Black Book found that both its vehicle value data and mood in the lanes reflected an upbeat direction as the industry approaches spring activities.
This week’s Black Book Market Insights report again showed compact cars demonstrating better retention heading into the early spring selling season.
Editors mentioned the overall truck segment values decreased by only 0.27 percent last week. However, they also spotted that full-size crossovers/SUVs posted a weekly depreciation rate of 0.51 percent.
“Market sentiment in the auction lanes is optimistic with good sales reported last week. Demand is picking up as dealers stock up for the tax refund buyers,” said Anil Goyal, Black Book’s senior vice president of automotive valuation and analytics.
Volume-weighted, Black Book indicated overall car segment values decreased by 0.46 percent last week, slightly higher than the depreciation rate of 0.42 percent seen in the previous four weeks.
Editors found that prices in prestige luxury car and luxury car segments declined the most by 1.57 percent and 0.86 percent, respectively.
Volume-weighted, Black Book determined values in the overall truck segment (including pickup, SUVs and vans) decreased by 0.27 percent last week; lower than the depreciation rate of 0.42 percent noted in the previous four weeks.
Editors added the full-size crossover/SUV and midsize crossover/SUV segments declined the most by 0.51 percent and 0.40 percent, respectively.
Turning next to Black Book’s auction observers, separate reports out of Pennsylvania headlined the positive mood.
“Good sale today. Dealers were upbeat and buying inventory,” the first recap from the Keystone State said. While the other added, “Market here is booming with trucks and SUVs in the most demand.”
In Tennessee, Black Book’s lane representative using the same adjective, saying, “Good stable market here with tax time cars being in largest demand.”
Further south in Florida, auction watchers reported, “Dealers looking for clean older cars for tax season. Trucks sold well as usual but so did smaller cars.”
The positive vibe extended out West as the report from Nevada noted, “The lanes are full of post-holiday optimism with SUV’s leading demand.”
The only negative recap came from Michigan where Black Book’s watcher said, “Very cold today reducing attendance somewhat. Buyers only purchasing what they needed but nothing extra.”