Special Info: COVID-19 Impact on 2023 Vehicle Valuations

The following information is intended to provide insight about the updated NADA/JD Power vehicle values for Calendar Year 2023

Historically, vehicle values tend to depreciate from month to month.  As such, the predicted value of any vehicle would be lower than the value of that same vehicle the previous year.  In early 2020, vehicle values were trending s the industry normally expected.  The, in March, COVID-19 altered the anticipated trends of the automobile industry.  As a result, all major vehicle valuation services, not just National Automobile Dealers Association (NADA) indicated increased market values between January, 2020 and January 2021.  Over the summer of 2020 prices increased over 10% for the US used car market.  Several key factors, beginning as far back as mid-2019, played a part in the values established for 2021 and 2022.

These events include but are not limited to:

  • The pandemic created higher demand and less supply in used vehicles
  • Some manufacturers shut down plants to produce PPE and ventilators
  • Shortage of used cars because people are holding on these vehicles (had nowhere to go, lost jobs, etc.)
  • Semiconductor chip shortage, which has caused some manufacturers to stop producing new cars, therefore affecting vehicle supplies to dealers

Appomattox County experienced a 11% average overall increase for 2021 assessments and more than 40% average overall increase for 2022 assessments.

“Per the Ordinance adopted by the Appomattox County Board of Supervisors on March 21, 2022, the Personal Property Tax Rate for Fiscal Year 2021-2022 was reduced from $3.35/100 of clean trade-in assessed value to $3.00/$100 clean trade-in assessed value.  This reduction is effective retroactively on January 1, 2022.  The purpose of this temporary reduction was to address the unprecedented increases in used vehicle values that have occurred since the tax rate was adopted.”  The $3.00/$100 clean trade-in assessed value remains for tax year 2023

Other personal property is tax at $3.35/hundred assessed value.  This includes, but is not limited to:

  • Boats
  • Campers
  • Trailers
  • Business Equipment
  • Motorhomes