CARY, N.C. -

There has been some wholesale vehicle price normalization in the early stages of 2022, as values slowed again last week.

According to the latest Market Insights report from Black Book, wholesale vehicle prices for the week ending Saturday were down 0.34%, following a 0.17% drop the prior week.

During the 2017-2019 time frame, the average change in used-car prices for that week was a decline of 0.39%, according to the data.

There was a 0.35% price drop for car segments last week, following a 0.26% drop the prior week. Meanwhile, truck segment prices were down 0.34% after a 0.13% dip the previous week.

Values were softer in 19 of the 23 overall segments included in Black Book’s data sets.

“The van segments are the exception, with continual increases, particularly in the full-size vans segment due to the ongoing low new and used supply,” Black Book said.

Later in the report, Black Book shared data on its weekly wholesale price index, whose usual patterns have been disrupted the past two years from the pandemic.

However, there has been some stability to start 2022.

“Calendar year 2021 did not have typical seasonality patterns as the market has had rapid increases in wholesale values for the majority of the year,” Black Book said.

“The wholesale weekly price index reached the highest point of the year at the end of December, reporting over 1.51 points. Now in calendar year 2022, the index has been reverted back to the 1.00 mark and overall wholesale prices have remained relatively stable in the month of January …”

What wasn't stable, at least not last week, were sales rates at auction. In a “hit or miss” week, Black Book observed sales rates as low as 22% and as high as 90%. 

Closed sales and late-model vehicles were on the higher end of that spectrum, the company said.

Despite that variance, Black Book has found steadiness in the estimated average weekly sales rate. Last week, the average came in at 64%, up from 63% the week before. Rates have hovered in the 60% range to begin 2022.

Offering some overall context, Black Book said: “New inventory across the board is still fairly scarce as COVID cases increase and the chip shortage continues on. If-sales have become more common, even in OEM lanes, which may be an indicator that sellers are more willing to negotiate after the fact.

“Rental companies are still active in the lanes and independent dealers, especially those that primarily focus on near prime and subprime buyers, have started to ramp up in preparation for the upcoming tax season and spring market,” it added. “Wholesale values are beginning to reflect typical seasonal patterns.”

For more details on the wholesale vehicle market, we asked for observations from Black Book chief data science officer Alex Yurchenko and Laura Wehunt, who is vice president of automotive valuations at Black Book. Their analysis can be found in the below episode of the Auto Remarketing Podcast, which was recorded last week.