The used-vehicle market is showing resilience even as affordability challenges continue to weigh on new-vehicle demand, according to Cox Automotive’s mid-year review of the U.S. auto market.
Used retail sales are trailing roughly 2 percent behind year-ago levels, while supply is running about 3 percent ahead, the firm reported. Analysts noted that some consumers are being pushed toward used vehicles as the cost of new models stretches household budgets.
The findings arrive alongside Cox Automotive’s broader 2026 outlook, which projects new-vehicle sales of 15.8 million units, down 2.9 percent from 2025. Despite ongoing economic and policy uncertainty, the firm described the overall market as relatively steady, with buyers largely shrugging off recent headwinds such as higher gas prices.
Affordability remains a central constraint, shaped increasingly by household finances rather than vehicle prices alone. Elevated interest rates, higher costs for essentials and tighter budgets are limiting purchasing power across income levels, though strong equity markets and accumulated wealth continue to support demand among higher-income shoppers.
For independent dealers, the data points to steady demand for lower-priced inventory as value-focused shoppers weigh their options. The trends suggest the used market may continue serving as a destination for buyers navigating an environment of constrained affordability.
