Last week in the lanes brought with it price declines for all of the car segments, while once again pickup trucks held their value — a trend that has been witnessed for most of 2015.
“Car segment values continue to decline at a steady pace while most pickup and SUV truck segments enjoy strong retention,” said Anil Goyal, vice president of automotive valuation and analytics.
And in the latest Black Book Market Insights report, analysts spotted another trend, as well, impacting auction volume in the lanes.
Black Book editors said they are beginning to notice a “healthy amount” of 2015 model-year vehicles at auction, which they noted is in line with seasonality as dealers look to prepare their lots for 2016 models.
And many dealers are trying to clear their lots before rates at auction drop any further.
Last week, Black Book editors overheard a buyer from Tennesee say, “Several dealers said that they were dumping old stock before prices fell any further. Even at that, there were still several no-sales today.”
This past week car values dropped by 0.41 percent or $48, which is in line with average depreciation rates seen over the past three months.
Trucks, on the other hand, only dropped by an average of 0.31 percent or $60.
Among the car segments, the upper mid-size cars led the pack for depreciation, with rates dropping by 0.62 percent or $70. This segment was followed by the entry mid-size cars (-0.54 percent or -$50) and the luxury level cars (-0.55 percent or -$111), respectively.
A better performance was seen among the full-size cars, which held their value the best among the car segments with a 0.11 percent or $10 decline.
The prestige luxury cars also saw better price retention as rates only dropped by 0.14 percent or $42.
The truck segments once again outperformed their smaller counterparts, with the pickups posting the best numbers last week.
Compact pickups posted the best price retention with an increase in average price of 0.16 percent or $25. The mid-size pickups also posted an increase, with rates rising by a slight 0.04 percent or $4. These were the only two segments to see prices rise at auction last week.
July’s auction environment, as far as price movement discrepancy between cars and pickups, echo the same trends seen in June.
According to the latest RVI Market Update, as the RVI Used Vehicle Price Index dropped by 0.5 percent in June, compact vehicles and sedans saw the greatest price drops last month, while used prices for larger vehicles such as full-size pickups increased.
This statistic reflects the current trends well: According to RVI data, full-size pickup prices increased by 1.2 percent last month, and small pickup prices ramped up by 1 percent.
On the other end of the spectrum, sub-compact prices dropped the most in June, with prices dropping by 2.9 percent. The full-size sedans also took a hit with rates dropping by 1.9 percent, followed by the mid-size sedans decline of 1.8 percent.