Small cars are out of favor, pushed aside by crossovers, right?
As independent used-car dealers load up on compact sedans in anticipation of customers showing up with tax refunds in hand, those cars are enjoying strong prices in auction lanes. That's helping franchised dealerships unload small cars taken as trade-ins.
The week of March 16-23 was the strongest week for used cars in two years, according to Black Book's analysis. Anil Goyal, Black Book's executive vice president of operations, called it a "very strong week in car values, led by compact cars. Tax season demand continues to be strong."
Looking at vehicles from model years 2009-15 on a volume-weighted basis, average wholesale prices for compact cars rose $61, or 0.89 percent, from the prior week — the largest gain of any segment. In contrast, prices for compact crossovers and SUVs edged up $6, or 0.05 percent, while subcompact luxury crossovers' prices fell $138, or 0.87 percent.