Wholesale used vehicle prices (on a mix-, mileage-, and seasonally adjusted basis) decreased 2.6% month-over-month in July, according to a Cox Automotive report released Aug. 6.
This brought the Manheim Used Vehicle Value Index to 195.2, a 23.6% increase from a year ago.
Manheim Market Report (MMR) prices saw weekly declines every week in July with price declines accelerating through mid-month but then slowing the rate of decline over the last two weeks. During the last five weeks, the Three-Year-Old Index declined a net 3.6%. Over the month of June, MMR Retention, which is the average difference in price relative to current MMR, averaged 98.4% and ended the month close to 100%. This means that valuation models continue to slightly overstate market prices, but the gap is narrowing. The sales conversion rate also improved as the month progressed and ended the month at a level much more typical for the month of July.
On a year-over-year basis, all major market segments saw seasonally adjusted price increases in July. Vans, pickups, and sport utility vehicles had the largest year-over-year performance, while the remaining car segments lagged the overall market. On a month-over-month basis, all major market segments saw declines in July, with pickup trucks declining the most and sports cars declining the least.