Last month wholesale used-vehicle prices dropped again, while inventory levels keep their post-recession recovery.
In September prices for the average wholesale used-vehicles dropped 2.1% compared with the same period last year and they will continue to fall until the end of the year, according to ADESA Analytical Services.
“We’ve seen a little more than seasonal decline, through the summer especially,” said Tom Kontos, executive vice president of ADESA. “I’d expect prices in the fourth quarter to be a little bit softer.”
If the wholesale used-vehicle prices fall, this means that trade-in value for consumers will also decrease. Since the declines have been minimal, they haven’t affected that much the area where consumers and buyers can capitalize on the market. According to Ricky Beggs, vice president of Black Book, an independent vehicle pricing information website, this situation is profitable for both the seller and the buyer.
Since May the prices for wholesale used vehicles have continued to fall, the price for a midsize SUV dropping 11.2% in September to $6,626, luxury car prices were down 5.9%, minivan’s decreased 4.6%, while the full-size cars’ price increased 5.2% to $7,520 and Mini SUV was also up 3%.