LAWRENCEVILLE, Ga.—Used vehicle depreciation picked back up in October, reported Black Book.
The company’s Used Vehicle Retention Index last month decreased 1.6% (2.3 points) to 142.1 from September—3.4% below where it was at the same time in 2024.
“The market saw depreciation pick up pace in October,” said Laura Wehunt, vice president of data and analytics at Black Book. “It’s normal for most of the year’s depreciation to happen in the fourth quarter, but this time the declines came faster than usual. By the end of the month, we were seeing weekly depreciation nearly double what’s typical for this time of year.
“September’s new car sales were strong, especially for electric vehicles, as buyers rushed to take advantage of tax credits before they expired,” continued Wehunt. “But once those incentives ended and inflation continued to squeeze consumers, demand slowed in October, putting added pressure on the used market.”
The Black Book Used Vehicle Retention Index is calculated using Black Book’s published Wholesale Average value on two- to six-year-old used vehicles, as percent of original typically equipped MSRP. It is weighted based on registration volume and adjusted for seasonality, vehicle age, mileage, and condition.
To obtain a copy of the latest Black Book Wholesale Value Index, click here.