Spring Rebound Helps Stronger Used Vehicle Pricing, J.D. Power Finds
Monday, June 25th, 2018
In their May 2018 Used Car and Light Truck Guidelines Industry Update, analysts at J.D. Power Valuation Services note the used vehicle market performed well in April with prices stronger than expected. Compared to March, wholesale prices of used vehicles up to 8 years in age increased by 0.2 percent for the month.
Highlights from the free monthly report also point out:
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Used Vehicle Price Index Increased
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Index bumped up 1 point to 117.1
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New Vehicle Daily Sales Rate Increased
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DSR rose 2.9%, new vehicle SAAR reached 17.07M
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Incentive Spending Increased
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Incentives grew for 37th straight month
David Paris, executive analyst at J.D. Power Valuation Services said, "April's performance was definitely not the norm. In fact, it was the best performance we've seen in April since 2011."
Paris went on to say, "That all said, we've observed the development of a trend that began four years ago in 2014. It seems that prices have been stronger year-over-year for the April period. The performance can be attributed to an extended spring rebound in used vehicle prices that we traditionally see during the first quarter of the year."
