Black Book, a division of Hearst that provides used vehicle valuations and residual value forecast solutions, released its Used Vehicle Retention Index for January 2025.The seasonally adjusted Index decreased 1.2% (1.7 points) to 146.3 from December 2024 (148.0), which is 2.5% below where it was at the same time in 2024.

“As 2025 began, market trends appeared aligned with pre-pandemic seasonal patterns. Expectations for a stable market were high, fueled by the prospect of a spring market and the anticipation that this year would mark a low point in used vehicle volume,” stated Laura Wehunt, vice president of data & analytics. “However, as we enter February, significant uncertainty surrounds the automotive industry’s outlook for the year, largely due to potential legislative changes prompted by the new administration. Unresolved issues include tariffs, interest rates, and incentives for electric vehicles.” 

The Black Book Used Vehicle Retention Index is calculated using Black Book’s published Wholesale Average value on two- to six-year-old used vehicles, as percent of original typically equipped MSRP. It is weighted based on registration volume and adjusted for seasonality, vehicle age, mileage, and condition. The Index offers an accurate, representative, and unbiased view of the strength of today’s used vehicle market values.