Here’s how valuable Canadian used vehicles are

[Summitric]

October 21, 2021 by Adam Malik

Here’s how valuable Canadian used vehicles are​

A shortage of supply and high demand means used vehicles are more valuable than they ever have been, according to a new report.

The Used Vehicle Retention Index for September 2021 from Canadian Black Book (CBB) hit a score of 132.6 points in September. That represents a jump of 4.8 points (3.8 per cent) from August. It’s the single-biggest month-over-month jump ever, eclipsing March of this year, which was a 4.1-point jump.

The Index offers an accurate, representative and unbiased view of the strength of today’s used vehicle market values. It is calculated using CBB’s published “wholesale average” value on two- to six-year-old used vehicles, as a percent of original typically equipped MSRP. It is weighted based on registration volume and adjusted for seasonality, vehicle age, mileage, and condition. The index’s benchmark is set at 100.0 for the market. So a score of 132.6 means used vehicles are 32.6 percent more valuable than the benchmark.

“Continued supply disruptions are causing havoc for OEMs and retail channels alike. Delays, coupled with strong demand, have sent retained values skywards with no immediate end in sight,” said Yolanda Biswah, senior vice president and general manager at CBB.

An announcement from CBB noted that the most recent index report is an “impressive” 21.7 per cent higher compared to the sale time last year.

Meanwhile, new vehicle prices also hit all-time highs.

 

[fnDan]

This actually worked out well for a kid I know. Bought a brand new truck 2 years ago, changed jobs and couldn't afford the payments anymore. Sold the truck for what he paid and out from under that debt even with hail damage. He can still track his truck through Ford Pass. It's down in Arizona.

 

[Bogger]

It's the old catch 22..... my son just sold his truck and car to upgrade to a single vehicle and even though he got good money for the ones he sold it's proving tough to find a real good low km car for under $8k or at least what I think should be a good car for that price.

 

[neilsleder]

It's the old catch 22..... my son just sold his truck and car to upgrade to a single vehicle and even though he got good money for the ones he sold it's proving tough to find a real good low km car for under $8k or at least what I think should be a good car for that price.

My brother just did that. He was all happy someone offered him more money for his truck then what he paid. He sold it and thought he did good which he did, but needs to buy another over priced vehicle to replace it

 

[RXN]

The guy that bought one of my Dads covairs, was saying he sold his suv back to the same dealership he bought it from for a couple thousand more than he paid.
He had it for a few years too.

 

[MP Kid]

Selling a used vehicle for good dollars only works if you have another vehicle sitting there to drive. If you are just trading, then the prices of each vehicle is irrelevant, its the difference that counts.

Will we see the price of new and used vehicles return to normal…? I’m looking for a boat… so i sure hope so!!

 

[Bogger]

Selling a used vehicle for good dollars only works if you have another vehicle sitting there to drive. If you are just trading, then the prices of each vehicle is irrelevant, its the difference that counts.

Will we see the price of new and used vehicles return to normal…? I’m looking for a boat… so i sure hope so!!

Have I got a boat for you........