Used: More Inventory, Steadier Prices

Used inventory per dealer reached its highest level in years in July, up 5.6% year-over-year (YoY) on the CarGurus Used Vehicle Availability Index. Franchise lots did most of the rebuilding, and the 2- and 3-year-old units they've struggled to source coming out of the chip shortage are finally starting to climb again.

In a partially welcome stat for consumers, prices didn’t rise in July, although they didn’t see a decline either. The average used listing price has sat at $30.2k since May, though it's still 4.1% above last July. Pricing mix is partially responsible, with sub-$20k listings continuing to lose share while $30k and up picks it up.

Despite higher prices, demand held up anyway, running 3.7% above last July, and the average used vehicle is spending less time on the lot than it was a year ago, at 68 days. 

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New: Prices continue to rise

Average new listing prices reached $51.4k in July, up 4.0% YoY. Pricing mix was a factor behind the increase, as well as the arrival of 2027 models. Vehicles under $30k have fallen to 10.7% of new inventory from 13.4% a year ago. Nearly one in ten new vehicles on the lot now carries an $80k and above sticker price.

Retail sales slipped back below year-ago levels after two months of growth, and consumers' hunt for affordability is having an impact under the surface as well. Vehicles above $80k are carrying over 90 days of supply while under-$30k units sit at 56, so the affordable end is still what sells fastest relative to what's on the ground. There just isn't much of it left.

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Power Shift: Fuel Efficiency Loses Its Tailwind

The clean powertrain interest we tracked all spring was largely a gas price story, and that interest is now moderating along with gas prices. New EV share of listing views fell back to 4.1% from a 5.5% peak in April, and hybrid views eased alongside them. Hybrids still draw roughly three times the interest than EVs do on the new side, which is the more durable signal of the two.

Used held firmer, with EV and hybrid views both steady and sales growing for both. New EV sales remain the laggard, still well below where they ran before the tax credit expired. Model-level supply shows where hybrid demand sits, and it's mostly a Toyota story. The Highlander Hybrid, RAV4, and Corolla Cross Hybrid all carry roughly two weeks of supply.