Used Car Prices Positioned to Stabilize as Sales Increase
Used car market sees rising demand and falling supply.
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You can’t even give away a used Tesla in this market.
Plus, trucks are hot, mustangs are cool, and buyers are tired of fancy cars — or expensive cars.
Used Car Prices are Down, but Sales are Up.
Used car sales are still climbing while new car prices stay high. And in another piece of good news for sellers, used car inventory is falling pretty quickly. That means we could see used car prices level out for the next month or so.
Used Cars sales started 2023 strong, showing a 13% increase over the beginning of 2023.
And that trend is followed by another piece of good news for sellers: a drop in used car inventory. The average list price has dropped but is still historically pretty high.
Used Car Prices on the Carmigo Marketplace
On the Carmigo Marketplace, we’re still seeing some of our sellers’ expectations coming in higher than what buyers are willing to pay. But we also saw a flurry of increased activity in March, which could be in response to the nationwide drop in used car inventory.
Plus New Car Prices are still high, even though it seems those prices topped out and may begin declining soon. The average new price is now $47,32. But new car prices will likely only decline slightly and slowly. So used car prices could still see some stability in the coming months.
The Manheim used car index showed that pickup trucks were the only market class to see positive price changes compared with last year (nearly 1%). Most value losses were moderate (2% or less), but vans saw a 3.6% loss in value, and luxury cars a 7.7% loss compared to last year.