Along with three notable anecdotes from the lanes and prices steadying a bit compared to earlier this month, this week’s Black Book Market Insights report contained a development that editors haven’t seen in 14 years.
While the overall used-vehicle market has remained stable during the past three years, Black Book noticed wholesale values in the luxury car segment have continued to slip as measured by its retention index.
Editors determined the gap between the luxury car reading and the overall used-vehicle market index is now the largest it’s been since 2005.
Last week’s metrics reinforced the point as Black Book said values of prestige luxury cars declined the most, sliding by 0.42% or $137.
The latest report went on to mention that based on volume-weighted data, overall car segment values decreased by 0.23% last week. That drop is less than half of the four-week average, which editors pinpointed at 0.48%.
Meanwhile, volume-weighted information on the truck side showed overall values (including pickups, SUVs and vans) ticked down by 0.14% a week ago. That’s 7 basis points less than the four-week average decline of 0.21%
Among trucks, Black Book said values of subcompact crossovers fell the most, dropping by 0.70% or $80.
“The used-vehicle values were stable last week after stronger declines in the previous two weeks. In particular, pickup trucks are showing strong retention,” Black Book executive vice president of operations Anil Goyal said in the latest report.
Finally, editors closed with a trio of observations from their representatives stationed at nearly 60 sales nationwide.
The recaps begin with a buyer in Georgia telling Black Book: “I could get the vehicles I was looking to buy cheaper from the factory than what some of the late models were bringing today.”
At a sale in Wisconsin, Black Book’s lane watcher said, “Dealers remain upbeat as we had active bidding and selling. SUV’s and pickup trucks ruled the day.”
Finally, from Florida, Black Book shared, “The rental and lease lanes sold fewer vehicles, mostly due to their condition. The representatives seemed to have little desire to lower floors at this point.”