Used vehicles from fleet consignors in ADESA sales increased 2% in May to $14,043 and were 5.5% above a year ago, according to monthly commentary from Tom Kontos, chief economist for KAR Auction Services.
Fleet vehicles continue to outperform vehicles consigned by dealers and manufacturers. In May, manufacturer vehicles fell 1.2% from April and were down 0.7% from a year ago. Dealer vehicles increased 1.7% from May and were up 4.3% from May 2018.
Kontos attributed the relative strength to a tax-refund-fueled spring selling season that started later this year and lasted longer. Wholesale used vehicle prices increased 1.5% to $11,667 in May, which was up 5% from a year earlier.
"Average wholesale prices were up on both a month-over-month and year-over-year basis in May," Kontos wrote. "Retail used vehicle sales, including CPO sales, provided demand-side support for wholesale values."
While compact cars and midsize cars saw price declines in the overall market, midsize SUVs and midsize cars from fleets were higher. Midsize SUVs increased 0.7% to $21,013 from a year ago, while midsize cars increased 5.6% to $12,612. These fleet vehicles were an average of three years old with between 36,000 to 45,000 miles.