Used Vehicle Value Index
By applying statistical analysis to its database of more than 5 million used vehicle transactions annually, Manheim has developed a measurement of used vehicle prices that is independent of underlying shifts in the characteristics of vehicles being sold. View the index methodology.
The Manheim Index is increasingly recognized by both financial and economic analysts as the premier indicator of pricing trends in the used vehicle market, but should not be considered indicative or predictive of any individual remarketer's results.
Wholesale Prices Decrease for Third Consecutive Month
Wholesale used vehicle prices (on a mix-, mileage-, and seasonally adjusted basis) decreased 1.62 percent month-over-month in January. This brought the Manheim Used Vehicle Value Index to 135.4, a 3.3 percent increase from a year ago.
Looking at trends in weekly Manheim Market Report (MMR) prices, January saw a continued price depreciation trend similar to what we saw at the end of last year. Three-year-old vehicle values in aggregate depreciated at a faster pace than normal, especially for the beginning of the year. Mix shifts can be more pronounced in the first few weeks of the year, which makes it more difficult to determine a clear directional trend.
On a year-over-year basis, most major market segments saw seasonally adjusted price gains in January. As was the case throughout 2018, more affordable vehicles continued to see the greatest increase in values in January. Compact cars and midsize cars outperformed the overall market, while utility vehicles and pickups underperformed the overall market.
Weak retail results for vehicle sales in January. According to Cox Automotive estimates, used vehicle sales volume was down 1.1 percent year-over-year in January. We estimate the January used SAAR to be 38.8 million, down from 39.2 million last January.