Black Book Looks at February Trends and What’s Coming Next

Beggs_Ricky

Black Book’s man­ag­ing edi­tor Ricky Beggs has ana­lyzed used vehi­cle pric­ing data for Feb­ru­ary, along with pro­vid­ing an out­look on upcom­ing mar­ket trends…

Over­all, car and truck prices are down on an annual, quar­terly, and monthly basis, but cars had saw a wider decline. Cars are down 14.3% since a year ago, down 4.3% dur­ing the past three months, and 0.9% month-over-month. Trucks dropped 11.1% in price from the pre­vi­ous year, 2.2% on a quar­terly basis, and 0.7% for the month.
One seg­ment of the mar­ket did pretty well – vehi­cles in the under-$10,000 range saw price increases dur­ing Feb­ru­ary. That was spurred par­tially by sea­sonal buy­ing habits lever­ag­ing antic­i­pated tax returns, and more so by pos­i­tive price adjust­ments in fuel-efficient and small crossover sege­ments.
Black Book expects that addi­tional growth in new-car sales from pent-up demand will bring in more trade-in vol­ume and con­tribute to con­tin­ued slow eas­ing of prices at the whole­sale level.
Fuel-efficient seg­ments should gain from an increase in spring­time fuel prices, while pick­ups and small crossovers should also gain trac­tion as ser­vice sec­tors pur­chase more vehi­cles for con­tin­ued con­struc­tion activity.

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