Used Cars Resume Price Declines in May After Strong Spring

Black Book’s recent analysis of used-car prices shows that prices in five segments have started declining after a strong spring buying season. Since the beginning of May, some segment trends have reversed, though.

Key trends Black Book noted include a decline of 2.07% for the Entry Mid-Size Car segment after flat prices in April (with only a drop of 0.06%). Example vehicles in this segment include the Chrysler 200, the Ford Fusion, the Volkswagen Jetta, the Chevrolet Malibu, the Buick Regal, and the Chrysler Sebring.

The Entry-Level Cars segment has seen a drop of 1.66% in May, after a 0.71% increase during April. Vehicles in this segment include the Hyundai Accent, Chevrolet Aveo, Honda Fit, Kia Rio, Nissan Versa, and Toyota Yaris.

The Compact Cars segment has seen a drop of 1.05% after increasing 0.55% in April. Vehicles in this segment include the Honda Civic, Chevrolet Cobalt, Toyota Corolla, Chevrolet Cruze, Ford Fiesta, Ford Focus, and Toyota Matrix.

“Several of the car segments have seen a noticeable drop in prices following the spring buying season due to a variety of factors that are economy- and demand-driven,” said Ricky Beggs, SVP and editorial director at Black Book. “With the buying season over, shoppers have turned to service vehicles like trucks, which are in demand from economy-driven construction projects.”

Here are the top-five segments that have dropped the most in May compared with April prices: