The used vehicle market continued its sluggish start to the new year, as a result the J.D. Power Valuation Services’ Seasonally Adjusted Used Vehicle Price Index declined 1.3 points – relative to January – to 116.1. February’s decline marked the sixth consecutive month of declines in the used market and is a trend we should expect to see more of throughout the course of 2019 as used vehicle prices are expected to decline relative to 2018.
There are a few reasons behind the market’s weakness so far this year, in January the industry faced challenges because of extreme winter weather conditions as well as the 35-day government shutdown. The used market typically heats up in February, however, the month faced its own unique obstacles which suppressed the growth we normally see in used vehicle prices.
Check out March's edition of Guidelines for more insights into the month and what to expect soon in the new and used vehicle markets.