Used Car Prices Increase At A Slower Rate

Cars

Used car prices rose moderately in June as the number of vehicles that are operating in the United States has continued to increase.

In a recent report on the wholesale market, Jonathan Smoke, chief economist for Cox Automotive, said prices have risen, but the increase has been less than it was in 2018. The usual rise in the spring during tax refund season came later than it did in 2018, and the average tax refunds were lower. But consumers who drive the used car market seemed to benefit the most with regard to tax refunds, he said.

Used car prices rose 0.61% in June, and the prices were up 4.1% from the same month in 2018, said Zo Rahim, manager of economics and industry insights for Cox Automotive. As a result, the Manheim Used Vehicle Value Index was at 140.5 in June. The rise in used vehicle prices is exceeding the increase in new car prices as new car prices typically increase 3%, while used prices grow 2%, Rahim said. In June, midsized cars and pickups outperformed the other vehicle segments in the wholesale market.       MORE

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