After One Month of Decline The CBB Index is Back To Breaking Records
September 07 2021
August Index Sets a New All Time High
Markham, ON, September 7, 2021 – Canadian Black Book, the provider of Canada’s industry leading used vehicle valuation data and residual value forecast solutions, release its Used Vehicle Retention Index for August 2021. The Index hit 127.8 points, which is a gain of 2.5% compared to last month and up 2.7 Index point from the previous record set in June (125.1). After twelve consecutive months of increases and ten straight months of record highs, last month saw the first decline for the Index since June of 2020, and now it is back to a new all-time high.
“A number of market conditions continue to constrain supply of new and used vehicles, which provide the right environment for sustained value increase,” says Yolanda Biswah, Senior Vice President and General Manager at Canadian Black Book. “We really are in uncharted territories when it comes to used value, in terms of the rapid pace and height we are seeing in our Index.”
Year-over-year the Index sits 19% higher than August of 2020, when it sat at 107.4 Index points. For August 2021 the segments with the most value increase was Mid-size Car with 3.6% growth, Compact Van with a 3.5% increase and Compact Car gaining 3.4%. This month saw only increases across all segments and no segment saw any value decrease.
The Canadian Black Book Used Vehicle Retention Index is calculated using CBB’s published Wholesale Average value on two- to six-year-old used vehicles, as a percent of original typically equipped MSRP. It is weighted based on registration volume and adjusted for seasonality, vehicle age, mileage, and condition. The Index offers an accurate, representative, and an unbiased view of the strength of today’s used vehicle market values. The Index dates to January 2005, where the Canadian Black Book published a benchmark index value of 100.0 for the market.