Interest rate spikes, fuel costs & consumer sentiment over high vehicle prices slowed down the Used car market with a 16% sales drop in May 2022 compared to May 2021.
Unlike 2021 there are no stimulus checks to help consumers through these headwinds.
According to Cox Automotive [www.coxautoinc.com] Year-over-Year data shows a 12.7% decrease through five months of 2022.
Dealer sentiment seems to be a reflection of consumer sentiment as well with the fourth straight quarter of decline in dealer market sentiment which has been trending downward since 2021.
The #1 concern among dealers are the continued strain on new-vehicle inventory. The economy & looming market condition concerns are high on the list as well.
You can download the entire Cox Automotive study here: https://www.coxautoinc.com/wp-content/uploads/2022/06/Q2-2022-Cox-Automotive-Dealer-Sentiment-Index-Report.pdf