Else Beekman
Buying a new car in Spain is becoming a serious financial challenge for many. The days of affordable, reliable run-arounds are fast disappearing, as prices climb to record highs.
Latest data from Coches.com and Ganvam reveals how steep the climb has been; average new car prices at official dealerships have risen by 38.1% since 2019, just before the pandemic hit.
Between January and April 2025, new car buyers in Spain paid an average of €40,582. Six years ago, that figure stood at €29,392. This sharp rise has far outstripped Spain’s general inflation rate of 21.2% over the same period, leaving many would-be buyers priced out of the market.
Fewer affordable models on the market
In 2019, nearly four out of ten models were priced below €17,731. Fast forward to 2025, and only 21% remain below €23,774, the current average amount buyers are spending to register a new vehicle. That amounts to a 41% drop in the number of models considered reasonably affordable.
The shift away from cheap cars is even more striking when looking at the country’s most popular models. In 2019, just three exceeded €20,000. Today, only one model remains below that threshold. At the same time, the average price of the ten best-selling cars has rocketed from €18,925 to €29,645 – a 56.6% increase that even outpaces the wider market trend.
Carlos Blanco, CEO of Coches.com, points to several reasons behind the steep rise. Tougher environmental rules, including mandatory advanced safety systems (ADAS), the forthcoming Euro 7 emissions standards, tariffs, and stringent CO₂ targets, are all adding to the cost of manufacturing. However, Blanco believes competition from Chinese brands and the ongoing push for electrification may help stabilise prices in the years ahead.
Dacia Sandero is no longer the bargain it once was
Few models highlight this dramatic shift as clearly as the Dacia Sandero. Once renowned as Spain’s ultimate budget car, with prices starting at just €5,000, it continues to top the sales charts. But its reputation for rock-bottom pricing is fading fast. In 2019, the average Sandero cost €9,640; by 2025, that figure has climbed to over €15,300 – almost 60% higher.
New-car sales still lagging behind pre-pandemic levels
Spain’s new-car market is still struggling to bounce back after the turmoil of recent years. In the first four months of 2025, 377,889 new vehicles were registered, still 13.4% below the 436,328 sold during the same period in 2019. While Ganvam forecasts a slow recovery, it expects full pre-pandemic volumes won’t return until around 2030, with annual registrations potentially reaching 1.1 million by 2027.
Used cars no cheap cars anymore
With new models becoming ever more expensive, many buyers are looking to the second-hand market to be able to find a cheap car in Spain. The average price of a used car reached €19,990 in early 2025, a modest 2% rise compared to last year. But older vehicles – especially those over 15 years old – have seen prices surge by nearly 40% year-on-year, reflecting strong demand for affordable alternatives.
Interestingly, the market for second-hand electric vehicles is moving in the opposite direction. In early 2025, the average price of a used EV dropped by 12.1% year-on-year to €32,243, while sales soared by more than 50%. As prices become more competitive, many buyers appear increasingly willing to consider electric options.
Low-emission zones influence buying habits
Stricter environmental rules are increasingly steering buyers towards eco-friendly and electrified models, particularly in major cities like Madrid and Barcelona, where low-emission zones (Zonas de Bajas Emisiones, ZBEs) are already in force.
Source: CadenaSer
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