The Car and Truck Fleet and Leasing Management Magazine

Hurricanes Boosted Used Vehicle Values 2%

December 14, 2017

Courtesy of Enterprise Holdings.
Courtesy of Enterprise Holdings.

The hurricanes that swept through Texas and Florida destroyed and damaged as many as 900,000 vehicles, and the replacement activity that the catastrophic events spurred boosted value by almost 2%, according Black Book.

Through the three-month period between August and October, the retained value of used vehicles sold at auction increased 1.8%. This was due to the fact that since somewhere between 500,000 and 900,000 vehicles were destroyed, there was a large volume of vehicles that needed to be replaced.

This surge in demand caused wholesale values for many vehicle segments to depreciate at much slower rates, according to Black Book.

Anily Goyal, senior vice president of automotive valuation and analytics, compared the positive effect on used vehicle values to the Cash for Clunkers program in 2009, when approximately 690,000 older-model vehicles were replaced and overall used vehicle retention increased 3.4%.

Twitter Facebook Google+

Comments

Please note that comments may be moderated. 
Leave this field empty:
 
 

Fleet Incentives

Determine the actual cost of owning and running a vehicle in your fleet. Compare vehicles by class and model.

FleetFAQ

Fleet Tracking And Telematics

Todd Ewing from Fleetmatics will answer your questions and challenges

View All

 

Fleet Management And Leasing

Merchants Experts will answer your questions and challenges

View All

 

Sponsored by

A specialized form of leasing wherein some or all fleet costs are estimated in advance, then budgeted and billed by the fleet management company with periodic invoices (usually monthly).

Read more

Up Next

More From The World's Largest Fleet Publisher