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Posts Tagged ‘used car prices’

Looking For a Deal on a Used Car? Think Small

Prices for used subcompacts down 6.3%.

by on Aug.19, 2016

Subcompact cars, like these 2014 Chevy Sonics, are the best deals in the used car market place right now.

Everyone is looking for a good deal, especially when it involves buying a car. Used car prices are on the rise, but there is one type of vehicle that offers a chance at that oft-chased good deal: small cars.

Prices for subcompact cars are bucking the pricing trend for used cars, according to They are down 6.3% while overall prices for previously owned vehicles are up 2.7% for the second quarter of the year.

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It’s not just the Chevy Sonics, Ford Fiestas and Honda Fits that are taking hits, compact and midsize car prices are down as well. A combination of hot-selling new cars and low gas prices are doing in the pricing on smaller vehicles. (more…)

Used Car Sales Slide in January

Lack of supply may help push prices higher.

by on Feb.22, 2016

Used car sales took a small dip in January, but a lack of availability may push prices higher.

New vehicles sales in the U.S. have been blazing along for the last 13 months, but they may be coming at the expense of the used car market, according to a new report.

The NADA Used Car Guide concluded the used vehicle market slightly underperformed in January 2016 compared to December 2015 with wholesale prices of vehicles up to eigAdd an Imageht years in age were down 0.1% in January versus December.

Used Car News!

January’s used vehicle price index followed a slightly greater decline of 0.3% compared to December, bringing the index to 122.2. The index stood at 125.4 last January, 2.6% above this year’s level. (more…)

Uptick in Used Car Prices a Temporary Trend

Strong new car sales means increase in trade-ins.

by on Feb.17, 2015

Used car prices are expected to fall in 2015 as the new car sales volumes increase.

Used car prices are expected to fall again in 2015, but in spite of that expectation, they’re rising … just in time for tax refund season.

Analysts from NADA Used Car Guide forecasted used vehicle prices to continually rise by 1-1.5% in February, potentially topping out at a 2.5% increase in March.

Automotive Insight!

“The price bump in the used vehicle market is created by several factors, but one of them has to do with recently filed consumer tax returns,” said Jonathan Banks, NADA Used Car Guide’s executive analyst. (more…)

U.S. Motorists Finally Getting a Break on Used Car Prices

Prices come down even as lenders loosen credit.

by on Nov.14, 2013

Used car prices may finally have peaked after several years of at or near-record numbers.

If you’re in the market for a used car you might finally be getting good news.  Not only are prices taking a dip after several years of record increases, but automotive lenders also are loosening up credit.

The U.S. used car market is huge. By various industry estimates, it’s as much as three times larger than the new vehicle market – which would mean nearly 50 million “previously owned” vehicles will be sold for all of 2013 by franchised dealers, used car lots and individuals. The problem is that the supply dried up during the years following the American economic collapse because with fewer two, three and four-year-old vehicles ready for trade-in, demand outstripped supply.

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Now, however, with the new car market heating back up, there are more cars coming off-lease, in particular.  And a bigger supply normally translates into reduced prices.  According to data tracking site, the typical used vehicle sold for $15,617 during the third quarter of this year.  That was down a sizable 2.8% from the second quarter and, perhaps more significantly, a 0.9% decline from year-earlier prices.


Superstorm Likely to Hit New, Used Car Buyers in the Wallet

But you could get more for your trade-in over the coming months.

by on Oct.31, 2012

Cars float out of a flooded garage in Manhattan after Superstorm Sandy drove record floodwaters into the city. Photo courtesy Ray Wert, Jalopnik.

With much of the Eastern Seaboard still digging out and drying out from Superstorm Sandy estimates now put the damage at anywhere up to $50 billion, perhaps more.  But in the weeks to come, even consumers as far away as the West Coast could feel the pinch.

That is likely to be especially true for car buyers.  Early estimates suggest that tens, perhaps hundreds of thousands of vehicles were damaged to the point they will need to be replaced.  And that is likely to drive up prices for both new and used vehicles in the weeks and months ahead, experts warn.

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If there’s a positive side for consumers it could mean better prices for those looking to trade in a car. For the industry, it’s likely to add even more momentum to the U.S. automotive market’s ongoing recovery.


Car Prices Tumble – Especially Japanese Products

Used vehicle prices also on the decline.

by on Jun.28, 2012

As the holiday approaches, motorists will be able to celebrate the decline in both new and used car prices.

The start of the typically strong summer buying season has brought with it some great news for U.S. car buyers.  According to a variety of sources, prices are tumbling on both new and used vehicles – especially those Japanese offerings that were in short supply last year in the week of that country’s devastating earthquake and tsunami.

While prices vary by model and manufacturer, you can expect to pay about $500 less for the typical new car, truck or crossover than you would have for the same product a year ago, according to research by Kelly Blue Book.

Meanwhile, after a record run-up in pricing during the winter and spring, used car prices also appear to be on the decline.

Pricing News!

Some of the biggest discounts, the tracking firm reports, come on Japanese models like the Honda Civic and even the Toyota Prius.  But that may be a bit misleading.  Following the March 2012 natural disaster, most Japanese products were in short supply, leading makers to trim back rebates and other discounts – effectively raising prices.  Those givebacks are now getting back to more normal levels, Bob Carter, head of the Toyota division, tells


New Car Prices Hit All-Time Record

Torrid pace not likely to slow much anytime soon.

by on Apr.10, 2012

Strong demand for the Elantra has helped drive up the price of the typical Hyundai product this year.

Remember “sticker shock”?  After several years of heavily discounting their products in a desperate bid to keep assembly lines rolling, automakers are finding themselves back in the driver’s seat once again – pushing prices to record levels.

And it’s “not a blip,” warns one senior analyst, who expects the trend to continue for several years. The good news for shoppers is that trade-ins are also yielding better prices – and while that new car, truck or crossover may command more money than ever before it’s also likely to include significantly more features and markedly better fuel economy than the vehicle it replaces.

The average new vehicle sold in the U.S. in March cost $30,748, according to data tracking service  That was up from $28,771 a year earlier and marks an all-time record.

In the Know!

“It’s not a blip. It’s a trend we’ve been seeing for months,” said Jesse Toprak, TrueCar’s chief automotive analyst.  That’s despite the fact, he says, that “This might seem counter-intuitive at a time you might expect to see people buying cheaper cars because fuel costs are rising so fast.”


Expect to Pay More for Your Next Used Car

But trade-ins will be higher, as well.

by on Feb.07, 2012

Expect to pay more for that "previously-owned" car in the months ahead.

There’s good news and bad news for used car buyers.  On the down side, prices will likely be higher due to strong demand.  But that also should translate into better trade-in prices, as well, according to an automotive industry trade group.

The National Automobile Dealers Association is predicting that used car prices will rise again but at a slower pace than in 2011. Those higher used vehicle prices will be the result of Increasing demand and a drop in the supply of previously-owned cars and trucks, said Jonathan Banks, executive automotive analyst with the NADA Used Car Guide.

On the positive side, “Consumers shopping for either a new or used vehicle will benefit this year from higher trade-in values along with loosening credit,” Banks said.

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For dealers, reliance on customer trade-ins will increase as they strive to meet the challenges of growing demand in a supply-constrained market. Dealers are facing a particular struggle coming up with “nearly new” two to four-year-old vehicles due to the downturn in the new car market over the last four years.  In particular, there are significantly fewer vehicles coming off-lease as many lenders curtailed their leasing programs during the depths of the Great Recession.


Big Year for Used Cars

Short supply of “near-new” vehicles could drive prices up in 2012.

by on Jan.03, 2012

Used car sales reached nearly 39 million last year, triple new car volumes.

Americans bought nearly 39 million used vehicles in 2011, more than three times the number of new cars, trucks and crossovers sold last year.

But with demand threatening to outstrip supply – especially for “nearly new” vehicles – buyers saw prices rise sharply, a trend likely to continue through 2012, according to CNW Marketing.

“We saw a lot of people whose existing cars were just tired so, after two years of pent-up demand, that finally led to a surge of used car sales last year, and especially in November and December,” said CNW chief Art Spinella.

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Used vehicle sales totaled 38,792.169 for all of 2011, according to CNW research, up 5.2% from the prior year.  December volume surged 11.98%, to 3,142,513.

The year, as a whole saw a surge in private party, or consumer-to-consumer, sales, especially in the final months of 2011.  Shoppers and sellers have increasingly turned to free online services such as to make the connection, along with fee-based services such as

Dealers have also been using the Internet to boost their business, and according to CNW, December saw 73.1% of available used cars listed online compared to 69% a year earlier.

Since the economic recession began in 2008, there has been a notable shift in the marketplace, many traditional new car buyers migrating to the used vehicle market, according to Spinella.  Even as the economy – and, in turn, the new car market – has begun to recover, many are still opting for previously owned products.

That reflects the emphasis on value, higher prices for new cars and limited credit availability.

Spinella noted a “new phenomenon we’ve only since about 2008 (where) a lot of buyers who would normally choose a new car are going for what we call “transitional used cars.”  These are vehicles they expect to keep only until their personal financial situation improves and they can get back into a new car, he explained.

But there’s a problem for such buyers.  In years past, they might have opted for what the industry likes to call “nearly new” vehicles – cars that have just come off short-term, 1, 2 or 3-year leases and are in near-new condition, often backed by like-new warranties.

But because most lenders cut down on leases in recent years – many halting leasing entirely – there are far fewer of these vehicles available right now.  That has helped drive up prices on used cars overall, and relatively new models in particular.

During much of 2011, used car prices hit record levels.  They dipped about 1% in December, but Americans still spent about $28.2 billion on used vehicles last month, up from $25.6 billion a year earlier.

“And that trend will certainly continue,” predicted Spinella, though, on the positive side, he noted that many lenders are beginning to loosen up credit again for used car customers.

December A Great Deal Time for Car Shoppers

Put a new car under the tree and save a bundle.

by on Dec.08, 2011

Forget the sweaters and ties. You may get a better deal on a new car this holiday season.

Becky Poston admits she’ll be spending a little less on ties, sweaters and the other small gifts she normally puts around the family’s tree for Christmas.  She’ll need the cash she saves for a downpayment on a new BMW 328i she decided to buy.

“I wasn’t really serious, just looking,” says the New Jersey administrative assistant, “but when I heard the deal they were ready to make I couldn’t say no. So, the new car is the real present to my family this year.”

Ho, ho, ho...!

Poston isn’t alone.  As many savvy buyers have discovered, some of the best deals of the year are usually offered between Thanksgiving and New Year, a time when shoppers usually turn their attention to more traditional gift-giving purchases like clothing, toys, consumer electronics – and bad ties.

“December is going to be the best month of 2011 to buy a car with manufacturers offering attractive year-end incentives and dealers motivated to move inventory to get to their sales objectives,” notes Jesse Toprak, head of Industry Trends and Insights for