Good news from Cox Automotive.
Wholesale used car prices dropped by 4.2 percent from May to June, marking the largest monthly decrease since the start of the COVID-19 pandemic, according to the Manheim Used Vehicle Value Index (MUVVI).
The index, which is a measurement of wholesale prices of used vehicles, also saw a drop of 10.3 percent from a year ago....
One reason:
New cars are flowing onto dealer lots. Not as fast as dealers would like, but a whole lot faster than over the past couple of years.
So people who really wanted a new car but couldn't get one bought used instead--until new cars showed up again.
Another reason? Banks aren't comfortable financing high-priced used cars for people with mediocre credit. The fact is that in reality-land, many used cars were simply not worth the price that dealers demanded. If you had good credit and a nice down payment, no problem; otherwise, not so much.
No doubt Bai-Den will take credit for this and--as usual--he's full of crap.
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