While movements aren’t regaining spring-market strength, Black Book is seeing wholesale prices being supported by Fourth of July demand.
According to the latest Black Book Market Insights report, car depreciation decelerated while truck prices landed near the four-week average.
“Used-vehicle demand remains relatively strong as we approach the Fourth of July weekend. Truck values continue moderate stability, while car depreciation has decelerated,” Black Book executive vice president of operations Anil Goyal said in the latest report.
According to volume-weighted data, editors determined overall car segment values decreased by 0.21% last week. That’s a little more than half of the four-week average that Black Book pinpointed at 0.39%.
Among cars, editors found the values of prestige luxury and midsize cars decreased the most, sliding by 0.48% and 0.40%, respectively. All car segments except one — premium sporty cars — had smaller depreciation rates than the prior week.
Again based on volume-weighted information, Black Book discovered overall truck segment values (including pickups, SUVs, and vans) declined by 0.17% last week. The four-week average truck price decline was 0.13%.
Within trucks, the values of compact luxury crossover/SUVs and sub-compact luxury crossovers declined the most at 0.72% and 0.51%, respectively.
Turning next to what Black Book representatives noticed in the lanes at nearly 60 sales nationwide, the anecdotes covered an array of topics, including:
— From Pennsylvania: “While they are popular all of the time, the $10,000 price range units are in extremely high demand.”
— From Illinois: “I spoke with three different remarketers at the auction and they all agreed that the used-vehicle market remains good. However, they did state that the higher-price vehicles are becoming a challenge to remarket.”
— From Massachusetts: “The rental and lease lanes sold almost everything, but their reps reported that trucks have become a struggle to get the money they were a few months ago.”
— From Michigan: “Our market seems to be trending downward, especially at the upper end of the truck market where vehicles are priced around $60,000.”