J.D. Power’s Used Vehicle Price Index hit a record high last month.
Through October, used-vehicle prices were on average 37 percent higher than in 2020, with no signs of softening, J.D. Power said Tuesday in a market update.
And for the first time in more than 25 years, used-vehicle prices rose in October over September, according to the index.
Prices typically cool in the fall but have instead been on the rise as consumer demand remains high and availability of new vehicles is low.
Prices are expected to remain strong for the next year, with some fluctuation. Much will depend on automakers’ ability to work through supply chain issues.
Used vehicles are in shorter supply, too. Through October, wholesale sales volume was down 10 percent compared with the first 10 months of 2020. Volume sales were down from 2019, too, as auction sales trend between 25 and 30 percent lower than pre-pandemic levels.