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Used Vehicle Prices Increase for the 1st Time in 6 Months

Used Vehicle Prices Increase for the 1st Time in 6 Months

McLEAN, Va., April 19, 2019 -- In the April 2019 Used Car and Light Truck Guidelines Industry Update, analysts at J.D. Power Valuation Services note that after six consecutive months of declines, the used vehicle market bounced back in March. As a result, the J.D. Power Valuation Services' Seasonally Adjusted Used Vehicle Price Index increased by 1.1 points – relative to February – to 117.5. March's positive result comes after weaker than usual January and February 2019 performances.

Highlights from the free monthly report point out:

Wholesale Prices Increase in March
Prices up by an average of 2.7%

Used Vehicle Price Index Grows
Index reaches 117.5

New Vehicle Sales Struggle
New sales down 2.2%, SAAR reaches 17.48M

Incentive Spending Declines
Incentive spending per unit fell 5.2% to $3,799

"In terms of full-year 2019 expectations, the used market is expected to slow in 2019," said David Paris, Executive Analyst at J.D. Power Valuation Services. "As a result, prices are forecast to fall by around 2%. Increasing levels of used supply along with more volatile credit conditions and increasing gas prices, which are expected to apply downward pressure on the used car market."

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