As the cost of new cars continues to climb in South Africa, coupled with rising fuel prices and increasing living expenses, purchasing a new vehicle in the budget-friendly segment is no longer as affordable as it once was. For buyers with a budget below R230,000, weighing the difference between a brand-new car and a nearly-new alternative has become a crucial part of the decision-making process. A one-year-old vehicle often comes with low mileage and remaining warranty coverage, but its price typically reflects the depreciation incurred during the first year of ownership.

According to recent data from AutoTrader, the savings between new and nearly-new cars can vary significantly across the entry-level market. While some vehicles show notable price reductions after a year on the road, others retain values close to their original showroom price. Shockingly, in one instance, a used model’s average price even exceeds the listed cost of a new version. This analysis focuses on base trim levels of selected entry-level models, comparing their new prices against the average listed prices of one-year-old examples with low mileage—generally under 20,000 kilometers.

Why First-Year Depreciation Matters

“The first-year depreciation gap matters most where household budgets are already tight,” explains AutoTrader CEO George Mienie. “At the lower end of the market, a saving of R10,000 or R20,000 is not incidental. It can influence finance approval, monthly repayments, insurance affordability, and even whether a buyer can upgrade to a better-specified model. That is why nearly-new cars have become such an important part of the affordability conversation.”

Significant Savings: Kwid and Proton Saga Lead the Pack

Among the cars analyzed, the Renault Kwid 1.0 Evolution showcases the largest percentage savings. While priced at R178,999 new, one-year-old used examples average R156,129, reflecting a difference of R22,870 or 12.8%. The average mileage for these models is a modest 9,261 kilometers, making it a strong contender for buyers seeking value.

The Proton Saga 1.3 Standard Manual also emerges as an excellent nearly-new option. With a new price of R209,900, used models average R190,730—an R19,170 saving or 9.1%. Notably, this model boasts an impressively low average mileage of just 2,519 kilometers, making it particularly appealing for budget-conscious buyers.

The Rest of the Pack: Mixed Results

Not all models offer equally compelling savings. The Suzuki Swift 1.2 GL provides a notable cash saving of R13,855, with new models priced at R228,900 and one-year-old examples averaging R215,045. This equates to a 6.1% difference. However, the Swift stands out as one of the top 10 best-selling used vehicles on AutoTrader, with a staggering 914 one-year-old listings between January 2025 and April 2026.

Meanwhile, the Suzuki S-Presso 1.0 GL Manual lands closer to the middle of the group. Its new price of R178,900 compares with an average used price that offers less dramatic savings, illustrating the variability in depreciation trends within this segment.

Key Takeaways for Buyers

• Depreciation rates vary significantly, even within the entry-level market.
• Models like the Renault Kwid and Proton Saga offer substantial savings and low mileage, making them strong nearly-new contenders.
• First-year depreciation impacts affordability factors such as financing and insurance, emphasizing the importance of exploring nearly-new options.

For South African buyers navigating the tightrope of affordability, nearly-new cars present an opportunity to save thousands of rands without compromising on quality. However, careful analysis of each model’s depreciation trends and mileage is essential to ensure the best deal.