Wholesale used-vehicle prices (on a mix-, mileage-, and seasonally adjusted basis) increased 1.8% from June in the first 15 days of July. The mid-month Manheim Used Vehicle Value Index increased to 199.7, down 5.7% from the full month of July 2023. The seasonal adjustment reduced the results for the month. The non-adjusted price change in the first half of July declined 0.4% compared to June, while the unadjusted price was down 6.8% year over year. The mid-month rise marked the first month-over-month increase in July since 2018, excluding the pandemic period.

“As we ended June, weekly depreciation trends at Manheim slowed markedly, and that has continued through the first half of July,” said Jeremy Robb, senior director of Economic and Industry Insights at Cox Automotive. “Sales conversion has been increasing and is much higher than the last several years at this time, as more dealers are shopping for wholesale units to satisfy consumer demand for used vehicles, right when lease maturities are starting to decline.”

Leveraging Manheim sales and inventory data, the estimated wholesale supply ended June at 26 days, flat from the end of May and against June 2023. Wholesale supply is relatively normal for this time of year, running virtually even to longer-term levels. As of July 15, wholesale supply increased by two days from the end of June, moving to 28 days, flat against year-over-year levels. It’s seasonally normal to see wholesale supply increase slightly over the July 4^th holiday.