Used car sales are estimated to finish down 4.2 percent in December when compared to same month in 2021.
In a report from Cox Automotive released Wednesday, an estimated 2.4 million used vehicles sold last month. The seasonally adjusted annual rate is estimated to finish near 33.7 million, a decrease from December 2021’s 36.2 million.
“The used-vehicle market faces a challenging year ahead as demand weakens and supply of nearly new vehicles is particularly constrained. However, the slight sales decline Cox Automotive forecasts for 2023 will be far better than what we saw in 2022,” said Charles Chesbrough, senior economist for Cox Automotive.
Retail used sales tallied 1.3 million for the month, down 3.4 percent from December 2021.
Retail used sales tallied 1.3 million for the month, down 3.4 percent from December 2021.
The total used sales was estimated at 36.2 million for the year. That was a decrease of more than 4 million sales from 2021’s 40.6 million. In its 2023 forecast, Cox Automotive expects 35.6 million used car sales, with 18.9 million in retail sales.
Wholesale used-vehicle prices increased 1.5 percent in the first half of January from the previous month, according to the Manheim Used Vehicle Value Index. The index is down 13.7 percent from January 2022.
The Manheim Used Vehicle Value Index ended 2022 down 14.9 percent from the end of 2021.
At the end of 2022, Cox data showed the average listing price was $27,077 for used vehicles, a $700 decrease from the close of 2021.
At the end of 2022, Cox data showed the average listing price was $27,077 for used vehicles, a $700 decrease from the close of 2021.
Even with the dropping retail prices, affordability remains an issue for many consumers due to high interest rates – 12 to 13 percent. Rates are still expected to climb, as the Federal Reserve tries to bring down inflation. The Fed in th
