Black Book expanded residual valuations now look 10 years ahead
Black Book regularly recaps what happened during the previous week within the wholesale market, as highlighted in this previous report.
On Friday, the division of Hearst announced an expanded data offering for its residual valuations, looking forward as long as 10 years.
Previously, Black Book said residual values were available for up to seven model years, forecasting future values from one to 72 months.
Black Book said it has expanded used-vehicle residuals to include the most recent 10 model years and now forecasts future values for one to 120 months.
Black Book explained in a news release that this 10-year residual offering can provide finance companies, dealer groups, insurance companies and fleets the ability to more precisely value their older, longer-term portfolios.
“With used prices continuing to be high, consumers are financing older vehicles. In addition, loan terms are increasing and are currently at a 67-month term for new cars and a 66-month term for used cars, which requires our customers to have a longer outlook,” said Alex Yurchenko, senior vice president and chief data science officer at Black Book, who will be giving a presentation about residual values during Used Car Week, which begins on Nov. 14 in San Diego.
This enhanced residual valuation capability is available upon request, according to Black Book.
To find out more, visit www.blackbook.com or call (800) 554-1026.