U.S. used vehicle prices rebounded in March after reaching a 12-month low earlier this year, as seasonal demand and supply constraints began to push values higher.
According to CARFAX, the average price of a used vehicle rose by more than $450 in March, or about 1.7 per cent month over month, marking a sharper increase than typically seen during the spring market. The gain follows a period of declining prices that bottomed out earlier in the year, signalling a shift as the market enters a more active buying season.
“We knew used-car prices would start going up — and they definitely jumped in March,” said CARFAX in its latest analysis.
Several factors are contributing to the rebound. Higher prices for new 2026 model-year vehicles , partly tied to tariff-related cost increases. are pushing more consumers toward the used market. At the same time, a decline in lease activity in 2022 has reduced the flow of late-model used inventory, tightening supply.
Demand is also being supported by seasonal factors, including larger tax refunds, which are helping buyers move forward with purchases. And price gains were seen across most vehicle segments, with SUVs, luxury vehicles and vans posting some of the strongest increases. Pickup truck pricing, however, remained largely flat, suggesting some sensitivity to rising fuel costs.
While spring price increases are typical, this year’s jump is more pronounced than in 2025, pointing to a market where demand is once again outpacing available inventory.
