U.S. retail used car prices up 7.6% in 2nd quarter
The average used car sold at retail is getting younger and pricier, according to Edmunds.comês latest Used Vehicle Market Report. Used car inventories are shifting toward newer, off-lease vehicles and certified pre-owned (CPO) vehicles. Average used-vehicle prices hit a record high of $18,800 in the second quarter, 7.6 percent higher than a year ago. Although used cars retailed are generally newer in recent years, the large number of lease returns means the retail price is not as high as it might otherwise be.
Franchised dealers sell about 42% of the total 41million used vehicles sold annually in the U.S. or 17.4 million. Of that number, however, 7.5
million are wholesaled, leaving 9.9 million retailed by franchised dealers, which is 58% of total new vehicles new vehicle dealers retail per annum.
The report also found:
– Pickups are seeing the most price growth in the used market, while passenger car prices are dropping
– The average amount financed on a used car is $20,732, up 3 percent from last year and
– Loan terms on used cars are growing to offset higher average prices. For the first time since before the recession, average APRs on used car loans are creeping higher.Download Bulletin PDF