After the NADA November Guidelines report released Tuesday found that wholesale used-vehicle prices for units up to 8 years in age fell by 3.5 percent in October, NADA Used Car Guide predicted that downward wholesale price movement is expected to slow slightly this week.

NADA expected auction prices to fall by 0.2 percent or $25.

In a trend not seen in recent weeks, a pair of segments are actually predicted to see price increases: the compact utilities and large pickups are expected to see prices rise by 0.2 percent and 0.1 percent, respectively.

And the luxury and mid-size utility segments along with mid-size cars are expected to remain flat versus their two-week averages.

As for declines this week, midsize vans are expected to see percentage rates drop the most, falling by 0.4 percent or $50, followed by compact cars with losses around 0.3 percent or $25.

Large SUVs and luxury cars are each expected to decline by 0.2 percent or $50 apiece.

October’s Price Drops

This news comes after NADA reported this past month’s price decrease marked the largest fall since October 2011's similar drop of 3.5 percent.

"Without the drama created by federal lawmakers that resulted in the shutdown, it's likely that October's rate of decline would have been directly in line with recent seasonal norms," said Jonathan Banks, executive automotive analyst for the NADA Used Car Guide.

At the segment level, the biggest price drop this past month was seen in the midsize van segments, where prices fell by 4.7 percent, according to NADA data.

The organization’s November Guidelines  report attributed this drop to its “substantial rental fleet exposure and the fact that rental companies remarket large quantities of similarly equipped units at auction over a compressed amount of time.”

Luxury cars and compact cars also saw declines slightly higher than the average, perhaps not surprising as gas prices continue to fall.

Prices for luxury cars and compact cars fell by 3.8 percent and 3.6 percent in October, respectively.

NADA isn't the only one reporting on the significant price declines in the used-car market. A new analysis by Edmunds.com has found that used-car prices are at their lowest level in four years.

The average used car price in Q3 was $15,617, the lowest average for any quarter since Q3 2009 ($14,808), and far below the post-recession peak of $16,473 in Q2 2011.

“Now that the new car market has hit its stride, buyers are no longer drawn to used cars the way they have been in recent years,” says Edmunds.com’s director of Used Car Analysis Joe Spina. “Used-car prices will likely continue to decline in the coming months simply because there will be more of these vehicles sitting on dealer lots.”

Four- and two-week AuctionNet wholesale average prices are created by collecting all AuctionNet records for vehicles  up to 5 years of age for a specified period of time. Prices are then adjusted for changes in mileage and mix.

Current week prices are based on NADA's proprietary used vehicle value model which includes assumptions for new vehicle prices, used vehicle supply, gasoline prices, and other economic factors.

Below you will find NADA UCG’s AuctionNet data regarding this week’s wholesale price movement predictions: