After experiencing lower depreciation during Thanksgiving week, the market’s depreciation rate increased last week but remained consistent with typical seasonal expectations, according to Black Book. However, older vehicles aged 8 to 16 years reported lower depreciation, dropping by -0.38%, compared to 2 to 8-year-old vehicles, which declined by -0.63%, and 0 to 2-year-old vehicles, which declined by -0.55%.

Car Segments 

• On a volume-weighted basis, the overall Car segment decreased -0.66%. For reference, in the previous week, cars decreased -0.33%.
• The 0-to-2-year-old Car segments were down -0.52% and 8-to-16-year-old Cars decreased -0.40%.
• All nine Car segments experienced declines last week.
• Following two weeks of stability with consecutive low depreciation of 0.27%, the Compact Car segment experienced a significantly larger depreciation last week, declining by 0.88%. In contrast, the older 8- to 16-year-olds continue to report much lower depreciation, at a decrease of 0.37%.
• Last week, the depreciation of newer used Sub-Compact Cars, aged 0 to 2 years, slowed, marking the smallest single-week depreciation of -0.16% for the segment since early October.

Truck / SUV Segments

• The volume-weighted, overall Truck segment decreased -0.62% compared to the decrease seen the prior week of -0.28%.
• The 0-to-2-year-old models saw an average decrease of -0.56% and the 8-to-16-year-old models experienced an average decrease of -0.36%.
• Twelve of the thirteen Truck segments reported a decrease in values last week.
• As incentives on new Full-Size Trucks continue to rise, the used market is under pressure, resulting in a -0.87% decline for the 0 to 2-year-old Full-Size Truck segment last week. This is the largest single-week decline for trucks of this age since December 2023. In comparison, the 8 to 16-year-olds segment saw a depreciation of -0.41%.
• The Minivan segment experienced the largest decline last week, dropping by -1.30%, marking the most significant single week decrease since November 2023.