CARFAX Canada’s Vehicle History Reports Revealed Essential Information to Help Protect Canadians This Year.

LONDON, Ontario — CARFAX Canada has released its highly anticipated, Year in Rear View 2024 report, showcasing key insights from millions of its Vehicle History Reports conducted over the past year. By utilizing a vast network of billions of data records from many trusted sources across North America, this comprehensive report highlights vehicle thefts, accident claims, liens, and other crucial data points impacting vehicle ownership in Canada.

Vehicle theft remains an increasing concern for Canadians this year. According to the Canadian Police Information Centre (CPIC), 152,622 vehicles have been identified as actively stolen in Canada, half of which are SUVs. This year, the number of vehicles reported as stolen on CARFAX Canada Vehicle History Reports increased by 25%. VIN Cloning has also emerged as a significant fraudulent issue this year. Shawn Vording, President of CARFAX Canada explains, “VIN Cloning is the act of stealing a VIN (Vehicle Identification Number) from a legitimate vehicle and attaching this VIN onto another similar year, make, model, trim vehicle, typically stolen, essentially giving it a fake ID. Our insights suggest that there are 141,260 potential VIN Clones in operation in Canada.” Vording emphasizes, “This is a major issue for dealers, consumers, banks, and insurance companies as it allows scammers to sell a stolen vehicle to an unsuspecting party.” A CARFAX Canada Vehicle History Report can help Canadians, as the report not only flags actively stolen cars but also equips buyers with ways to detect cloned VINs and inaccurate vehicle data. CARFAX Canada works with many law enforcement organizations across the country to help identify stolen vehicles and protect millions of Canadians.

The total amount of accident claim damage found on CARFAX Canada Vehicle History Reports this year was more than $7.6 billion. Alberta leads the country in hail damage claims with $140 million, which is 300% more total damage claims than the next highest province, Ontario. Ontario saw an increase in extreme weather this year with over $12 million in damages due to wind-related occurrences.

Liens (money owed on a vehicle) continue to be a concern for used car buyers, with 42% of lien checks conducted revealing outstanding debt on vehicles. Year after year, this issue highlights the importance of knowing the history before you buy or sell your vehicle.

Lastly, the highest odometer reading recorded on CARFAX Canada reports this year was an impressive 999,998 kilometres on a 2010 Lincoln MKS.

Vording reminds everyone “It’s a critical starting point to use Canada’s most comprehensive vehicle History Report to help protect yourself when buying, selling or owning used vehicles.”

Carfax canada presents: 2023 year in Rear View | Financial Post. (n.d.). https://financialpost.com/pmn/business-wire-news-releases-pmn/carfax-canada-presents-2023-year-in-rear-view

The decline of the Canadian dollar, combined with falling interest rates and increasing vehicle supply, is reshaping the Canadian used car market. These trends are driving down prices and sparking increased interest from American buyers, who are finding cross-border opportunities irresistible.

The Canadian dollar’s consistent value around $0.74 USD has made Canadian goods, including vehicles, significantly cheaper for American buyers. This economic disparity has turned Canada into an attractive market for U.S. consumers looking to capitalize on favourable exchange rates​

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The Canadian used car market has seen an 8% decrease in prices year-over-year, with the average cost of a vehicle now at $36,342 CAD. Increased inventory levels, which have risen by 28%, are a key factor in this decline. This surplus stems from improved supply chains and a renewed consumer interest in new vehicles. Luxury cars have experienced the steepest price drops, declining by 10% during the same period​

The affordability of Canadian vehicles has caught the attention of American buyers, leading to a rise in cross-border transactions. While this influx of demand is advantageous for sellers, it raises concerns about the availability of high-quality used cars for Canadian consumers. Many fear that this trend could lead to a diminished local supply, making it more challenging for Canadians to find affordable and reliable vehicles​

The Bank of Canada’s decision to cut interest rates is another factor influencing the automotive market. Lower borrowing costs have increased accessibility for Canadian buyers, driving up domestic demand even as cross-border interest rises. However, this balance is delicate, as the market must meet both local and international demand without exhausting its resources​

The interplay between a weakened Canadian dollar, falling used car prices, and declining interest rates has created a dynamic shift in Canada’s automotive market. While the conditions are ripe for cross-border trade and local affordability, the long-term effects could pose challenges for maintaining a sustainable supply for Canadians. Policymakers and market stakeholders must find ways to navigate these trends, ensuring that the market benefits both domestic and international participants without sacrificing stability.

This evolving scenario highlights how global economic forces can shape local markets, underscoring the need for careful management to ensure long-term balance.

Lord, C. (2024, July 23). New and used vehicle supply is surging. here’s how prices are reacting – national. Global News. https://globalnews.ca/news/10638775/used-car-prices-june-2024-autotrader/

Phillips, T., dealer, C. auto, & dealer, C. auto. (2024, February 16). Canadian used vehicle market sees price declines increase slightly. Canadian Auto Dealer. https://canadianautodealer.ca/2024/02/canadian-used-vehicle-market-sees-price-declines-increase-slightly/

Economic forecast 2024: A cross-border outlook on interest rates, inflation, housing and more. RBC Royal Bank. (2024, January 22). https://www.rbcroyalbank.com/en-ca/my-money-matters/goals-aspirations/travel-and-cross-border/economic-forecast-2024-a-cross-border-outlook-on-interest-rates-inflation-housing-and-more/

This week dealers will find the Canadian used wholesale market experienced a decline of -0.31% in pricing for the period ending on November 2. Canadian Black Book’s latest update shows the market slipped further from the prior week’s  -0.13% to near the 2017-2019 average of -0.29% for the same period.

Car segment prices were down -0.46% compared to last week’s -0.09%, while truck/SUV segments dropped -0.17% — similar to the prior week. The largest decline in the car segments came from near luxury cars, and compact luxury crossovers/SUVs for the truck/SUV category.

“The Canadian market continues a downward trend, with a decline slightly more pronounced than in its previous week,” said CBB in its Market Insights report. “Just over 45% of market segments experienced an average value change of more than ±$100, a significant increase from last week. Among these, the decline in car segments was 36% more than last week.”

In the car categories compact cars (-0.20%) decreased the least, followed by sub-compact cars (-0.21%) and mid-size cars (-0.23%). The largest decreases came from near luxury cars (-0.63%), prestige luxury cars (-0.56%), and sports cars (-0.53%).

For trucks/SUVs, 12 of the 13 segments reflected the decline seen in the overall category. For example, the largest declines were seen coming from compact luxury crossovers/SUVs (-0.65%), along with both mid-size luxury crossovers/SUVs and minivans — sharing the same decrease of -0.58%. However, one segment did experience an increase and that was full-size pickups (+1.18%).

CBB said the average listing price for used vehicles is up slightly, as the 14-day moving average was at $34,250. They said the analysis is based on approximately 220,000 used vehicles listed for sale on Canadian dealer lots.

dealer, C. auto, Cote, M.-E., dealer, C. auto, & Phillips, T. (2024, November 7). Used wholesale market sees slightly more pronounced decline in pricing. Canadian Auto Dealer. https://canadianautodealer.ca/2024/11/used-wholesale-market-sees-slightly-more-pronounced-decline-in-pricing/

The Canadian used wholesale market saw a decline of -0.26% in pricing for the week ending on October 19, according to Canadian Black Book’s latest market update. Last time that decline was -0.31%, while the 2017-2019 average for that same period was -0.37%.

Car segment prices were down -0.27% (similar to the prior week), while the truck/SUV segments slipped -0.25% (versus the -0.34% from a week earlier). The largest decline in the car segment came from sports cars, whereas the largest decrease from truck/SUV segments came from full-size crossovers/SUVs.

The Canadian used wholesale market saw a decline of -0.26% in pricing for the week ending on October 19, according to Canadian Black Book’s latest market update. Last time that decline was -0.31%, while the 2017-2019 average for that same period was -0.37%.

Car segment prices were down -0.27% (similar to the prior week), while the truck/SUV segments slipped -0.25% (versus the -0.34% from a week earlier). The largest decline in the car segment came from sports cars, whereas the largest decrease from truck/SUV segments came from full-size crossovers/SUVs.

“The Canadian market continues on a downward trend, with a decline slightly less pronounced than in its previous week,” said CBB in its update. “Just over 27% of market segments experienced an average value change of more than ±$100, almost mirroring the previous week’s activity. Among these, the decline in truck segments was 9% less than last week.”

In the car category, sub-compact cars (+0.03%), mid-size cars (-0.06%), and full-size cars (-0.07%) experienced the smallest decrease. On the other end, the largest decreases came from sports cars (-0.47%), prestige luxury cars (-0.36%), and luxury cars (-0.25%).

For trucks/SUVs, the largest declines were seen in the full-size crossover/SUV segment (-0.57%), compact crossovers/SUVs (-0.39%), and full-size luxury crossovers/SUVs (-0.37%). Full-size pickups (+0.21%) and minivans (+0.10%) showed increases.

As for used retail pricing and listing volume, CBB said the average listing price for used vehicles increased slightly, with the 14-day moving average sitting at $34,400. The analysis is based on around 220,000 used vehicles listed for sale on Canadian dealer lots.

Phillips, T., dealer, C. auto, dealer, C. auto, & Lefko, P. (2024, October 25). Canadian used vehicle market continues downward trend. Canadian Auto Dealer. https://canadianautodealer.ca/2024/10/canadian-used-vehicle-market-continues-downward-trend/