Used Car Prices Still Soft, but Higher Than Year Ago

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CNW Research and President Art Spinella share an overview of used vehi­cle trends:

• Versus December ‘12, franchised dealer used prices (excluding taxes, fees, interest rates, etc.) are up 2.8 percent and 1.3 percent vs. November.

• For independent dealers, the gains were more dramatic, up 8.7 percent vs. year ago and 2.6 percent vs. November.

• Countering these gains are increases in used-vehicle days’ supply which could pressure dealers to move inventory faster by lowering prices or at least being more flexible on asking prices and trade ins.

• The desire and/or need for buying a used vehicle continues to build the basis for future sales.

• The early December data suggest a nine percent increase in the number of people who will buy a used car or truck soon.

• The fourth quarter saw an 8 percent increase in potential future customers.

• The number of months these consumers say they are away from an acquisition fell by 24 percent to 2.2 months in December, clearly indicating a good start to the 2014 used-sales market.

• Of those who postponed an acquisition earlier this year, 93 percent have made a used purchase.

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