Used car prices continue to fall. The average used vehicle carried a list price of $26,510 last month — down $633 from one month before.
“As the supply of new vehicles improves — and it is improving rapidly — demand for used vehicles is declining,” explains Cox Automotive Chief Economist Jonathan Smoke. Cox Automotive is the parent company of Kelley Blue Book.
America’s used car dealers report an inventory of 2.21 million cars to sell — about 48 days’ supply. That means a lean start for the spring selling season. In January, the average dealership had a 54-day supply of used cars to sell.
The lower inventory levels are sending many dealers into the wholesale auction lanes to help restock the shelves, pushing wholesale prices slightly higher.
The Cheaper the Car, the Harder It Is to Find
As with new cars, the lower the price, the tighter the inventory. Days’ supply for vehicles priced under $10,000 was 35. Day’s supply for vehicles priced between $10,000 and $15,000 was 42; between $15,000 and $20,000 was 46; and $20,000 to $35,000 around 50. Used vehicles with listing prices above $35,000 had the highest days’ supply at 53.
Toyota had the lowest days’ supply of used vehicles at 39. Acura, Honda, Nissan, Mazda, and Lexus also had days’ supply below 45.
