Whole¬≠sale used vehi¬≠cle prices con¬≠tin¬≠ued declin¬≠ing for the fifth straight month in Sep¬≠tem¬≠ber. The Man¬≠heim Used Vehi¬≠cle Val¬≠ue Index read¬≠ing was 121.4, down 1.1% from a year ago. Trade ins and lease turn-ins brought high¬≠er-than-desired used vehi¬≠cle inven¬≠to¬≠ry lev¬≠els for fran¬≠chised deal¬≠ers. Deal¬≠ers who priced right quick¬≠ly retailed them and then pur¬≠chase from grow¬≠ing sup¬≠ply of auc¬≠tion con¬≠signed units. Inde¬≠pen¬≠dent deal¬≠ers also increased pur¬≠chas¬≠ing activ¬≠i¬≠ty giv¬≠en a slight improve¬≠ment in retail sales and low¬≠er whole¬≠sale pric¬≠ing.
Retail Sales Had Bet¬≠ter Sep¬≠tem¬≠ber after August when Used Declined More than 9%:
Strong new vehi¬≠cle sales stole some used buy¬≠ers, but result¬≠ing trade-ins were then retailed.
Pick¬≠ups and Vans Strongest, but All Mar¬≠ket Class¬≠es Show¬≠ing Price Eas¬≠ing on Sea¬≠son¬≠al¬≠ly Adjust¬≠ed Basis:
Lux¬≠u¬≠ry car price decline slowed, which could be good for lessors with large lux¬≠u¬≠ry vol¬≠ume com¬≠ing back soon.
Vehi¬≠cles in $9K to $10K Price Range Con¬≠tin¬≠ued to Show Weak¬≠est Rel¬≠a¬≠tive Price:
Seg¬≠ment may be helped in com¬≠ing months by falling gaso¬≠line pump prices.