Some used vehicles reselling for more than original price
TUCSON, Ariz. (KOLD News 13) - The demand for used cars has never been hotter and industry experts are seeing some cars bought brand new a year ago being resold for more than the original price.
Dealerships like Tucson Used Auto Sales have seen the price of used Jeep Wranglers, trucks and SUVs skyrocket.
“There’s a higher demand and the supply is going lower,” said Roman Araiza, the finance manager at Tucson Used Auto Sales.
The ongoing computer chip shortage for new vehicles continues to impact the car industry and is making used cars desirable.
“If you look at Federal Reserve data for used vehicles, the used vehicle CPI index is the highest it has ever been. It’s really creating some unique situations where your car might be an appreciating asset,” said Kevin Roberts, the director of industry analytics at Cargurus.
A 2020 Corvette bought last summer can be resold for about $25,000 more than the original purchase price, according to a report from Edmunds.com.
Across the nation, the prices of used cars have gone up.
“Data for June the average used vehicle listing price was over $28,000 in the U.S., and that’s up 38.6 percent from a year ago,” Roberts said.
He said it’s difficult to estimate when the industry will return to some level of normalcy.
“We might start to see an inflection point here in the third quarter, but it’s likely to take a number of months to get back to a new normal,” he said.
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