Used supply will remain tight, but keep growing

Used supply will remain tight, but keep growing

This year should see more used vehicles at auction, according to NADA and the National Auto Auction Association. The trend started late last year, when the increase in dealer consignment and factory vehicles more than offset the lagging supply of fleet/lease vehicles and overall auction volume, NAAA economist Ira Silver told AutoRemarketing.com.

But overall, used vehicle supply will remain tight, said Jonathan Banks, executive automotive analyst for the NADA Used Car Guide. The number of late-model vehicles (three years old or less) will increase, but the supply of vehicles eight years or less will drop 3 percent this year. Off-rental units are expected to grow 5 percent this year, up from 3 percent last year.