According to findings in National Automobile Dealers Association (NADA) Used Car Guide’s recent Commercial Truck Guidelines report, a summer lull in used auction volume ended this past September. Analysis points out a jump to activity levels not seen since this past spring.
How Auction Prices Were Impacted During September
In spite of the increase in wholesale auction volume, prices were not notably impacted for the month. According to Chris Visser, Senior Commercial Truck Analyst at NADA Used Car Guide, “Our benchmark model went for the same amount of money as last month for most model years.”
Visser went on to say, “Overall, depreciation in the auction lanes remained mild to moderate, with late-model trucks averaging about 2.6% depreciation per month. That is substantially better than the 5% depreciation per month seen last year, although absolute prices are down more than 30% over last year.”
The Retail Market Looks Up
Within the retail market, prices continued to outperform expectations for the month according to the free monthly report. Depreciation was very mild for the second month in a row, with no notable month-over-month depreciation for most models.
In addition to a strong retail price performance, retail sales volume outperformed its forecast as well. In fact, volume in August posted the best result since May of 2015. The Guidelines report points out lower prices may be responsible for moving more units.
Where is the Used Commercial Truck Market Headed?
Closing analysis in the report notes it is increasingly likely buyers are entering the market in greater numbers as prices continue to relax to attractive levels. As the domestic economy—in general—continues to show incremental upward growth, it’s quite possible the biggest hits to values are likely behind the market for the remainder of the year.
The full report can be viewed HERE.