Wholesale values continued to see little change last week, although demand for sporty cars appears to be dwindling as the average value of that segment has begun to drop, according to Black Book’s July 2 Market Insights report.
Overall, car segment values decreased by 0.30% last week, compared to 0.35% the week before. In the truck segment, overall average values decreased by 0.25%, compared to 0.28% the week before.
Sporty and compact cars realized the lowest depreciation at 0.07% and 0.11%, respectively. Although the sporty segment was one of the best-performing segments among cars this week, it was a comparatively weaker performance compared to the 0.03% rise in value the segment experienced the week before.
Depreciation for lower-end luxury vehicles also appears to be on the rise. This week, near-luxury cars depreciated 0.46%, compared to 0.29% the week before.
“The used-car market has remained relatively stable overall, however, recognizing consistent weekly trends may keep you ahead of the game … keep an eye on the luxury segments,” said Anil Goyal, executive vice president, operations for Black Book.
Mid-size luxury and full-size luxury crossovers/SUVs — which in the previous week experienced some of the lowest depreciation among trucks — experienced a large drop in wholesale value last week. Mid-size luxury crossovers/SUV values decreased by 1.13% last week, while full-size luxury crossovers/SUV values decreased by 0.91%. In the previous week, the two truck segments experienced a 0.26% and 0.11% respective loss in value.