Is This A Turning Point For Used Cars?

Issue #153

Hello! Today’s issue discusses what caused CarMax’s stock to plummet, how it’s only the beginning of serious changes for the industry.

Market News

• Despite producing tons of SUVs, BMW still defends this car style, which has defined its history. 

• Subaru’s only sports car is now more expensive than a Mustang. Here’s how much, but is it worth it? 

• The US drops tariffs on EU cars by this much. 

• Tariffs have hurt the perception of European car buyers. They now prefer Chinese cars instead of American ones. 

• Tesla urges the EPA not to roll back on emissions regulations, for these reasons.

• Honda’s Prelude will not only be an exciting sports car, but also a viable option because of this.

• Kia promises to make EV charging way easier by speeding up and doing this. 

• Toyota repossessions are skyrocketing, and here’s why (plus, how you can score a deal).

• Jaguar Land Rover’s production is still halted because of a hacker attack. However, the situation is spreading to other companies.  

• Ward’s released its list of the ten best engines out there. Only one gasoline engine cracked it. Can you guess what it is?

Safety and Recalls

• The NHTSA is investigating Rivian delivery vans because of a safety risk. Here’s more. 

• Read why BMW is recalling 196,000 vehicles in the US because of a potential fire risk. 

• Ford (wow, it’s no longer surprising) is recalling 115,000 Super Duty trucks because of a critical steering issue. You can find out more here. 

Car Culture

• Here’s how the Toyota Supra went from sales dud in the US to automotive icon.

• This Chinese car company is copying luxury cars, and Rolls-Royce should be concerned. 

• Jalopnik readers submitted the cars they regretted letting go. Here’s the list. 

• The 2026 Nissan Sentra is unrecognizable, in a good way. Here it is. 

• Do you want to make your Range Rover look older AND newer? This company will help you. 

• The Malaise era was rough, but Pontiac had a solid idea for a GTO. Here’s why it never worked.

• This list includes the Suburban and the Highlander as the top 10 SUVs that last the longest. Do you agree?

• Experts agree: cars will get heavier. Here’s more on it. 

• Here are 18 car features we absolutely hate.

• Corvette owners love having their car delivered at the National Corvette Museum. Here’s more on it.

Video Of The Week

Check out these “zero-dollar car mods”, and tell me you don’t have a friend who has done them?

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In The Know

Is This A Turning Point For Used Cars?

2025 was not a kind year for the used car market. Prices had skyrocketed to 2023 levels and, in case you don’t remember, that was not a kind year. Here’s a reminder of what has happened.  

That’s for all cars except Tesla, as this article explained. 

So, when we heard about CarMax’s stock plunging 20%, we knew we had to cover it. The used car giant failed to fulfill expectations, as this article explains. 

Companies such as CarMax often serve as the barometer of the used car market. A 20% drop in its stock is a flashing red light. So, why is this happening? And, why is it that we shouldn’t be surprised? 

It’s a slowdown that didn’t come out of nowhere. Back in June, Kelley Blue Book predicted that the used car frenzy couldn’t last forever. Their analysts noted that a cooling market could be on the horizon as inventories stabilized and consumer demand leveled off.

Here’s more on that analysis. Turns out, they were right, so kudos, KBB. 

Now, the data confirms it. CarEdge reports that the average listing price for a used car slipped to $29,543, down from earlier highs in the summer.

That may not sound like a fire sale, but if you compare it to the relentless increase we had seen before, it’s good news. 

So, does this mean we’re heading for a crash in used car values? Not exactly and that’s what could feel slightly frustrating. Prices skyrocket, but they seldom lower with the same intensity. That’s what this article by KBB predicts will happen this time, while also providing advice on whether you should rush to buy a used car or not.

This article by Axios warns that we shouldn’t rush just yet. 

Or, should we? It’s tough to answer. We might not see another drop in prices anytime soon, especially with how chaotic the industry has been. 

For now, buyers can breathe some sigh of relief. Conditions are improving, but they might not be this way for long. 

For sellers, it’s time to adjust. That inflated sticker price you could demand earlier this year may not fly anymore. And for big players like CarMax, the market correction is already hitting the bottom line.

So, what should we look out for? This article by AOL explains it very clearly: certified pre-owned vehicles are the best option, as they provide some form of warranty and a lower price. The catch is that these aren’t usually the cheapest option. 

Another interesting aspect is that buyers are desperately looking for older cars (in the 10-year-old range) with fewer miles than usual. So, if you have one of these, then you either keep it or make a big sale. 

The used car market is cooling off. Prices are drifting down, inventory is loosening up, and buyers finally have a little leverage. But between tariffs, inflation, and lingering high interest rates, this isn’t a return to the “cheap cars” era of the past.