If you were waiting for bigger bargains in used car prices amid coronavirus woes, chances are that you have already missed the boat! Used car prices had been badly hit during March and April. Many industry watchdogs were expecting a further fall in the prices. However, with stay-at-home orders being lifted and business activities resuming normalcy, used car prices are picking up.
The Manheim used vehicle value index hit a record in mid-June, increasing around 4% year over year and recovering from the historic drop in April 2020. Used vehicle prices declined 11% in April from a month ago. Used car values were going into a tailspin, similar to what happened during the 2008 financial crisis. But the prices bounced back strongly in May, up 9% from April levels. The used car market is continuing the momentum in June, which is a pleasant development for used car retailers, automakers and