Black Book: Depreciation Rates Are Accelerating
Small and midsize cars and SUVs are among the leading contributors to falling used-vehicle values across multiple segments, according to the latest report from Black Book.
Compact cars such as the Ford Focus fell by an average of 0.90% in Black Book’s most recent analysis of used-vehicle values.
Photo courtesy Ford Motor Co.
LAWRENCEVILLE, Ga. — The latest Market Insights Report from Black Book shows growing depreciation rates in many car and truck segments, including compacts, “sporty” cars, and midsize SUVs and CUVs. Analysts noted the report also shows retention rates for segments such as near-luxury cars have fallen over the past few years.
“Last week, used-car values experienced the highest depreciation since January this year, driven by rising no-sales noticed at several auto auctions,” said Anil Goyal, executive vice president of operations for Black Book.
Volume-weighted, overall car segment values decreased by 0.69% last week. In comparison, the market values had decreased by only 0.36% on average during the prior four-week period. In cars, the compact car, midsize, and sporty segments experienced the biggest drops.
Volume-weighted, overall truck segment (including pickups, SUVs, and vans) values decreased by -0.48% last week. In comparison, the market values had decreased by -0.26% on average during the prior four-week period. In trucks, the midsize SUV/CUV segment performed the worst, analysts said.
To download the full report, click here.
Originally posted on Auto Dealer Today
More Industry
Driving Under Distraction
Though consumers gave higher marks to new vehicles in JD Power’s most recent initial-quality poll, high-tech interference worsened, pointing to craving for simplicity.
Read More →
Affordable New Cars a Thing of the Past
More than one out of five new vehicles sell for more than $60,000, according to Edmunds. That's up 7% compared to prepandemic 2019.
Read More →
State Follows Federal Warning on Auto Ads
The Massachusetts attorney general cautioned the state’s automotive dealers to be upfront with the consuming public about their vehicle prices or risk punishment.
Read More →
Consumer Outlook on the Rise
Younger generations are feeling more positive about their financial futures and current affordability pressures than older generations, according to recent TransUnion data.
Read More →
Pennsylvania Dealership Under New Retailers
The sale of the Chrysler Dodge Jeep Ram store puts a family auto group on a leaner path as first-time dealers take the helm.
Read More →
Battery Storage Takes Priority Over EVs
U.S. automakers are prioritizing battery energy stationary storage over electric-vehicle production as the consumer demand for EVs lags the rest of the world.
Read More →
Auto Dealers Feel Better But Not Great
A second-quarter Cox Automotive poll of franchised retailers and independents found better views of the current market after a good spring but anticipation of third-quarter storminess.
Read More →
New-Vehicle Sales Picture Relative
A May forecast is complicated by last spring’s trade tariff effects on auto retail. Despite continued hard realities, many consumers took advantage of ways to bite the bullet.
Read More →
Auto Group Acquires Third Nissan Rooftop
Iowa-based Coleman Automotive Group recently acquired its seventh dealership, McGrath Nissan, which it renamed Nissan of Elgin.
Read More →
April Less Affordable
Based on prices, reduced incentives and slower household income growth, consumers found it more challenging to buy new last month, Cox Automotive reported.
Read More →