Used-Vehicle Sales Accelerate in July; CPO Market Defies Supply Constraints

According to an analysis of Cox Automotive’s vAuto Live Market View data estimates, retail used-vehicle sales in July¹ increased month over month compared to June. 

A total of 1.52 million used vehicles were sold at retail – from both franchised and independent dealers – during July, up 8.9% month over month and up 7.0% year over year. Days’ supply of used vehicles in the most recent report was 43, down four days from the upwardly revised level at the beginning of July and down two days compared to the same time last year.

Monthly Used-Vehicle Retail Sales Volume

Scott Vanner, manager of Economic and Industry Insights at Cox Automotive, noted: “This month’s surge in both new and used vehicle sales clearly indicates that the overall demand in the market remains strong. As affordability challenges in the new car segment continue to drive many consumers towards used options, we’re also witnessing some added momentum from gradually decreasing credit rates and improved credit access.”

The retail used-vehicle sales estimates are based on observed unit changes tracked by vAuto, a Cox Automotive brand specializing in inventory management. The vAuto Live Market View database provides guidance on sales pace and volume over time. Full-year sales volume, based on registrations and other sources, is updated annually.

CPO Sales Surge in July

Certified pre-owned (CPO) sales increased 11.0% month over month in July, according to data reviewed by Cox Automotive. CPO sales in July were up 5.4% year over year. CPO is still running surprisingly strong, given the supply limitations in place.  The conversions of older model-year, low-mileage vehicles could be influencing this increase. July’s CPO sales are estimated at 222,991, up from 200,950 in June. Year-to-date, CPO sales are running around 3% higher than the same period last year.

¹The estimated monthly retail used-vehicle sales number is based on vAuto Live Market View data from the most recent 30-day period. This change aligns the sales data in the monthly estimated sales report with the monthly inventory report. The historical data in the downloadable file has been updated to reflect comparable 30-day sales data. The 2024 implied sold and days’ supply numbers affected by the CDK outage have been normalized.