it influenced the market dynamics?

Kati Tamm: Auto24.ee has been a game-changer. With over 27,000 vehicle ads listed, it offers an unparalleled variety of options, from passenger cars and SUVs to commercial vehicles and even mototechnics. The platform’s user-friendly interface and extensive search filters allow buyers to find exactly what they’re looking for, whether it’s a budget-friendly sedan or a high-end SUV. this clarity and accessibility have boosted consumer confidence and streamlined transactions, fueling the market’s growth.

Archyde: What types of vehicles are most in demand, and why?

Estonia’s Used Car Market: Trends, Challenges, and Future Outlook

estonia’s used car market is experiencing a significant boom, driven by evolving consumer preferences, technological advancements, and economic factors.In a recent discussion, Kati Tamm, an expert in the automotive industry, shed light on the key trends shaping this dynamic sector, the challenges it faces, and what the future holds.

SUV Dominance and the Rise of Electric Vehicles

According to Kati Tamm, passenger cars and SUVs dominate Estonia’s used car market, with over 21,000 listings on platforms like Auto24.ee. “SUVs, in particular, have seen a surge in popularity due to their versatility and suitability for Estonia’s varied terrain and weather conditions,” she noted.commercial vehicles are also in high demand, reflecting the growth of small businesses and the logistics sector.

Interestingly,there’s a growing interest in electric and hybrid vehicles.As consumers become more environmentally conscious, they are increasingly drawn to the long-term cost savings on fuel that these vehicles offer. However, the used EV market is still in its early stages. “While new EVs remain expensive, used models are becoming more affordable, making them an attractive option for budget-conscious buyers,” Tamm explained. Despite this growth, challenges like battery lifespan and charging infrastructure need to be addressed to fully unlock their potential in the used car market.

Challenges in the Used Car Market

One of the biggest hurdles in the used car market is ensuring the quality and reliability of vehicles. Buyers must be cautious about factors like mileage,maintenance history,and potential hidden issues. Platforms like Auto24.ee are tackling this problem by encouraging sellers to provide detailed information and offering vehicle inspection services. “Additionally,government regulations and consumer protection laws coudl play a role in standardizing the market and building trust,” Tamm added.

Future Trends in Estonia’s Used Car Market

Looking ahead, Kati tamm predicts continued growth in Estonia’s used car market. “I expect the market to continue growing, driven by economic factors and technological advancements,” she said. The rise of online platforms will further democratize access, while the increasing availability of used electric and hybrid vehicles will cater to evolving consumer preferences. Cross-border transactions are also expected to rise, as buyers and sellers take advantage of Estonia’s strategic location in the Baltic region.

conclusion

Estonia’s used car market is thriving, offering a wide range of options for consumers and opportunities for industry stakeholders. As Kati Tamm aptly summarized, “It’s clear that Estonia’s used car market is thriving, and the forces shaping this dynamic industry are both exciting and transformative.”

What is the average age of vehicles in Estonia?

Estonia’s Used Car Market: Trends, Challenges, and Future Outlook

Interview with Kati Tamm, Automotive Market Analyst and Founder of AutoInsight Estonia

Conducted by Archyde News

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Archyde: Thank you for joining us today, kati. Estonia’s used car market has experienced a significant surge in 2024, reaching unprecedented levels. Can you explain what’s driving this growth?

Kati Tamm: Thank you for having me.The growth in Estonia’s used car market is indeed remarkable. Several factors are contributing to this trend. First, global supply chain disruptions that began during the pandemic have made new cars more expensive and harder to obtain. as an inevitable result,consumers are turning to the used car market as a more affordable and accessible alternative. Additionally, the rise of online platforms like Auto24.ee has made it easier for buyers and sellers to connect, considerably expanding the market.

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Archyde: Auto24.ee is Estonia’s largest database for vehicle ads. How has it influenced the market dynamics?

Kati Tamm: Auto24.ee has been a game-changer. With over 27,000 vehicle ads listed, it offers an unparalleled variety of options, from passenger cars and SUVs to commercial vehicles and even mototechnics. The platform’s user-kind interface and extensive search filters allow buyers to find exactly what they’re looking for, whether it’s a budget-friendly sedan or a high-end SUV. This clarity and accessibility have boosted consumer confidence and streamlined transactions, fueling the market’s growth.

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Archyde: What types of vehicles are most in demand, and why?

Kati Tamm: Luxury brands like BMW, Volvo, and Mercedes-Benz continue to dominate the market, as they offer a combination of reliability, performance, and prestige.At the same time, hybrid vehicles are gaining significant traction, reflecting a growing preference for eco-friendly options. Diesel vehicles, while still popular, are seeing a decline in market share as consumers become more conscious of environmental impact and fuel efficiency.

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Archyde: Regional trends show that Tallinn and Harju County have the youngest average vehicle age, while Põlva county has the oldest. What do these regional differences tell us?

Kati Tamm: These regional differences highlight the economic disparities and varying consumer preferences across Estonia. Tallinn and Harju county, being more urbanized and economically active, tend to attract newer, higher-end vehicles. In contrast, rural areas like Põlva County frequently enough see older vehicles due to budget constraints and lower turnover rates. However, the nationwide average vehicle age of 7.5 years indicates a healthy mix of newer and older models, catering to a wide range of buyers.

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Archyde: first-time registrations of used cars also reached a record high in 2024. What does this signify?

Kati Tamm: The increase in first-time registrations—24,685 vehicles in 2024—shows that Estonia is becoming a hub for high-quality used cars imported from othre European markets. Models like the Volvo XC60, XC90, and Volkswagen Passat are particularly popular, as they offer reliability and versatility. This trend also reflects the growing trust in the used car market, with buyers willing to invest in vehicles that have been previously registered abroad.

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Archyde: With hybrid and electric vehicles gaining traction, do you see this as a long-term shift in the market?

Kati Tamm: Absolutely. The rise of hybrid and electric vehicles is not just a passing trend but a fundamental shift toward sustainable transportation. As infrastructure for electric vehicles improves and consumer awareness grows, we can expect this segment to expand further.However, traditional engine types like diesel and gasoline will remain relevant for the foreseeable future, especially in rural areas where charging infrastructure is still developing.

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Archyde: What challenges does the used car market face,and how can they be addressed?

Kati Tamm: One of the main challenges is ensuring transparency and trust in transactions. While platforms like Auto24.ee have made the process easier, there’s still a need for better regulation and consumer protection measures. additionally, the market must adapt to the increasing demand for hybrid and electric vehicles by providing more options and educating buyers about their benefits.

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Archyde: what’s your outlook for Estonia’s used car market in the coming years?

Kati Tamm: The future looks promising. with continued growth in online platforms, increasing consumer confidence, and a shift toward sustainable transportation, the used car market is set to thrive. However, stakeholders must remain agile and responsive to changing trends and challenges to sustain this momentum.

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archyde: Thank you, kati, for your insights. It’s clear that Estonia’s used car market is not just growing but evolving in exciting ways.

Kati Tamm: Thank you. It’s an exciting time for the industry, and I look forward to seeing how it develops in the years to come.

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this interview highlights the key drivers, trends, and future outlook of Estonia’s booming used car market, offering valuable insights for buyers, sellers, and industry stakeholders alike.