CARFAX adds month-over-month data to used-car price index; how that plays out in November
The degree to which a vehicle’s price changes month-over-month might be more telling, in some cases, than the year-over-year change.
Especially if that month follows a U.S. presidential election.
With that in mind, CARFAX has added month-over-month insights to its Used Car Index reports, the first major change in these recaps since their April 2023 debut.
The reports will include year-over-year price changes, the company said.
“Why the addition? Sometimes, the monthly change is significant and can offer shoppers more detailed guidance on when the right time to buy is,” CARFAX editor-in-chief Patrick Olsen wrote in the analysis.
“Although this month’s changes are seasonal in nature — used-car prices tend to slide a little this time each year — shoppers should be better able to see the beginnings of trends with this new approach,” Olsen said.
All of the segments in CARFAX’s analysis were down year-over-year, with vans showing the largest decrease at 7.4%.
They were followed by pickup trucks (down 6.1%), SUVs (down 5.2%), luxury SUVs (down 4.6%) and cars (down 4.5%).
Luxury car prices were down 2.1% year-over-year and hybrid/EV prices fell 2.5%.
As for the month-over-month changes, SUVs were up 0.1% and cars climbed 0.2%, as did pickups, luxury SUVs and luxury cars. Hybrids/EVs (down 0.4%) and vans (down 0.3%) decreased from the prior month, the CARFAX data shows.
CARFAX noted that more significant month-over-month changes could be on the horizon, following the recent election.
Olsen listed the following as “open questions” that could impact activity among used- and new-car buyers.
- Will there be new tariffs on vehicles under the new administration? If so, how will that affect used-car prices? Tariffs on vehicles are not new: There has been a tariff on pickup trucks not built in North America since the 1960s. It’s commonly referred to as the “Chicken Tax.”
- Will the new administration end the tax credit for new and/or used electric vehicles (EVs)? Or will it just change the rules around those incentives?
- How will the new administration affect the U.S. car industry overall?