Black Book executive vice president of operations Anil Goyal got straight to the point in the latest edition of the Market Insights report distributed on Tuesday.
Goyal said, “This November was the weakest month in two years as used-vehicle values reversed course and started to decline sharply after a strong start earlier in the year.”
Wholesale prices closed the month by dropping at greater rates than analysts saw on average during the previous four weeks.
Beginning with volume-weighted information for cars, Black Book indicated overall car segment values decreased by 0.91% last week. That’s a bit higher than the four-week average of 0.86%.
In the car segment, analysts noticed luxury car, near-luxury car, full-size car and sub-compact car segments values decreased the most, with declines ranging from 1.24% to 1.36%.
The volume-weighted truck information revealed that the overall truck segment values (including pickups, SUVs and vans) dropped by 0.88% last week. Like cars, that movement topped the four-week average, which was 0.79%.
Among trucks, analysts found sub-compact crossover and full-size crossover/SUV segments decreased the most, sliding by 1.50% and 1.57%, respectively.
The anecdotes Black Book representatives stationed at nearly 60 sales nationwide shared with analysts at headquarters supported the price movements. Here is the rundown from the latest report:
— From Pennsylvania: “Late models are having a tough go due to the increasing incentives on the leftover 2019 new vehicles.”
— From Colorado: “There was a good mix of cars, trucks and SUVs. Small and midsize SUVs sold well, but the prices were down. Full-size trucks and SUVs were down in value also.”
— From Tennessee: “Prices and sold percentages were down. The smaller SUVs drew the most interest.”
— From Florida: “Rentals and off-lease were just OK as it seemed as if the dealers were only buying to replace vehicles that they had retailed and not interested in speculating.”