LAWRENCEVILLE, Ga.—The average price of a used vehicle for model years 2011-2015 depreciated by 1.5% during July, slightly better than June (-1.7%), Black Book reports.
The market performance was similar to the depreciation rates seen in the past three years in the month of July: -1.4% in 2015, -2.1% in 2014 and -1.3% in 2013.
Cars overall bounced back from June (-2.2%) ending the month at -1.9%. Trucks as a whole finished at -1.2% for July. All vehicles are averaging a 12-month depreciation change of -15.4%, same as last month, and at the lower end of the range seen prior to the recession, Black Book said.
Luxury cars saw the highest depreciation during July at 2.5%. Vehicles in this segment finished the month with an average price of $23,476, a 21.8% change from year ago levels.
Full-size crossovers saw the strongest retention during July at -0.5%. Vehicles in this segment finished the month with an average price of $28,739 a -9.6% change from a year ago. Full-size vans (-0.7%) were the only other segment that had a depreciation rate of less than -1.0% on the month.
In addition to the luxury cars, five vehicle segments saw an increase in depreciation by 2.0% or greater in July. Those segments were the compact luxury cars (-2.3%); mid-sized cars (-2.2%); prestige luxury cars (-2.1%); sub-compact cars (-2.1%); and full-size cars (-2.0%).
“Although we saw depreciation trends last month that was consistent with typical seasonal valuation patterns this month, many segments showed slightly better retention heading into the deeper summer months,” said Anil Goyal, senior vice president of automotive valuation and analytics. “Depreciation for all segments will likely worsen as fall nears and demand for certain segments continues to dwindle.”