Used values virtually flat in February

Used values of Canadian vehicles were essentially flat last month, though the Canadian Black Book Used Vehicle Retention Index dropped 0.2 per cent in February compared to the month previous.

The index sits at 157.9 points, meaning a used vehicle is valued at nearly 58 per cent higher than Canadian Black Book’s benchmark. The latest reading leaves the year-over-year index decrease at -3.5 per cent.

“As we head towards the spring, the wholesale market continues its overall decline in Canada.  New car inventory remains a challenge, which has been driving the prolonged high values in the Retention Index,” says David Robins, principal automotive analyst and head of Canadian vehicle valuations at Canadian Black Book.

The index peaked in March of 2022 at 165 points following a long run of increasing value since the late summer of 2020. The index at that time was as low as 100.5 points.

Month-over-month, Canadian Black Book reported 10 segments saw growth with 17 declining in value. Sporty Car (+4.16 per cent), Full-Size Van (+3.48 per cent), and Full-Size Car (+2.89 per cent) saw the greatest strength. Near-Luxury Car (-1.71 per cent), Luxury Car (-1.16 per cent), and Compact Crossover/SUV (-0.77 per cent) declined the most.

The Sporty Car segment saw the biggest year-over-year decrease at 12.53 per cent. The highest year-over-year increase was Prestige Luxury Car at 16 per cent.