CARY, N.C. -

They’re still up more than 40% from prior-year levels, but wholesale vehicle prices last month were more or less flat from December, according to the latest reading of the Manheim Used Vehicle Value Index.

Of course, the level at which used-car prices remain steady? It happens to be a historic high. 

Specifically, Manheim’s wholesale index — when adjusted for mix, mileage and seasonality — came in at 236.3 in January, up ever so slightly from 236.2 in December (a record high) and up 45% year-over-year. 

However, on an unadjusted basis, the index was down 0.9% month-over-month and up 40.8% year-over-year. 

So, while technically the Manheim index has been at a record high for five straight months, the surging price increases appear to have died down. 

That bears out when looking at weekly Manheim Market Report prices during January, which declined throughout the month and then “accelerated” downward at the end.

“Over the full four weeks in the month, the Three-Year-Old Index declined a net 2.9%. Over the month of January, daily MMR Retention, which is the average difference in price relative to current MMR, averaged 97.9%, which meant that market prices were behind MMR values,” parent company Cox Automotive explained in analysis around the index. 

The daily sales conversion rate came in at an average of 50%, which is lower than usual, the company said. Case in point, the conversion rate for January 2019 was 51.5%.

“The lower conversion rate indicates that the month saw buyers with slightly more bargaining power for this time of year, and as a result, most vehicles showed price depreciation,” Cox said. “However, price patterns in the month varied by vehicle age and segment. Older vehicles were more likely to see price stability, while younger vehicles tended to see larger declines.”

Beyond the 45% year-over-year increase overall for wholesale prices in January, the report also shows how various segments fared. As has been common, vans showed higher growth rates (59.7%) than other market classes. They were followed by compact cars (up 52.4%), midsize cars (up 48.6%), SUV/CUVs (up 45.1%), luxury cars (up 35.2%) and pickups (up 33%).

The moderation in wholesale price increases was also evident in Black Book’s Used Vehicle Retention Index for January. 

In fact, the 0.64% month-over-month increase in the index was the slightest sequential jump since July, the company said.

Like the Manheim index, the Black Book index (197.0 in January) remains highly elevated above year-ago levels (53%). And it is 72% stronger than January 2020.

But the monthly and weekly cadence shows some stabilization, a trend Black Book expects to see continue this month.

“During the first month of 2022, we continued to see declines in wholesale prices in most segments, but at a slower rate than historical data. That led to a small increase in the overall monthly seasonally adjusted retention index,” Black Book chief data science officer Alex Yurchenko said in a news release.

“Some of the segments experienced a larger than typical January drop (like midsize cars and full-size pickups), but we also saw continued strength in van (of all sizes) segments,” Yurchenko said. “We expect a stable wholesale market in February as the industry prepares for the tax buying season.”