Manheim Used Vehicle Values Hit 2.5-Year High as Spring Demand Surges
Event summary
- Manheim Used Vehicle Value Index (MUVVI) rose 6.2% year-over-year to 215.3 in March 2026, the highest since summer 2023.
- Wholesale inventory remained tight with sales conversion at 68.2%, above historical norms, signaling strong dealer demand.
- Used EV sales set a record in Q1 2026 with nearly 37,000 units sold at Manheim, reflecting healthy demand.
- Retail used-vehicle sales in Q1 2026 were 2% higher than year-ago levels, driven by higher tax refunds and tight inventory.
- Cox Automotive revised its used-vehicle retail sales forecast higher to 20.4 million units for 2026.
The big picture
The surge in used vehicle values reflects a broader trend of strong consumer demand and tight inventory, driven by affordability pressures in the new vehicle market. Cox Automotive's revised forecast highlights the growing role of used vehicles in the automotive ecosystem, particularly as EV off-lease volumes increase. The market's resilience despite geopolitical uncertainties underscores the underlying strength in consumer spending on pre-owned vehicles.
What we're watching
- Demand Resilience
- Whether the current demand for used vehicles will sustain through the second half of 2026, especially as tax refund season concludes.
- EV Market Impact
- The pace at which the increasing flow of off-lease EVs will affect wholesale market dynamics and pricing volatility.
- Geopolitical Influence
- How potential impacts from the Middle East conflict may influence U.S. consumer behavior and used-vehicle demand.
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