LAWRENCEVILLE, Ga.—December continued the sharp fourth-quarter decline in used vehicle values, Black Book reported.
The company’s Used Vehicle Retention Index for December 2019 (113.3), showed a -0.7 point change from November (114.0).
“After a stable market performance earlier in the year, Q4 of 2019 experienced a steep decline in used vehicle values,” said Anil Goyal, executive vice president, operations. “The year ended with a 2.6% year-over-year change in the Index. Full-size vans and luxury sedans experienced the steepest drops as the Index dropped by about 2% in the month of December for these segments. On the other hand, the Index for mainstream mid-size sedans improved a little, highlighting the demand for affordable vehicles.”
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 obtain a copy of the latest Black Book Wholesale Value Index, click here.