Tokunbo (Imported Used) vs Brand-New Cars in Nigeria: Which One Truly Makes Financial Sense? - Autolabari Blog
February 8, 2026 Bidi Zachariah 47 views 4 min read

Tokunbo (Imported Used) vs Brand-New Cars in Nigeria: Which One Truly Makes Financial Sense?

In Nigeria, buying a car is no longer just about preference — it’s about survival economics. With rising vehicle prices, volatile exchange rates, and high maintenance costs, choosing between a brand-new car and a Tokunbo (imported used) car can determine whether car ownership becomes a blessing or a burden.

But first, let’s be clear:

Tokunbo ≠ Nigerian-Used

This article compares Brand-New cars with Tokunbo (imported used) cars only.

 

What Exactly Is a Tokunbo Car?

A Tokunbo car is a vehicle that:

  • Was previously used outside Nigeria (USA, Canada, Europe)
  • Is imported into Nigeria
  • Is registered in Nigeria for the first time after importation

It is not a Nigerian-used car.

 

1. Purchase Price: The Real Nigerian Market (2025–2026)

🚗 Brand-New Cars (Popular Brands)

In today’s Nigerian market, brand-new cars from popular manufacturers such as Toyota, Honda, Hyundai, Kia, and Nissan are priced as follows:

  • Entry-level economy cars: ₦12m – ₦20m
  • Popular sedans & compact SUVs (Corolla, Civic, Elantra, etc.): ₦20m – ₦40m+
  • Mid-size SUVs & higher trims: ₦45m – ₦70m+

Anything significantly cheaper usually involves:

  • Very basic trims
  • Less mainstream brands
  • Limited after-sales support

 

🚙 Tokunbo (Imported Used) Cars

Tokunbo cars still offer a lower entry point — but prices have risen sharply in recent years.

  • Older imports (early–mid 2000s): ₦7m – ₦10m
  • Mid-range imports (2010–2014): ₦10m – ₦15m
  • Newer imports (2015–2019): ₦15m – ₦22m+

Below ₦7m, buyers should expect:

  • Very old vehicles
  • High mileage
  • Possible accident or flood history

 

2. Depreciation: Where Brand-New Cars Lose the Most

Depreciation is the silent cost many Nigerian buyers ignore.

  • Brand-new cars lose about 20–25% of their value in the first year
  • After that, depreciation continues at 10–15% annually

Tokunbo cars:

  • Have already absorbed the biggest depreciation hit abroad
  • Lose value more gradually in Nigeria

👉 Financial insight:
If you plan to resell within 3–5 years, Tokunbo cars usually offer better value retention relative to purchase price.

 

3. Maintenance & Reliability: Predictability vs Probability

✅ Brand-New Cars

Advantages

  • Manufacturer warranty (3–5 years)
  • Minimal repairs in early ownership
  • Predictable servicing costs

Disadvantages

  • Higher purchase price
  • Expensive repairs once warranty expires
  • Some spare parts may be costly or scarce initially

 

⚠️ Tokunbo Cars

Advantages

  • Lower purchase cost
  • Widely available spare parts for popular models
  • Often cleaner interiors and less suspension stress than Nigerian-used cars

Risks

  • Possible accident or flood history
  • Unknown maintenance culture abroad
  • Quality depends heavily on inspection and verification

A poorly inspected Tokunbo car can erase its price advantage within one year.

 

4. Fuel Economy & Daily Running Costs

Newer cars benefit from:

  • Improved engine efficiency
  • Better transmission systems
  • Lower emissions and fuel consumption

Typical comparison:

  • Older Tokunbo sedan: ~11–12 km/l
  • Newer brand-new model: ~15–17 km/l

With Nigeria’s fuel price volatility, this difference can translate to hundreds of thousands of naira saved annually.

 

5. Insurance, Documentation & Compliance

  • Brand-new cars
    • Higher insurance premiums (3–6% of vehicle value annually)
    • Cleaner documentation and easier registration
  • Tokunbo cars
    • Lower insurance premiums
    • Require careful documentation checks
    • VIN verification is essential

 

6. Resale & Exit Strategy

Smart buyers plan their exit before entry.

  • Brand-new cars depreciate faster early on
  • Tokunbo cars often resell faster if priced correctly
  • Popular brands (Toyota, Honda) always have stronger resale demand

If flexibility matters, Tokunbo often wins.

 

So, Which One Makes Financial Sense in Nigeria?

✅ Tokunbo Makes Sense If:

  • Your budget is below ₦20m
  • You plan to resell within 3–5 years
  • You inspect properly and verify history
  • You want maximum value for money

✅ Brand-New Makes Sense If:

  • You can comfortably afford ₦25m+
  • You want warranty and predictability
  • You plan long-term ownership (7–10 years)
  • You value peace of mind over initial cost

 

The Autolabari Viewpoint

The smartest Nigerian car owners don’t argue about “Tokunbo vs New.”

They ask:

Which option will cost me less over time, not just today?

That’s why Autolabari Auto Hub focuses on:

  • Buyer education
  • Vehicle verification
  • Trusted service and maintenance connections

Because the most expensive car in Nigeria is not brand-new or Tokunbo —
👉 it’s the one you buy without proper information.

 

Final Thought

In today’s Nigeria, Tokunbo cars still make financial sense for most buyers — but only when bought intelligently. Brand-new cars offer comfort and certainty, but at a premium that not everyone needs to pay.

The real risk isn’t Tokunbo.
The real risk is buying blind.

About Bidi Zachariah

Automotive expert and content creator at Autolabari. Passionate about helping car owners make informed decisions and maintain their vehicles properly.

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