Cars Commerce Debut Says Shift To Buyers Market Used Car Prices Going Up.

Cars Commerce highlighted five key January market highlights:

Shift to a buyer's market: The automotive industry is seeing a potential shift toward a buyer's market as of 2024, driven by a combination of lower prices, a 36% year-over-year increase in new car inventory and vehicles staying on dealer lots for longer periods — ultimately enhancing negotiation leverage for shoppers.

New-car prices dipped again, but shoppers are still paying above MSRP: As new-car inventory returns, prices are softening. However, Cars Commerce’s just-launched New Car Pricing Index (NCPI) reveals the total cost to purchase and finance a vehicle is still 32.7% above MSRP.

Increased options for budget-conscious consumers: There's a notable uptick in the availability of new vehicles priced under $30K, with a 63% year-over-year increase, indicating a broadening of options within an accessible price range for budget-conscious buyers. prices, an 800,000-vehicle drop in availability exacerbates the scarcity of Used-cars

Used-car scarcity increasing: Despite a slight decrease in average used cars, indicating increased volatility in the market this year and highlighting the need for monitoring lease returns to project future inventory. Used Car fluctuating, with a 136.7% increase in dealer inventory allowing more consumers to test-drive vehicles previously limited by supply issues, while they increased supply and lower prices.

The Industry Insights Report takes stock of the state of the automotive industry by analyzing exclusive pricing, supply, demand and consumer behavior data. Macro and micro automotive market data is sourced from across the company’s platforms, leading reputation site Cars.com, digital solutions and website provider Dealer Inspire, and trade-in and appraisal technology provider AccuTrade.