For dealers dependent on auctions for cars and trucks, elevated wholesale used-vehicle prices were a pain point throughout 2021.
But there could be some relief in store: Forecasters saw limited price hikes during the 2022 spring selling season. Wholesale prices grew modestly for about eight weeks in a row — a pattern usually exhibited during the spring season as consumers spend their tax refunds on vehicles.
But now that the market is past that window, prices could smooth out even more.
"Dealers are starting to see the wholesale market behave pretty normally, just like we're seeing in retail pricing, so I think down the road, there'll be less pressure on that front," Cox Automotive Chief Economist Jonathan Smoke told Automotive News.
Dealers who source inventory from auctions have been taking the brunt of up-to-date market prices, which have gone through an extended bout of inflation, Smoke said.