Vehicle Depreciation Accelerates in Q1, Black Book Reports
LAWRENCEVILLE, Ga. — Year-over-year depreciation accelerated during the first quarter of 2016, demonstrating that the market has reached the peak of the spring season, according to Black Book. During the quarter, vehicles depreciated at a rate of 3.6%, compared to 0.6% during the year-before period.
Additionally, Black Book data found that the average price of used vehicles for model years 2010-2014 declined 0.9% during March. Full-size vans led all vehicle segments with the highest depreciation rate of 2.2%. Trucks followed with a depreciation rate of 1.3%, and cars experienced the least amount of depreciation at 0.4%.
“While this is the time of year when values see noticeable strength, it’s very apparent that this year’s spring market isn’t as strong as it has been the last few years,” said Anil Goyal, senior vice president of automotive valuation and analytics for Black Book. “More than ever, it’s important for dealers and remarketers to pay close attention to the data to spot the trends that can shape their inventory strategies for the remainder of the year.”
Not all vehicle segments experienced depreciation in March, however. Sub-compact crossover values remained flat during March, ending the month with an average price of $12,218. Full-size cars — the best performing segment during March — experienced a 0.7% gain in value during the month, ending the period with an average price of $12,768. Sporty and compact cars both saw increases of 0.6% during March, bringing those segments’ average prices to $13,818 and $8,202, respectively.
More Industry

Ownership Priorities are Shifting
A new survey shows that in the U.S. vehicle quality for generation Z is largely defined by advanced safety features, intuitive technology and premium sound systems.
Read More →
Pump Price Jump Calculated
ISeeCars.com examined fuel costs for different power trains, finding which ones have experienced the biggest hits since the war in Iran commenced.
Read More →
Black Book: Weekly Market Update
Wholesale values fell last week despite the spring season still being in the traditional full-gear mode, analysts said.
Read More →
Arkansas Auto Group Acquires First Indiana Rooftop
Performance Brokerage Services represented both the buyer and seller in the sale of Carver Toyota of Columbus by Carlock Automotive Group.
Read More →
Stellantis to Dive Into U.S. Lending
The multinational maker of Chrysler, Dodge, Jeep, Ram and multiple other brands received conditional approvals for a Utah-based industrial bank.
Read More →
New-Vehicle Prices Rise
With April sales down, higher prices on in-demand large vehicles helped inflate the overall ATP, though increases were under long-term averages, Cox Automotive reported.
Read More →
Black Book: Weekly Market Update
Last week in the wholesale automotive market proved to be a mixed bag, analysts reported.
Read More →
Black Book: Weekly Market Update
Conversion rates were flat last week at 63%, Black Book analysts calculated, as low-mileage and almost-near units outpaced the overall market.
Read More →
EU Auto Association Urges Action
Trade relations between the European Union and the U.S. are at risk, causing the European Automobile Manufacturers Association to push lawmakers to make a decision.
Read More →
Driving into the Super CFC Era
Understanding the risks and benefits of retail accounting and Super CFCs can help you better present options to your dealer partners.
Read More →