JD Power’s Used Car Market Outlook showed strong trends for the industry as well as a few challenges. Both new and used car prices shot up to record highs in 2022, according to last month’s report. Average Used Car Retail prices were $30,816 for 2022, nearly $4,000 higher than 2021 and $9,000 over 2019. JD Power provided an example of this by looking at a 2016 Toyota Camry. In January of 2019, the price of that car was $16,351, then it dropped to $13m546 in January of 2021 before climbing again to a price of $17,482 in November of 2022. During 2022 the average used car prices actually topped $32,000 before dropping in the fourth quarter. New Car prices averaged $45,000 for 2022, nearly $5,00 more than 2021 and almost $12,00 more than 2019. JD Power’s annual valuation services show that used vehicle process have peaked and should soften in this year and in 2024.
And also, we sit down Eric Johnson of Hudson Cook. Eric is a partner in the firm's Oklahoma City office and Editor in Chief of CounselorLibrary.com's Spot Delivery publication.