From NBCUniversal:

Used vehicle prices are expected to stabilize in 2024 after record highs in recent years. Cox Automotive predicts that wholesale prices will end the year only 0.5% higher than in December 2023, a significant improvement from previous years. This is good news for potential car buyers, but prices are still higher than pre-pandemic levels.

In 2023, used vehicle prices experienced a 7% decline and nearly 15% drop in 2022 from inflated prices during the coronavirus pandemic. Availability of new vehicles fell to record lows due to supply chain and parts problems that interrupted vehicle production.

The average listing price of a used vehicle was $26,091 as of last month, down 3.9% from a year earlier and 7.5% lower than in 2021. This is a significant decrease from the peak during the pandemic, but prices are still higher than they were before the pandemic.

Used vehicle sales are expected to increase by less than 1% to 36.2 million, according to Cox Automotive. This forecast includes 19.2 million in used vehicle retail sales. Meanwhile, new car and truck sales are expected to increase by only 1.3% in the U.S. this year to 15.7 million units, according to Cox.

All-electric vehicle sales are projected to increase and make up more than 10% of retail new car and truck sales in 2024, compared to 7.4% of retail sales in 2023. This reflects a growing shift in consumer preferences towards electric vehicles.



Read more: Used car prices high but expected to stabilize in 2024