BCA’s Pulse Report shows that average used car values improved by £465 during December, with the headline figure climbing to £9,868 – a record value for the fourth month running.
Year-on-year, the headline figure was up by £1,527 equivalent to a substantial 18.3% improvement – a result reflecting both the steady demand, well-balanced supply and the richer mix of cars available at BCA over the past 12 months.
Buyer demand remained strong for good quality stock, while seasonal market trends and the shorter trading period saw some pressure on values for poorly presented vehicles. Average values for fleet/lease vehicles remained strong, while dealer part-exchange values reached record levels, reflecting the longer term trend BCA has been reporting throughout 2017. Nearly-new vehicle values also improved during December.
Stuart Pearson BCA MD UK Remarketing commented “December is the shortest trading month of the year and both the market sector mix and model mix tend to change quite significantly. Fleet and lease stock is typically in more limited supply, whilst dealers continue to sell part-exchange vehicles as a result of their ongoing retail activity. Buyer demand was consistent throughout the month and carried on to BCA’s digital platforms over the Festive Season.”
Year-on-year table: All cars
Average values remain at near record levels in the fleet and lease sector, with the December figure of £10,604 representing a small decline (0.3%) against November. Retained value against original MRP (Manufacturers Retail Price) was 41.85% in December. Year-on-year values were up by £939 (9.7%), as both average age and mileage continued to reduce.
Year-on-year table: Fleet & lease
Average dealer part-exchange values climbed by £71 (1.5%) to reach a new record level of £4,773 in December. Once again, looking at the longer trend, values have climbed steadily during 2017, reflecting the substantial levels of business BCA has won and retained in this sector. Year-on-year values were ahead by £278, equivalent to a 6.1% uplift.
Values for nearly-new vehicle values rose in December, from £18,445 to 19,033, an increase of £588 and the second highest average value recorded in this sector by BCA during 2017. Model mix has a significant effect in this very low volume sector, with brand specific winners and losers.
Year-on-year table: Nearly-New