Depreciation Remained Slight at Spring Buying Season’s End

As the end of April marked the end of the spring buying season for used cars, overall used-car depreciation was very slight.
According to Black Book’s Ricky Beggs, overall, pre-owned vehicles only saw an average of 0.1 percent depreciation last month.
Specifically, domestic cars increased by 0.2 percent, and domestic truck values rose by 0.1 percent.
On the other hand, import vehicles saw a similar change in the other direction, with both cars and truck depreciating by 0.2 percent.
Beggs, vice president and managing editor of Black Book explained that April depreciation rates held few surprises as “average depreciation is historically between 1 percent and 2 percent monthly.”
Breaking it down by segment, entry-level cars were the biggest “gainers” for cars this past month, increasing by 1.5 percent in value, with average segment values ending April at $7,792.
On the highline side, prestige luxury cars fell the most in value for April, dropping 1.1 percent. Average segment value at the end of April for luxury cars was $32,938, Beggs reported.
For the truck segments, the biggest gainer was the minivan segment as family travel season gets underway. This segment increased 2.7 percent in value, ending the month with an average segment value of $9,927.
Full-size crossovers and luxury SUVs depreciated the most for truck segments, both dropping 0.7 percent during April, according to Black Book.
Full-size crossovers ended the month with an average price of $20,753, while luxury SUVs came in at $32,930.
Black Book also provided the complete breakdown of value changes of used cars in April (2007–2011):