Underwater Auto Trade-Ins Reach Record Highs: Edmunds

Used cars are for sale on a CarMax lot in Burbank, Calif., in this file photo. Mario Tama/Getty ImagesA record number of automobile owners are carrying negative equity of $10,000 to more than $15,000 into trade-ins on new vehicles, according to online vehicle data analytics website Edmunds.In the fourth quarter of 2025, a record high of 27 percent of vehicle trade-ins involved negative equity of at least $10,000, Edmunds reported on Jan. 15. Just more than 17 percent of trade-ins involved loans with $10,000 to $15,000 of negative equity, while 9.2 percent of trade-ins had loan balances exceeding $15,000.