CoPilot’s Car Price Index Report
April 2024 Used Car Pricing Report
INTRODUCTION
Car prices are inflated in a structural and long-term way. Due to supply issues and increased production costs during the COVID-19 pandemic, new car prices skyrocketed, which also trickled into the used car market. Currently, new and used car price are as follows:
In the context of this new, elevated normal, CoPilot’s Car Price Index analyzes vehicle affordability by looking at current used car prices compared to the replacement cost of a comparable new car (rather than along a historical depreciation curve).
Car prices are finally set to decline this spring – as new vehicle inventory has reached a three-year high and dealers are eager to move the excess of their lots. CoPilot’s Index tracks price movements across top brands, segments, makes/models on a monthly basis, as well as in the context of how a car’s current price compares to its pre-COVID price. It also offers insights on the segments, brands, and make/models that offer the best bargains for car shoppers.
KEY TAKEAWAYS
With new car inventory reaching a record high of 66 market days supply, prices fell in March (by $211, or 0.4%) as dealers are starting to offer price cuts and incentives to move vehicles off their lots.
- Meanwhile, used car prices increased slightly (by $203, or 0.6%) in March.
- Since the start of the pandemic more than four years ago, used cars have seen the most significant price increases, up $8,173 (or 34%) since the start of the pandemic
New domestic brands were the only make type to see a decline in price, down by just $185 (or 0.3%) in March.
Among vehicle segments, new pickup trucks and SUVs saw the largest price drops on a monthly basis, both down by nearly $500 in March. Within these segments, CoPilot has identified several models that could be strong deals due to their recent price drops and high inventory levels, indicating dealers may be more motivated to negotiate:
- The Jeep Grand Cherokee (SUV) - down by 2% (or $1,089) in March, with 89 market days supply
- The Ford Ranger (pickup truck) - down by 3% (or $1,440), with 146 market days supply
- The Hyundai Santa Cruz (pickup truck) down by 2% (or $854) in March, with 105 market days supply
Among new domestic brands, new Buicks saw the largest price drops, down by 5% (or $2,019). They were followed by new Rams, which fell by 2% (or $1,334). Within these brands, the following models saw the most substantial price declines:
- The Ram 3500 - down by 4% (or $2,804), with 157 market days supply
- The Ram 2500 - down by 3% (or $2,118), with 185 market days supply
- The Buick Enclave - down by 1% (or $430), with 77 market days supply
Among foreign brands, new Volkswagens saw the largest monthly price drop among foreign brands, down 3% (or $1,043).
- In addition to the Volkswagen ID.4 (an electric vehicle that saw a 4%, or $1,825 price drop), the Volkswagen Atlas saw a notable price decline, of 2% (or $1,016).
New electric vehicles also saw sizable declines in March, down by $302 to an average of $64,758. Some makes and models that saw significantly larger price drops include:
- Hyundai Ioniq 5 - down by 4%, or $2,119
- Volkswagen ID.4 - down by 4%, or $1,825
- Nissan Ariya - down by 2%, or $12,00
Dealers are also starting to ramp up incentives in order to move cars off their lots this spring. The below makes/models also have above-average inventory levels, which in combination indicate that consumers may be able to negotiate a deal:
2023 Ford Explorer
- Average price: $49,852, down 0.33% since March 2024
- Market days supply: 91
- Incentive: 1.9% financing for 36 months
2024 Ford Mustang
- Average price: $49,164, up 0.2% since March 2024
- Market days supply: 88
- Incentive: 1.9% financing for 36 months
2024 Hyundai Tucson
- Average price: $35,557, down 1% since March 2024
- Market days supply: 70
- Incentive: $1,500 cash back; 0% financing for 36 months
DATA HIGHLIGHTS
MAKE TYPE
Key Takeaways:
New domestic brands were the only make type to see a decline in price, down by just $185 (or 0.3%) in March. Meanwhile, new luxury brands increased in price by $177 (or 0.3%), and new foreign brand prices nudged upward by $84 (or 0.1%).
- Since the beginning of the COVID-19 pandemic in March 2020, new domestic cars have seen the largest price increases, up $13,597 (or 34%), while new luxury brands have seen the smallest increases, up $9,153 (or 15%).
All used make types increased in price in March, with used foreign brands seeing the largest jump (up by $195, or 1%).
- Used domestic brands have seen the largest price increases since March 2020, up $9,283 (or 38%), while used luxury cars have seen the smallest increases (up $9,758 or 31%).
- Currently, used luxury brands have the lowest replacement cost ratio, of 59% – meaning they are worth 59 cents to the dollar of a replacement new car. This means they represent the best value for consumers.
SEGMENTS
Key Takeaways:
- New pickup trucks saw the largest price declines in March, down $484 (or 0.8%). They were closely followed by new SUVs, which fell by $461 (or 0.7%).
Some makes and models that saw significant price drops in March:
- The Jeep Grand Cherokee (SUV) fell by 2% (or $1,089). This model has inventory levels well above the market average, at 89 market days supply.
- The Volkswagen ID.4 (electric SUV) fell by 4% (or $1,825). It has a market days supply, actually below the average for EVs and new cars as a whole, at 62 market days supply.
- The Ford Ranger (pickup truck) fell by 3% (or $1,440). It has a staggeringly high market days supply of 146 days.
- The Hyundai Santa Cruz (pickup truck) fell by 2% (or $854). It also has a very high market days supply of 105 days.
On the used side, used minivans saw the biggest month-over-month price increase (up $799, or 3% in March). This segment has also seen the largest price increases over the course of the pandemic, up $8,266 (or 37%) since March 2020.
- However, used minivans have the lowest replacement cost ratio, worth 62 cents on the dollar relative to other segments – meaning they present the best value to consumers compared to a comparable new car.
DOMESTIC BRANDS
Key Takeaways:
Among new domestic brands, new Buicks saw the largest price drops, down by 5% (or $2,019). They were followed by new Rams, which fell by 2% (or $1,334). Within these brands, the following models saw the most substantial price declines:
- The Ram 3500 fell by 4% (or $2,804). It has a market days supply of 157, more than double the average for new cars.
- The Ram 2500 fell by 3% (or $2,118). Its market days supply of 185 is nearly triple the average for new cars.
- The Buick Enclave fell by 1% (or $430). Its market days supply of 76 is 10 days higher than the new car average.
New GMCs were the only domestic brand to increase in price in March, up 2% (or $1,199). Their market days supply, of 70 days, is just above the average for new cars overall.
Most used domestic brands increased in price in March, with the exception of used GMCs, which fell by just $11.
- Used Fords saw the largest monthly price increase in March, up 2% (or $597).
- Used Dodges remain most elevated in price from their pre-COVID levels, up 52% (or $11,560) since March 2020.
Used Chryslers represent the best value for consumers among domestic brands, worth 49 cents on the dollar of a comparable new car.
FOREIGN BRANDS
Key Takeaways:
New Volkswagens saw the largest monthly price drop among foreign brands, down 3% (or $1,043).
- In addition to the ID.4 (which saw a 4% price drop), the Volkswagen Atlas saw a notable price decline - of 2% (or $1,016).
New Hyundais and Kias also fell slightly in price over the last month, down by 0.7% ($251) and 0.3% ($104), respectively.
New Toyotas and Hondas both increased in price in March, each up by 1%. Toyota and Honda have market days supply of 32 and 46, well below the average inventory for new cars of 66 market days supply, indicating demand remains strong.
- New Hondas have seen the most substantial price increases since the start of the COVID-19 pandemic, up by 53% (or $6,465).
Used Toyotas saw the largest increase among used foreign brands, up 3% (or $749) in March.
Used Kias represent the best value for consumers among used foreign brands, worth 58 cents on the dollar of a comparable new car.
LUXURY BRANDS
Key Takeaways:
- Most new luxury brands saw relatively minor price movements. New Mercedes-Benzs fell the most in price, down by 1% (or $954), followed by new Lincolns, down by 1% (or $760).
- New Genesis vehicles remain the most elevated in price since before the pandemic, up by 37% (or $17,935).
- Used Cadillacs saw the relatively largest price decline in March, down by 2% (or $773).
- Used Land Rovers and used Porsches saw the largest monthly price increases among used luxury brands, each up by 3% in March.
- Used BMWs represent the best value for consumers among used luxury brands, worth 51 cents on the dollar of a comparable new car.
CURRENT NEW VEHICLE INCENTIVES¹
CoPilot has compiled pricing and inventory information for some new vehicles for which dealers are currently offering incentives – a trend we expect to pick up in the spring buying season. (In fact, as of March, incentives have more than doubled year-over-year, to more than $3,000, according to Motor Intelligence data²).
2024 Hyundai Tucson - $1,500 cash back; 0% financing for 36 months
Average price: $35,557
up 1% since March 2024
up 39% since March 2020
Market days supply: 70
2024 Ford Mustang - 1.9% financing for 36 months
Average price: $49,164
up 0.2% since March 2024
up 24% since March 2020
Market days supply: 88
2023 Ford Explorer - 1.9% financing for 36 months
Average price: $49,852
down 0.33% since March 2024
up 8% since March 2020
Market days supply: 91
2023 Hyundai Santa Fe - $4,000 cash back
Average price: $42,436
up 3% since March 2024
up 34% since March 2020
Market days supply: 44
2023 Hyundai Santa Fe Hybrid - $2,750 cash back; 0% financing for 36 months
Average price: $41,927
up 0.7% since March 2024
Market days supply: 47
¹U.S. News & World Report Best Financing & Cash Back Deals
ABOUT COPILOT
CoPilot is the leading AI-assisted car shopping app that provides consumers with an expert partner for high-consideration purchases, starting with car buying and ownership. The platform combines massive real-time data with a winning combination of human expertise and AI-powered search to introduce transparency to the shopping, purchasing and ownership journey. The mobile application takes the time, frustration, and guesswork out of the process, empowering people to easily navigate the risks of shopping for high-value items, and to buy with confidence at the right price and the right time.
Its intelligent agent chatbot, AI Sam, guides consumers through the process of finding and selecting their ideal vehicle, based on their personal preferences – including budget, vehicle type, color, engine, trim, and more – as well as CoPilot’s proprietary insights and analysis about these vehicles. It provides curated and ranked recommendations for the perfect vehicle to meet their needs, as well as real-time information on its price and availability, based on their location. Consumers can also ask the AI Sam chatbot questions about specific cars and the car buying process, allowing them to access all the information they need in one place.
View the press release on this month’s Index report findings here.
Media Contact:
Kerry Close
732-609-2644
