After months of price hikes, used cars may finally get less expensive. A report released recently by accounting and consulting firm KPMG suggests prices may slide by as much as 30% by this time next year.
In just five months, the average asking price for a used car climbed from about $21,000 to over $27,000, according to Cox Automotive.
KPMG analysts predict demand will taper and supply will increase by as early as October 2022.
Still, KPMG notes continued interruptions caused by COVID-19 variants could disrupt the supply chain and make it difficult for automakers to source critical parts for new vehicles.