Used-Car Market Levels Out Amid Softening
Trade-In Values and Increased Inventory
CHICAGO,
Sept. 19,
2024 /PRNewswire/ -- Cars.com Inc. (NYSE: CARS)
(d/b/a "Cars Commerce."), an audience-driven technology company
empowering the automotive industry, outlines shifts in the
automotive industry in its August Industry Insights Report. This
comprehensive report, crafted by Cars Commerce's expert data
analysts, delves into macro and micro automotive market insights by
analyzing supply, demand, pricing and consumer behavior data from
across the company's platform, including Cars.com®,
Dealer Inspire® and Accu-Trade®.
"August marks another milestone in the automotive
industry's return to normalcy. After nearly two years of tight
inventory levels and inflated prices, we're seeing more balance
between supply and demand, especially as new-vehicle prices level
out," said Rebecca Lindland, senior
director of industry data and insights at Cars Commerce. "Brands
like Ford, Chevrolet and Honda are well positioned and leading with
the right inventory mix to meet demand. We're heading toward a more
predictable automotive market as available supply, and now the
Federal Reserve's recent interest rate cut offers more consumers a
reason to come off the sidelines and purchase."
Supply Growth Drives Market Stability
Brands like Ford, Chevrolet and Honda experienced
notable increases in inventory compared to 2023. Ford saw 50%
year-over-year inventory growth, led by high-demand models like the
F-250, Escape and Bronco. Chevrolet wasn't far behind with 47%
year-over-year growth, buoyed by the rollouts of the new-to-market
Blazer EV and Equinox EV. Honda rounded out the top three with a
staggering 74% inventory increase year over year, driven by popular
models like the CR-V, HR-V and Pilot.
Used-Car Market Stabilizes as Trade-In Values
Soften
The used-car market is experiencing less
year-over-year volatility with supply and demand. Used-car prices
fell 5% year over year, while average prices have remained
relatively flat since April. Trade-in values have also softened.
Dealers are holding inventory longer — 53 days on average — as
consumers wait for better pricing. Despite the slow turnover,
used-vehicle inventory is down 13% compared to five years ago.
However, there are some areas of growth: Vehicles priced under
$20,000 increased 19% year over
year.
Pricing volatility continues to plague used EVs,
with Tesla (down 22%) and Rivian (down 19%) accounting for two of
the top four highest declines in trade-in values among luxury EV
brands.
To download the full report, visit
www.carscommerce.inc.
*Inventory, searches and list price on
Cars.com.
ABOUT CARS COMMERCE™
Cars Commerce™ is an
audience-driven technology company empowering the automotive
industry. Cars Commerce™ simplifies everything
about car buying and selling with powerful products, solutions and
AI-driven technologies that span pretail, retail and post-sale
activities – enabling more efficient and profitable retail
operations. The Cars Commerce™ platform is
organized around four industry-leading brands: the flagship
automotive marketplace and dealer reputation site
Cars.com®, award-winning technology and digital retail
technology and marketing services from Dealer Inspire®,
essential trade-in and appraisal technology from
Accu-Trade®, and exclusive in-market media solutions
from the Cars Commerce Media Network. Learn more at
www.carscommerce.inc.
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SOURCE Cars Commerce
