Manheim Used Vehicle Value Index Increases Through Q1, As Healthy Spring Bounce Pushes Used-Vehicle Values Higher

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Apr 07, 2026, 13:05 ET

Wholesale used–vehicle prices hit two–and-a-half-year high in March, with the Manheim Used Vehicle Value Index (MUVVI) up 6.2% year over year to 215.3.
Wholesale inventory remained tight at Manheim, with sales conversion climbing to 68.2%—above historical norms—signaling sustained dealer demand and continued competition in the auction lanes.
The retail used-vehicle market gained momentum in Q1, with sales running ahead of last year; tight inventory and steady demand are putting upward pressure on pricing at dealer lots.

ATLANTA, April 7, 2026 /PRNewswire/ -- Wholesale used-vehicle prices (on a mix, mileage and seasonally adjusted basis) were higher year over year in March. The Manheim Used Vehicle Value Index (MUVVI) rose to 215.3, an increase of 6.2% year over year and the highest point since the summer of 2023. Demand for used vehicles remains strong according to auction data from Manheim, a Cox Automotive brand and the largest wholesale marketplace in the U.S. Values increased 1.4% over the month of March, a jump well above long-term norms, and are higher by 2.3% compared to the start of the year.

"As soon as this year began, prices at Manheim started moving higher as dealers anticipated strong demand from higher tax refunds to consumers," said Jeremy Robb, chief economist at Cox Automotive. "Sales conversion rates, a clear sign of demand, were higher against 2025 for every week but one in Q1, and vehicle value trends at auction show we are well ahead of last year and where we would normally be during a spring bounce in the wholesale markets. We thought we'd see some impact from the Middle East conflict, and that may still happen. But right now, the data is clear: used-vehicle demand is healthy and inventory levels are relatively tight."

Wholesale Prices and Demand Stay Strong in March

Wholesale pricing strengthened in March, with Manheim Market Report (MMR) prices for the Three–Year–Old Index rising 2.2% for the month—slightly more than is typical for this time of year. MMR retention averaged 100.5%, essentially flat year over year and up 0.2 percentage points from February, indicating a seasonally normal but firm pricing environment as the spring selling season progressed.

Demand signals continue to be strong at Manheim, with sales conversion reaching 68.2% in the most recent measure. That result was 4.6 percentage points higher than the most recent three–year average for March and higher by 5.5 percentage points from the revised-higher February rate (62.7%), pointing to strengthening buyer activity and continued competition for available inventory in the wholesale lanes.

Used Electric Vehicles Sets Sales Record at Wholesale in Q1

Electric vehicles (EVs) showed notable strength at Manheim during the first quarter, outperforming long–term expectations and a sign of healthy demand for used EVs. EV pricing and activity remained firm through March, with values rising alongside the seasonal spring increase. Rising gas prices may have positively influenced demand last month, as dealers pursued potential opportunities with used EVs, which are notably more affordable than new EVs.

EV availability at Manheim improved in Q1 as well, as more off-lease EVs are moved into the auction lanes. In fact, the wholesale volume of EVs at Manheim set a record in Q1, with nearly 37,000 units sold. Initial retail sales estimates for used EVs were strong as well. Cox Automotive's analysis suggests more than 100,000 used EVs were sold in Q1, the second-best result behind only Q3 2025, when buyers were hurrying to secure soon-to-expire government-backed sales incentives.

The growing EV share reflects an increasing flow of off–lease vehicles back into wholesale channels, as many lessees remain unlikely to purchase vehicles priced above market value at lease end. Lenders have been absorbing these valuation adjustments gradually, helping the wholesale market digest the increase in used EVs. As additional off–lease EVs return in coming quarters, Manheim expects EV activity to continue rising, further solidifying their role within the wholesale ecosystem.

Retail Used-Vehicle Market Had Momentum in Q1

Retail conditions for used vehicles strengthened in the first quarter of 2026 as the spring selling season arrived with healthy consumer tailwinds, which helped push Manheim values higher. Higher–than–average tax refunds helped activate pent–up demand, pushing used-retail sales approximately 2% above year–ago levels during Q1.

At the same time, inventory tightened meaningfully, with days' supply falling below 40 in March — the lowest point in 2026 and down from year-ago levels. Leaner inventory supported firmer pricing at retail for used vehicles, particularly for high–demand models, with retail list prices for popular three–year–old vehicles running roughly 2% higher than last year and above typical seasonal trends. While affordability constraints remain a limiting factor for many buyers, the combination of steady demand and constrained supply helped keep used vehicle retail pricing firm through the first quarter and buying activity healthy at Manheim.

Used and Wholesale Vehicle Market Forecast and Outlook for 2026

Cox Automotive's 2026 used–vehicle outlook remains largely unchanged following the first–quarter update, reflecting a stronger–than–expected start to the year offset by a softer second–half view. Total used–vehicle sales are still forecast to decline 1% year over year; however, the used–vehicle retail sales forecast was revised higher in the Q1 update to 20.4 million units, up from 20.3 million previously. Stronger retail demand continues to be supported by new vehicle affordability pressures that are pushing consumers toward used vehicles, while lower new–vehicle sales are constraining trade–in volumes and limiting supply into the used market.

Wholesale pricing is expected to follow a normal seasonal pattern for the remainder of the year, with the Manheim Used Vehicle Value Index forecast to rise approximately 2% by year–end 2026, consistent with long–term averages. Although the index is currently running strong on a year–over–year basis, values are expected to peak as tax refund season concludes. A higher mix of used EVs in the second half of the year is expected to contribute to increased volatility, but overall wholesale price performance is projected to remain aligned with historical norms.

"As we move towards summer, we expect Manheim values to hold their ground with many more consumers yet to file their tax returns this year," added Robb. "The end of March typically proves to be the 'peak' for price action at Manheim. The Middle East conflict could dampen the spirits of the U.S. consumer, but we just haven't seen it yet – our data is showing resiliency in the economy."

For more information on the Manheim Used Vehicle Value Index, visit Manheim Insights.

About Cox Automotive

Cox Automotive is the world's largest automotive services and technology provider. Cox Automotive powers industry-leading solutions for car shoppers, auto manufacturers, dealers, lenders and fleets through proprietary technology and insights derived from billions of annual online interactions. The company has 29,000+ employees on five continents and a portfolio of industry-leading brands that include Autotrader^®, Kelley Blue Book^®, Manheim^®, vAuto^®, Dealertrack^®, NextGear Capital™, CentralDispatch^® and Cox Fleet^®. Cox Automotive is a subsidiary of Cox Enterprises Inc., a privately owned, Atlanta-based company with $23 billion in annual revenue. Cox Automotive has been included on Glassdoor's Best Companies in Tech & AI 2026 and Best Place to Work in 2026 lists. Visit coxautoinc.com or connect via @CoxAutomotive on X, CoxAutoInc on Facebook or Cox-Automotive-Inc on LinkedIn.