Wholesale used vehicle prices (on a mix-, mileage-, and seasonally adjusted basis) increased 1.6% month over month in December to a record high of 236.2, a 46.6% increase from a year ago, according to numbers released Jan. 7 from the Manheim Used Vehicle Value Index.

The non-adjusted price change, however, declined 1.1% from November, leaving the unadjusted average price up 43.4% year over year.

“The wholesale auction market began to slow in the final weeks of the year, but prices typically bounce in the spring,” said Cox Automotive chief economist Jonathan Smoke in a news release. “We don’t anticipate 2022 will be an exception, especially with record-level tax refunds expected and ongoing inventory challenges. Unfortunately for consumers, it will be the second half of 2022 before we begin to see normal price depreciation again, barring any further supply chain disruptions. Uncertainty exists around what, if any, impact the Omicron variant will have on supply chain and inventory.”

For full report go to https://www.automotive-fleet.com/10159060/growth-in-used-vehicle-values-expected-through-spring-2022

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