Though used prices continue to decline, it looks like the slide is slowing, according to CNW’s September Retail Automotive Summary.  As the rate of price decline continues to shrink and used vehicle days’ supply continues to grow, it appears the fourth quarter of this year bodes well for dealers' used-car departments.

CNW president Art Spinella explained, “The rate of price decline month over month is shrinking which could portend positive price increases in the fourth quarter of this year and certainly no later than the first quarter of next.”

As for the early part of September, CNW spotted a bit of gap between asking prices and transaction prices for franchised dealers.

“Franchised-dealer asking prices were up more than 5.6 percent in the opening weeks of September, but they couldn’t make the higher tags fully stick,” Spinella noted. .

Actual average transaction prices were up barely 1 percent, coming in at $10,984, compared to $10,807 during the same period last year.

As for independents, asking prices were 3.2 percent lower than year-ago levels, with transaction prices off nearly 7 percent, coming in at $8,853.

And Spinella explained a recent consumer trend could be contributing to these low prices. 

He suggested that "Used-car intenders are bargain hunting," and that more and more, they are turning to online price guides to "to haggle with dealers."

In fact, the number of shoppers who now haggle over a used car price has climbed from 71 percent in 2005 to more than 85 percent this year, the company reported.

That said, CNW remains confident that used prices will see an upturn in the coming months. And as prices may start to rise, days’ supply of used vehicles continues to improve, as well.

After years of tight used supply, with dealers struggling to find quality, pre-owned units in the lanes and beyond, days’ supply has been growing steadily since April, according to CNW.

For the Big 3, days’ supply sits at 49,71, rising from 44.97 during the same month last year.

As for Asian automakers, their days’ supply is 48.93, up from 42.05 just last year.

Lastly, CNW shared the days’ supply for European pre-owned units is up, as well, coming in at 48.02. In September of last year, European days’ supply sat at 46.32.