(WHTM) — Are they falling or not?
We are heading a lot of consulting information about used car prices this year. So, we wanted to know what dealers are seeing right now when it comes to the market.
Robbie Marx is looking for a used van. Marx says that one starting at $16,900 will probably sell fast.
But things are starting to improve for buyers: The January consumer price index showing used car prices down 11% from one year ago.
That’s when Laurie Boyers, trying to buy her 16-year-old daughter an affordable first car, was stunned at how expensive everything was.
The days of a good used car for $10,000 may be gone forever.
“I am finding the average car price for a 50,000-mile car is about $25,000!” Boyers said.
Car dealer Gary Heflin said used cars he buys at auction are better prices than a few months ago, but, don’t expect a return to 2019 prices.
“The transaction price of new cars continues to rise, so that pushes more people back into that preowned market,” Heflin said.
But dealers worry that any drop in used car prices could be short-lived because they are not seeing many lease trade-ins this year. Three years ago, instead of leading a car, many people were locked down at home due to COVID.
“Normally we’d be getting three-year-old cars off that time, but because we were in what we were in, we’re not seeing those lease returns coming back in,” Heflin said.
Heflin’s hope is that manufacturers start filling new car lots again this spring, which will take even more pressure off used car prices.
The good news is this: There is more supply of new and used cars this year. However, the bad news is to not expect a major price drop, so you don’t waste your money.