Used-Vehicle Inventory Decreased Month Over Month After Stronger Than Expected May Sales

Used-vehicle inventory levels at the start of June were slightly lower than in May, according to an analysis of Cox Automotive’s vAuto Live Market View data, as sales picked back up in May after a slowdown in April following an unexceptional tax refund season.

The total supply of used vehicles on dealer lots – franchised and independent – across the U.S. was at 2.26 million units as June opened, up 3% from a year ago but slightly lower than the 2.27 million units at the start of May.

The market saw an increase in sales for both new and used vehicles in May. Inventory levels of new increased through May but decreased for used. (Read about new-vehicle inventory.) Used-vehicle days’ supply at the start of June was 45 days, compared with the revised 48 days at the start of May, and lower by 8% against last year.

USED-VEHICLE INVENTORY VOLUME AND DAYS’ SUPPLY

Days’ supply was 45 at the beginning of June, up three days compared to the start of May.

The Cox Automotive days’ supply is based on the estimated daily retail sales rate for the most recent 30-day period, when sales were 1.51 million units. Used-vehicle sales in the period were up more than 12% year over year.

The average used-vehicle listing price was $25,670, up slightly from the revised $25,534 at the start of May but down 6% from a year earlier. Retail used-vehicle prices have been consistently lower through the first five months of 2024 compared to year-ago levels.

AVERAGE USED-VEHICLE LISTING PRICE

Used-vehicle prices increased slightly month over month.

Used cars below $15,000 continue to show constrained availability with only 34 days’ supply, 22% less than the average. Affordability remains challenging for consumers, and supply is more limited at lower price points. The top five sellers of the month sold at an average price of $23,999, about 7% below the average listing price for all vehicles sold, and were once again Ford, Chevrolet, Toyota, Honda and Nissan, accounting for 52% of all used vehicles sold.

Scott Vanner

Senior Analyst of Economic and Industry Insights

Scott Vanner is a senior analyst of Economic and Industry Insights at Cox Automotive, which works to find actionable insights for the industry posed by Cox Automotive clients. Scott works with the Sales, Finance, and Data Science organizations and creates innovative solutions often combining proprietary data from other Cox Automotive brands. Scott joined Cox Automotive in 2022.