According to a Cox Automotive analysis of vAuto Live Market View data, used-vehicle inventory levels at the start of July were lower than in June due to a widely used dealer management system (DMS) outage that disrupted sales and inventory reporting. The total supply of used vehicles on dealer lots, both franchised and independent, across the U.S. was 2.08 million units as of July 8, 2024, down from 2.25 million units at the start of June but unchanged from a year ago.
The market experienced a decline in sales for both new and used vehicles, particularly in the second half of June, which increased the days’ supply measure. The disruption caused by the DMS outage made it difficult to accurately report used retail sales for June compared to May. Despite the blackout, the used-vehicle market was less affected, with days’ supply at the start of July rising to 53 days, up seven days from June and four days from last year.
Cox Automotive’s days’ supply calculation, based on the estimated daily retail sales rate over the most recent 30-day period, revealed that used-vehicle sales were down 14% month over month and over 6% year over year. The average used-vehicle listing price dropped to $25,251 at the start of July, down from $25,642 in June and 7% lower than a year earlier. This marked a price level last seen in the summer of 2021.
Nevertheless, affordability remains a challenge, with constrained supply at lower price points. Used cars below $15,000 have only a 39-day supply, 35% less than the industry average. The top five sellers for the month, averaging $23,833, were Ford, Chevrolet, Toyota, Honda, and Nissan, accounting for 49% of all used vehicles sold.
