As the industry turns its collective calendar to August, Black Book is seeing wholesale prices staying “unusually strong” for this time of year.
The latest Black Book Market Insights report showed how cars held better retention overall than trucks this past week with prices for sporty cars again increasing slightly.
“The used-vehicle market values remain unusually strong. The depreciation rates last week were the lowest in eight weeks,” said Anil Goyal, executive vice president of operations at Black Book.
Volume weighted, editors indicated overall car segment values decreased by just 0.09 percent last week. In comparison, the values had decreased at a rate of 0.30 percent per week during the previous four weeks.
Among car segments, Black Book reported that prestige luxury car values decreased the most last week, softening by 0.30 percent or $107.
Again volume weighted, editors mentioned that overall truck segment values (including pickups, SUVs and vans) dipped by 0.19 percent last week. In comparison, Black Book recapped that truck values had declined at a rate of 0.28 percent per week during the previous four weeks.
Within truck segments, Black Book determined full-size crossover/SUV values dropped the most last week, sliding by 0.42 percent or $96.
Moving along to what Black Book collected from its representatives stationed at nearly 60 sales nationwide, dealer attendance varied greatly.
A high note was struck up in Washington where the observer, “attended a special event sale that saw record numbers with the consignment over 5,000 and a conversion rate of over 70 percent.”
Meanwhile, down in Georgia it was a different story as the representative shared, “Physical attendance was low which matched the consignment at the highline sale. Online attendance and participation was good, which saved the day.”
Going back out West, Black Book’s personnel stationed in California noticed, “Strong sales have become the norm recently as have higher prices. Dealers are having difficulty sourcing quality older vehicles.”
In the Lone Star State, Texas dealers are in search of inventory that’s not likely to surprise wholesalers as Black Book’s lane watcher said, “Trucks are selling well if they have an above average condition grade.”
The last observation originated from Tennessee where the Black Book representative stated, “SUVs and pickups are selling the best, but the consignment numbers are down.”