GAINESVILLE, GA – Recent auction sale results indicate a stable overall market overall. Black Book witnessed a jump in the percentage of adjustments requiring increases in values as compared to adjustments the previous two weeks.
“This past week, 42 percent of the adjustments were increases as compared to just over 26 percent the previous two weeks,” said Ricky Beggs, VP & managing editor for Black Book in his weekly market report. “The overall change in values was similar to the prior week at about -$45.00. There was more stability for the most recent week with only 824 adjustments on average for each Daily update. This compares to over 1900 per day for the previous week.”
Looking in more detail, all ten car segments were down again this week. This is now eight straight weeks where all ten car segments declined in value, according to Beggs. The trend was almost broken as Full Size Cars (FSC) only saw a -$1 decline.
“The segment type with the largest decline was again the Prestige Luxury Cars (PLC). This recent market trend on the Prestige Luxury Cars, which is slightly contrary to most of the market, is being driven by a not so strong consumer confidence level and also a segment type where many of the models in this segment are high lease contracts,” according to Beggs. “Thus, there is going to be a more steady supply coming back into the market at the end of term, even in a time when the market is not most favorable for this level of vehicle.”
The truck market continues to require some increases in values as five of the 14 segment types finished positive in Black Books adjustments. This is lead by the Compact Sport Utilities (CSU) at +$42. Luxury SUVs (LSU) had the largest drop at -$109. “This segment type has been below the $0 baseline for the last eleven weeks, following the same pattern and reasons as the Prestige Luxury Cars (PLC),” explained Beggs.
For more than 12 years John Hopson represented Black Book at the auctions in the Houston, Texas area, gathering vital information and reporting the market back to the Black Book Editors. The Black Book team thanks Hopson for his service and wishes him the best as he retires.
Richard Wilson is the newest Black Book Survey staff member. He will be attending and reporting the market activity at a couple of auctions in the Houston area each week.