LAWRENCEVILLE, Ga.—Black Book’s Used Vehicle Retention Index for January (114.5) showed a +1.2 point change from December (113.3), the company reported.
The improvement in used vehicle value retention comes after a marked decline in used prices during the final three months of 2019.
“The used vehicle values declined steeply in the fourth quarter of last year as automakers sweetened incentives to drive demand towards new inventory,” said Anil Goyal, executive vice president, operations. “However, the used market was resilient at the start of the new year with active buying in the wholesale channels. The used mainstream sedans and compact crossovers are seeing higher demand whereas the used pickup truck values are coming off their highs.”
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.