Retail used-vehicle prices continued to be soft w/ franchised dealers seeing their transaction prices drop a touch – 0.37% even though they were asking 4.5% more than year ago; Independent dealer transaction prices slumped 8.5% vs. a year ago and 1.4% vs. June.
Getting some of May and June trade-ins through Reconditioning Process and onto Lots:
Has helped franchised dealers post 6% gain in sales vs. year ago.
For Independent Dealers, Story Wasn’t Quite as Bright:
9.2% decline thus far in July and near 5% decline in year-to-date vs. 2011.
Working in Auto Industry’s Favor this Month:
Massive 24-plus percent spike in number of sub-prime loan application approvals.