Used Trucks Lost More Value Than Sedans in October
Black Book’s latest Used Vehicle Retention Index report shows retained values for light trucks declined at a faster rate than many car segments.
Black Book analysts say values for pre-owned full-size pickups and small pickups fell by 1.3% and 1.59%, respectively, in October.
Photo by Stevenom via Pixabay
LAWRENCEVILLE, Ga. —Black Book (div. Hearst) released its Used Vehicle Retention Index for October. The index fell from September’s 115.9 to 115.6, a -0.33% change.
Remarkably, light truck segments — including pickups, SUVs, and CUVs, saw values decline at faster rates than many car segments, some of which improved. Sporty cars (0.43%), compact cars (0.34%) and mid-size cars (0.22%) were the biggest gainers. Near the bottom of the list were mid-size SUV and CUVs (-0.89%), full-size pickups (-1.3%), and small pickups (-1.59%).
“In the last couple of years, the used vehicle values held up unusually high till late in the year. However, the market trend this year is consistent with typical seasonality patterns,” said Executive Vice President of Operations Anil Goyal. “Interestingly, the truck segments are now seeing larger declines as opposed to sedans. As supplies of used crossovers and pickup trucks continue to increase, the demand will need to be stronger for values in these segments to stay stable.”
The Black Book Used Vehicle Retention Index is calculated using Black Book’s published Wholesale Average value on two- to six-year-old used vehicles, as percent of original typically equipped MSRP. It is weighted based on registration volume and adjusted for seasonality, vehicle age, mileage, and condition.
To access the October report, click here.
More Auto Finance
Dealerships Are Paying the Price for Extended Car Loans
Growing negative-equity scenarios mean such lengthy terms should be addressed in a forward-looking way to make them work for the dealer and the consumer down the road.
Read More →
Trade-Ins in Negative Equity Reach New Heights
As such trade-ins rise in frequency, so do monthly loan payment amounts and interest rates, according to second-quarter data compiled by Edmunds.
Read More →
Auto Credit Plentiful
June numbers show lenders are readily granting access, including to risky borrowers, as consumers leverage themselves to take on high prices.
Read More →
Automotive Consumers Sink Further in Debt
Most financing metrics hit records in the second quarter as more buyers locked themselves into long terms and high monthly payments.
Read More →
Porsche Financial Services Shifts Structure
After 36 years with Porsche, the Financial Services Chief Financial Officer Konrad Riedl is retiring, and the department is realigning its management structure.
Read More →
Tariffs Could Raise Insurance Premiums
As U.S. import tariffs affect repair costs, consumers might find it more affordable to replace a damaged vehicle, according to recent Insurify tariff analysis.
Read More →
Smaller Loans, Longer Terms
The youngest generation of car buyers is more likely to finance less expensive vehicles, more than half of generation Z consumers borrowing less than $25,000.
Read More →
New Cars a Tad More Affordable
May averages show that combined circumstances gave auto consumers slightly better buying power for the month, though average prices were up year-over-year.
Read More →
First-Quarter Sees Long Auto Loan Growth
Experian data show more consumers are tapping the method, along with refinancings, to afford buying. Meanwhile, subprime borrowers are getting more access.
Read More →
Mastering Credit Friction
In this video, Josh Krach explains how to turn credit friction into an advantage.
Read More →