CoPilot’s Car Price Index Report

June 2024 Used Car Pricing Report


INTRODUCTION

Car prices are inflated in a structural and long-term way. Due to supply issues and increased production costs during the COVID-19 pandemic, new car prices skyrocketed, which also trickled into the used car market. Currently, new and used car price are as follows:



In the context of this new, elevated normal, CoPilot’s Car Price Index analyzes vehicle affordability by looking at current used car prices compared to the replacement cost of a comparable new car (rather than along a historical depreciation curve).

The Index tracks price movements across top brands, segments, makes/models on a monthly basis, as well as in the context of how a car’s current price compares to its pre-COVID price. It also offers insights on the segments, brands, and make/models that offer the best bargains for car shoppers.


KEY TAKEAWAYS

  • In May, both new and used car prices increased slightly. While used cars still remain more inflated compared to their pre-COVID levels, they have fallen in price more rapidly over the past year - down 7% compared to just 2% for new cars.
  • While there are a number of available incentives, particularly for high inventory brands like Chevrolet, Ford, and Lincoln, stubbornly high new car prices are pushing more consumers into the used market.
  • Nearly-new, 1-3 year old cars, whose prices fell by 8% since June 2023, are seeing more rapid declines than many of their new counterparts, making them an attractive buy for consumers who may be priced out of the new market or need to finance a vehicle purchase in the currently record-high interest rate environment.
  • Used electric vehicle prices have also seen some of the most substantial drops in the market, down by 15% in the past year. Nearly-new EVs have fallen even further, by 20%.
  • Domestic brands remain the most inflated on both the new and used side. New domestic brands in price jumped by $400, and both new and used models are up 36% from their pre-COVID levels.
  • On a segment basis, both minivans (which fell by almost $500) and pickup trucks (down nearly $400) saw the largest price drops in May. Used SUVs represent the best value by segment, worth 61 cents on the dollar compared to a new model, and their prices fell another $500 (or 1%) in May.

  • Among domestic vehicles, several brands – including GMC, Dodge, Jeep, and Ram, all of which have above-average days supply on dealer lots – saw their used prices fall.

    • Used Chryslers represent the strongest value among all domestic brands, worth 49 cents on the dollar compared to a comparable new model. 

  • Among foreign brand cars, both new and used Toyotas saw the largest increases, with new models up by over $700 (or 2%) and used models up by nearly $400 (or 1%) Both new and used Toyotas – at 29 and 35 market days supply, respectively – have inventory levels well below the average for new and used cars.

    • Used Hyundais represent the best value for consumers among all foreign brands, worth 58 cents on the dollar of a comparable new car.

  • New Porsches are the first vehicle brand to actually fall in price since the start of COVID, down by a mere $74 (0.1%).



DATA HIGHLIGHTS

MAKE TYPE



Key Takeaways:

  • Domestic brands remain the most inflated on both the new and used side. New domestic brands in price jumped by $400, and both new and used models are up 36% from their pre-COVID levels.
  • When compared to their new counterparts, used luxury brands offer the best deal for consumers, worth 57 cents on the dollar of a new car. They also fell by another $300 in May.



SEGMENTS




Key Takeaways:

  • Used SUVs represent the best value by segment, worth 61 cents on the dollar compared to a new model, and down nearly $500 (or 1%) in May.

    • On the new side, however, they saw the largest increases in May, up by nearly $400.

  • Since the start of the pandemic, minivans are the most inflated segment on both the new (up 30%) and used (up 37%) side.

  • On the new side, both minivans (down nearly $500) and pickup trucks (down nearly $400) saw the largest price declines in May.



DOMESTIC BRANDS




Key Takeaways:

  • New Chevrolets saw the most substantial increases on the new side (up by over $1,800), while decreasing slightly on the used side.
  • On the used side, several brands – including GMC, Dodge, Jeep, and Ram – also saw modest price declines. (These brands all have above-average inventory levels).
  • Used Chryslers represent the strongest value among all domestic brands, worth 49 cents on the dollar compared to a comparable new model. 



FOREIGN BRANDS




Key Takeaways:

  • On both the new and used side, Toyotas saw the largest increases - up by over $700 (or 2%) on the new side and up by nearly $400 (or 1%) on the used side. Both new and used Toyotas – at 29 and 35 market days supply, respectively – have inventory levels well below the average for new and used cars.
  • Used Hyundais represent the best value for consumers among all foreign brands, worth 58 cents on the dollar of a comparable new car. 
  • New Kias remain the most inflated from their pre-COVID pricing levels. Despite a 1% drop last month, their prices remain 48% higher than they were in March 2020.



LUXURY BRANDS




Key Takeaways:

  • New Genesis vehicles remain the most inflated since the start of the pandemic, up by 33% since March 2020. New Porsches are the first vehicle brand to actually fall in price since the start of COVID, down very slightly by 0.1%.
  • Used Land Rovers and used Lincolns represent the best value for consumers among used luxury brands, both worth 55 cents on the dollar compared to their new counterparts.
  • Conversely, consumers interested in a Porsche - whose used models are worth 73 cents on the dollar compared to a new car – may be better off buying new.


CURRENT NEW VEHICLE INCENTIVES¹

CoPilot has compiled pricing and inventory information for some new vehicles for which dealers are currently offering incentives – a trend we expect to see in the spring buying season.

  • 2023 Chevrolet Silverado - $8,000 cash back on select models

    • Average price: $53,991

    • up 0.6% since May 2024

    • up 31% since March 2020

    • Market days supply: 76

  • 2023 Ford F-150 Lightning - 1.9% financing for 36 months for select models

    • Average price: $70,442

    • up 4% since May 2024

    • Market days supply: 76

  • 2024 Honda CR-V - 2.9% financing for 36 months

    • Average price: $37,415

    • up 1% May 2024

    • up 25% since March 2020

    • Market days supply: 31

  • 2023 Lincoln Navigator - 0% financing for 60 months on select models

    • Average price: $102,671

    • down 0.6% since May 2024

    • up 15% since March 2020

    • Market days supply: 178

  • 2024 Nissan Rogue - 0% financing for 36 months on select models

    • Average price: $34,921

    • down 0.4% since May 2024

    • up 28% since March 2020

    • Market days supply: 72

¹U.S. News & World Report Best Financing & Cash Back Deals




ABOUT COPILOT

CoPilot is the leading AI-assisted car shopping app that provides consumers with an expert partner for high-consideration purchases, starting with car buying and ownership. The platform combines massive real-time data with a winning combination of human expertise and AI-powered search to introduce transparency to the shopping, purchasing and ownership journey. The mobile application takes the time, frustration, and guesswork out of the process, empowering people to easily navigate the risks of shopping for high-value items, and to buy with confidence at the right price and the right time.

Its intelligent agent chatbot, AI Sam, guides consumers through the process of finding and selecting their ideal vehicle, based on their personal preferences – including budget, vehicle type, color, engine, trim, and more – as well as CoPilot’s proprietary insights and analysis about these vehicles. It provides curated and ranked recommendations for the perfect vehicle to meet their needs, as well as real-time information on its price and availability, based on their location. Consumers can also ask the AI Sam chatbot questions about specific cars and the car buying process, allowing them to access all the information they need in one place.

View the press release on this month’s Index report findings here.


Media Contact:

Kerry Close

kclose@groupgordon.com

732-609-2644