The wholesale used vehicle market continues to gain momentum, with the overall pace of depreciation slowing and auction conversion rates once again surpassing 60%, according to Black Book’s weekly market update.
These trends point to strengthening demand and suggest that an early spring market is already taking shape.
On a volume-weighted basis, the overall Car segment decreased -0.27%. For reference, in the previous week, cars decreased -0.36%.
The 0-to-2-year-old Car segments were down -0.15% and 8-to-16-year-old Cars decreased -0.42%.
All nine Car segments reported a decrease in values last week.
The 0-to-2-year-old Mid-Size Car segment, which had been posting progressively smaller declines in recent weeks, shifted into positive territory last week with a gain of +0.35%. This marks the segment’s first measurable increase since a brief uptick during the week of Thanksgiving last year, signaling a potential early stabilization in values after an extended period of depreciation.
The 0-to-2-year-old Sub-Compact Car segment is relatively small, but limited competition and an attractive price point have supported its recent momentum, with values rising in six of the past eight weeks.
The volume-weighted, overall Truck segment decreased -0.28% compared to the decrease seen the prior week of -0.37%.
The 0-to-2-year-old models saw an average decrease of -0.26% and the 8-to-16-year-old models experienced an average decrease of -0.44%.
Twelve of the thirteen truck segments declined last week.
The Compact Luxury Crossover/SUV segment showed strength among newer models, with 0-to-2-year-olds up +0.13% and 2-to-8-year-olds rising +0.15%. In contrast, older units continued to soften, as 8-to-16-year-olds declined -0.58% last week.
The Minivan segment declined -0.22% last week, following a minimal gain of +0.01% the previous week. Among age groups, values for 8-to-16-year-old models were essentially flat at -0.001%, while 0-to-2-year-old units edged down -0.03%.
