LAWRENCEVILLE, Ga. – Used vehicles continue to hold their value at nearly record levels, reports Black Book, which said is Used Vehicle Retention Index in August hit its highest point since May of 2014.
As CUToday.info has reported, several auto industry analysts have forecast used values to plummet this year, due in part to a large number of rental car companies selling off their fleets as consumers cut back on travel during the pandemic.
However, used values have remained at high levels during the health crisis.
Black Book’s Used Vehicle Retention Index for August showed a +3.0 point change from July (126.0). Click here to obtain a copy of the latest index data.
“Wholesale prices continued to grow across all segments in August,” said Alex Yurchenko, senior vice president, data science at Black Book. “The increases were much smaller than in July, and by the end of the month, prices reached their peak. We expect the weakening of the market in the next several months as the economy remains weak and there is an expected glut of used supply.”
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.