Based on a pair of projections released by industry observers on Wednesday, August used-vehicle sales should reach somewhere in the neighborhood of 3.4 million units.
At TrueCar’s ALG business unit, analysts are projecting 3.35 million used-car sales this month, which would be a 0.2% decrease from August 2018. It would be steady with July, ALG said.
Meanwhile, over at Edmunds, analysts are predicting an estimated 3.4 million used-car sales. That would translate to a seasonally adjusted annualized rate of 39.8 million. Last month, there were 3.4 million used-car sales with a SAAR of 39.6 million, Edmunds said.
In the certified pre-owned segment of the used-car market, the second half of the year has already made a strong start to the second half of the year.
There were 236,579 CPO vehicle sales in July, which beat year-ago figures by 6%, despite trailing June figures by 2%, says a recent Data Point report from Cox Automotive, which cites Motor Intelligence data.
This follows a first half where sales were up 1.3%, as the CPO market increasingly looks like it will reach a ninth straight record year.
Through seven months, certified sales have climbed 2% year-over-year, eclipsing the 1.6 million-unit mark, according to the Cox Automotive report.
CPO sales continue to be a bright spot for franchised dealerships this year, and KAR Auction Services chief economist Tom Kontos explained how those vehicles that become CPO units helped consignors and the wholesale market in July, too.
According to ADESA Analytical Services’ monthly analysis of wholesale used vehicle prices by vehicle model class, wholesale used vehicle prices in July averaged $11,452, representing a 0.2% softening compared to June but a 5.1% lift relative to July of last year.
Kontos pointed out all vehicle segments showed month-over-month declines in average prices except compact cars, compact pickups and full-size pickups; just some of the segments ripe for CPO.
“Average wholesale prices in July were flat relative to June and remained up on a year-over-year basis largely on the price strength and growing share of truck-segment sales. CPO sales continue to buoy off-lease vehicle prices,” Kontos said.
Staff writer NIck Zulovich contributed to this report.