Used car prices fell in September, look to stay low
Posted on Friday, October 23, 2015 at 3:01:35 PM
The rate of used car depreciation increased dramatically last month, a recently released National Automobile Dealers Association report concluded. The prices of used vehicles in model years up to eight years old dropped 3.4 percent compared to August. NADA's Used Car Guide described the loss as close to 1.5 percentage points greater than the 2 percent drop in August. Their used vehicle price index fell to 122.0 last month, right about where it stood in September of 2014. NADA forecasted that those prices would drop to 3 to 3.5 percent in October.
Different types of vehicles saw varying results, even as wholesale prices remained level, according to AutoRemarketing.com. Car prices decreased, on average, by about 0.2 percent in September. Midsize car prices in particular declined by almost 5 percent. On the other end of the scale, the cost of trucks increased by 0.8 percent from August, and with an average sales sticker of $11,000, trucks are the vehicles most benefiting from a strong auto market and low gas prices.
While auto dealers aren't thrilled with the falling rates, for drivers they are a great opportunity to get into a low-cost vehicle and explore affordable used car financing. With a range of auto finance options, stepping into an inexpensive used car today is the easiest it's been in years.