Overall Resale Values Continue to Improve, Reports <i>Black Book</i>
GAINESVILLE, GA - All 10 car segments gained in value for the second time in the past three weeks, according to Ricky Beggs, managing editor of Black Book, in his weekly "Beggs on the Market" video report.
Overall, Beggs said the car segment average was on the positive side for the sixth week in a row.
"All indications are that used vehicles are moving in the retail market faster than normal. Inventory is just not sitting around aging," he said.
The truck segment also increased value for the eighth consecutive week, according to Beggs.
Full-size vans and wagons were the only individual segments not showing positive resale value, with a combined average drop of minus $29, Beggs noted. In contrast, full-size pickups and compact SUVs led the truck market by increasing $115 and $105, respectively.
Despite the positive activity, it is still uncertain how long the upward trend will last.
"Just like many of you, I also wonder if and when the increasing values will come to a halt. The payment difference for one- and two-year-old cars has to be almost on top of the new-car payment," Beggs said.
However, Beggs said the period from 2008 to 2009 has "turned out to be much better" than the prior year for retention.