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McLEAN, Va. — Depreciation trends have continued to be relatively steady, according to NADA Used Car Guide, which said the majority of used-vehicle sub-segments have only seen a "minor" softening of their values.

There were 33 sub-segments analyzed by NADA Used Car Guide across five model-year classes. So of the 165 sub-segment/model-year combinations, the used values of only eight showed depreciation of 2 percent or more from July to August.

Most of rest fell between zero percent and 2 percent, while a few increased.

"For yet another month, NADA used car values only experienced a minor depreciation in most sub-segments, which is a continuation of the pattern that has dominated the 2010 calendar year," stated Jonathan Banks, executive automotive analyst for NADA Used Car Guide.

Luxury segments were more prone to lose their values than non-luxury segments. However, their depreciation was less steep than it would normally be this time of year.

"This suggests that consumers are searching out deals and are still shying away from high-dollar vehicles in a weaker economy," Banks noted, referring to luxury vehicles having heavier depreciation.

Meanwhile, NADA Used Car Guide observed that large SUVs and pickups have enjoyed strong value retention thanks largely to price and production controls put in place by automakers at the time of the gas-price hike two years ago.

"Large SUVs and pickups continue to retain their overall strength, experiencing little if any depreciation," Banks stated. "Manufacturers have maintained the production and new-vehicle pricing discipline that was introduced in the summer of 2008 when fuel prices rose above $4 per gallon."

Next up, the company took a look at AuctionNet pricing from July. All of the five segments analyzed by NADA Used Car Guide were somewhat flat on a month-over-month basis. Compared to July 2009, all showed gains, with SUVs and vans up double-digits.

"AuctionNet price performance during July validated many assumptions made earlier in the year by NADA that predicted a strong used-vehicle market," Banks pointed out. "Although we experienced more significant appreciation in used prices during the first quarter of 2010, prices during the second quarter remained relatively flat with June posting the first signs of what would be considered normal depreciation."

Breaking it down by segment, van prices were up almost 14 percent year-over-year and SUVs climbed 14 percent. Meanwhile, pickup prices climbed between 8 percent and 10 percent and CUVs were up just over 8 percent. Car prices were up between 4 percent and 6 percent from July 2009.

Compared to June, vans showed the heaviest gain (up more than 0.9 percent), while cars climbed more than 0.7 percent and pickups jumped almost 0.6 percent. SUV prices were ahead 0.5 percent from June and CUV prices gained more than 0.4 percent. 

The factors NADA Used Car Guide listed as driving healthy used prices were firm new-vehicle transaction prices, steadiness in fuel prices, production reduction, low used supply, healthy dealer demand for used units and continued improvement in financing.

"The automotive industry has retooled itself to adapt and thrive in an environment of less than 12 million new vehicle sales. OEM's have significantly cut their production to better align supply with demand, while the dealer focus has shifted to used-vehicle sales and service revenue to maintain profitability," Banks noted.

Overall, throughout the industry there have been efforts to become more efficient and put in place measures to foster brand strength.

"Many OEMs have eliminated or divested brands in order to focus on core competencies of their respective brands and successful dealers are incorporating better tools, stronger employee retention pro-grams, and internal processes to improve customer satisfaction," Banks continued. "All of these initiatives have resulted in strong used-vehicle prices and creates a strong foundation for continued strength in the used market in the upcoming months"