Wholesale Used-Vehicle Prices Down 14% YOY in November
December 9, 2022
Wholesale used-vehicle prices (on a mix, mileage, and seasonally adjusted basis) declined to 199.4, down 14.2% from a year ago, according to the Manheim Used Vehicle Value Index (MUVVI) released Dec. 7th.
This is the first time Cox Automotive's MUVVI has dropped below 200 since August 2021.
WHAT CAUSED THE DROP?
One reason for the steady drop in prices is the increased availability of new vehicles. You can also credit higher interest rates for reducing demand for all types of vehicles, as well as fears over the potential of a recession.
But while dealers may be paying less for used cars, that doesn’t necessarily mean customers will see those savings in the prices they pay. Cox reports the average list price of a used vehicle was $27,564 in October, less than half a % point lower than in January.
