ATLANTA — The average price of a used vehicle in the United States fell in January from the previous month, reflecting a typical seasonal decline, but remained slightly higher than a year earlier, according to data released by Kelley Blue Book.
The average used car was listed for $25,533 in January, down more than 2% from a revised $26,120 in December, Kelley Blue Book reported. Price softening early in the year is common, analysts said, even as overall affordability remains a concern for consumers.
Despite the monthly drop, used-vehicle prices were about 1% higher than January 2025, the report said. The data were compiled by Kelley Blue Book’s parent company, Cox Automotive.
Affordability Issue
Affordability pressures continue across the broader auto market. The average new vehicle sold for more than $49,000 in January, while vehicles priced around $20,000 have largely disappeared from dealer lots.
Used-car demand is expected to strengthen in the coming weeks as tax-refund season typically drives more shoppers into the market. Dealers entered the year with about 3% more inventory than a year earlier.
However, supply remains constrained by lingering effects of the COVID-19 pandemic, when automakers produced an estimated 8.1 million fewer vehicles during shutdown periods. That shortfall has reduced the number of three- to four-year-old vehicles typically entering the used market.
Shortages Being Felt
Dealers are also experiencing shortages of older, higher-mileage vehicles priced at $15,000 or less. At the end of January, those vehicles carried just a 37-day supply, compared with a 48-day supply for the overall used-car market, according to Kelley Blue Book.
Among brands, Ford, Chevrolet, Toyota, Honda and Nissan remained the top sellers, accounting for nearly half of all used vehicles sold during the month. The five brands had an average transaction price of $23,668, roughly 7% below the overall market average, the report said.
