Fleet vehicle values fell in November, but remain up 3% for the year to date.  -  Photo courtesy of ADESA.

Fleet vehicle values fell in November, but remain up 3% for the year to date.

Photo courtesy of ADESA.

Former fleet vehicles sold by KAR Global's ADESA remarketing unit fell 3.2% in value in November from the prior month but remain 3% ahead of a year ago partly due to a softening wholesale market, according to the company's chief economist.

The average value of a vehicle sold for a fleet consignor fell to $12,885 in November compared to the readjusted $13,309 average for October. The overall used vehicle market for ADESA fell 1.9% to $10,924 from October but remained 3.1% higher than a year ago.

The overall market has fallen six consecutive months, a slide that is expected to continue, according to Tom Kontos, KAR Glopbal's chief economist.

"It doesn't show signs of stopping," Kontos wrote in his monthly commentary. "That's a holiday season phrase that can be applied to November's continuation of general softening in used vehicle values, as overall average prices fell on a month-over-month basis for the sixth month in a row. This was true despite another month of strong CPO sales, which are nonetheless a positive factor for late-model (especially off-rental and off-lease) values."

Among midsize cars and midsize SUVs, vehicle categories that are used as a barometer of used fleet sales,  saw mixed results. Midsize sedans increased 1% to $11,419 from a year ago, while midsize SUVs fell 1.1% to $19,196 from a year ago.

The decline in midsize SUV values "may be indicative of oversupply of these units," Kontos said.

Originally posted on Automotive Fleet

About the author
Staff Writer

Staff Writer

Editorial

Our team of enterprising editors brings years of experience covering the fleet industry. We offer a deep understanding of trends and the ever-evolving landscapes we cover in fleet, trucking, and transportation.  

View Bio
0 Comments