According to Kelly Blue Book’s recent issue of the Blue Book Market Report for February 2012 on the Q1 and Q2 Outlook for used vehicles, Kelley Blue Book expects supply to remain a significant challenge for dealers in 2012, and as a result, they are projecting values to increase by as much as 3 to 5 percent through the first quarter. According to seasonal patterns, values typically are flat in January before starting to rise more aggressively in February and March, as dealers stock up on inventory in anticipation of the spring selling season.
THIS MONTH’S REPORT INCLUDES:
MARKET ANALYSIS
- January New-Car Sales Beat Expectations
January results came in stronger than expected, as the industry posted sales of 913,284 units overall; approximately 1.4 percent above Kelley Blue Book’s forecast of 900,000 units. Industry sales have improved steadily since bottoming out in 2009, following the bursting of the housing bubble and the near-economic collapse that followed…
- Mid-Size Cars Grab Market Share in January, Will Continue in 2012
Consumers in the market for a spacious sedan offering excellent fuel economy will have plenty of options from which to choose in 2012. The redesigned 2012 Toyota Camry and Volkswagen Passat are available for sale, while later this year we can look forward to a redesigned Honda Accord, Nissan Altima, Chevrolet Malibu and Ford Fusion. The Hyundai Sonata and Kia Optima, which were redesigned for the 2011 model year, also compare favorably to the competition…
- Compact Segment Provides More Options than Ever
Now may be the perfect time to consider a compact car, especially with unemployment above 8 percent and fuel prices in excess of $3.40 per gallon. With demand for compacts expected to be strong in 2012, consumers will have more choices than ever before because of strong redesigns that have hit the marketplace in the last year…
- Q1 and Q2 Outlook for Used Vehicles
Kelley Blue Book expects supply to remain a significant challenge for dealers in 2012, and as a result, we are projecting values to increase by as much as 3 to 5 percent through the first quarter. According to seasonal patterns, values typically are flat in January before starting to rise more aggressively in February and March, as dealers stock up on inventory in anticipation of the spring selling season…
- How High Will Fuel Prices Rise in 2012?
Fuel prices are on the rise once again, and some may be worried that $4.00 per gallon gas is on the horizon. In the long term, this is a definite possibility, but unless you live in California or a handful of other metropolitan areas, don’t expect $4.00 per gallon gas to become the new norm. The average price for a gallon of gasoline is currently more than $3.40 nationally; this is $0.35 higher than this time last year…
- Used-Car Values to Remain Strong in 2012 on Reduced Lease Return Volume
In January, dealers seeking inventory at auction were met with upward price pressure and a limited selection. Values rose a modest 0.1 percent overall in January; not a significant jump, but noteworthy as the first monthly increase since used-car values peaked in June 2011. Although values only climbed slightly last month, they are up 4 percent year-over-year…
- Compacts Remain in High Demand on Strong Redesigns
Compact car and hybrid values were volatile last year, increasing more than 20 percent from January through June 2011. These values are expected to be stable in 2012; however, they are currently well above the levels seen in February 2011. Significantly improved redesigns for the 2011 model year have pushed values of subcompact and compact cars up more than 15 percent year-over-year…
- Slow Economic Recovery, High-Quality Non-Luxury Vehicles Push Luxury Values Down in January
Although used-car values were up overall in January, values for used luxury and high-performance vehicles fell in contrast to most of the market. The premium luxury segment saw the greatest decline, dropping nearly $700 in January alone, while premium sport and luxury cars both are down by more than $600 so far in 2012…
LATEST HOT USED-CAR REPORT
- Retired Domestic Models Driving Consumer Interest in 2012
Used-car shoppers are searching for the best possible deal on a vehicle that best fits their needs. Starting in the new year, consumers have moved toward used domestic vehicles. Eight of the top 10 risers hail from Motor City. Chrysler Group has the most vehicles represented in the list with…
Click here to read the full Blue Book Market Report – FEBRUARY 2012