Used Vehicle Prices to Stabilize in 2024, Agent J Reveals the Truth!

The Whirlwind of Used Vehicle Prices

Detroit Hold onto your neuralyzers folks! Used vehicle prices are finally expected to stabilize this year. After going through a rollercoaster ride of skyrocketing prices during the pandemic car buyers can breathe a sigh of relief. According to automotive data firm Cox Automotive wholesale prices on its Manheim Used Vehicle Value Index are projected to end 2024 with just a 0.5% increase from December 2023. That's a far cry from the 7% decline in 2023 and almost a 15% drop in 2022. It seems like the tides are turning...or at least the car prices are!

Expect the Unexpected Agent J Style

Jeremy Robb Cox Automotive's senior director of economic and industry insights warns us to stay alert. "2024 is looking to be less volatile than 2023 but we've been taught to expect the unexpected in the wholesale market," he said. Ah the good old Men in Black motto of staying ready for anything. Well at least the car market is trying to keep things steady for us.

A Win for Car Buyers... Kinda

This stabilization in used vehicle prices is undoubtedly good news for potential car buyers. No more having to sell your soul for a decent set of wheels! However let's not get too carried away with the celebration. The reality is that used vehicle prices are still higher than they were before the pandemic hit. Cox reports that the average listing price of a used vehicle last month was $26,091 down 3.9% from a year earlier but still 7.5% lower than the crazy prices of 2021. Hey at least it's a step in the right direction!

Used Vehicle Sales: Not Exactly Revving Up

While the stabilization of prices is great the same can't be said for used vehicle sales. Cox Automotive expects used vehicle sales to increase by less than 1% to 36.2 million. Not exactly the roaring engine we were hoping for but hey any growth is better than no growth right? Fingers crossed that the market picks up speed soon. We don't want to see those car salesmen feeling like they're missing out on their true calling as intergalactic protectors!

Electric Avenue: A New Hope

In the midst of all this used vehicle chaos there's a glimmer of hope shining bright on Electric Avenue. Cox Automotive predicts that all electric vehicle sales will increase and make up more than 10% of retail new car and truck sales in 2024. Now that's an electrifying development! It's a remarkable jump from the 7.4% of retail sales in 2023. Looks like we're finally starting to embrace the power of the electric side. Who needs gas guzzling aliens when you've got eco friendly vehicles?