Used car values on the rise again
Used car values rose to £9,196 in June, according to data released by BCA, making it the first month-on-month rise in values recorded this year.
Values improved by £745 across the board compared to May 2022, equivalent to an 8.8% increase over the month, with volumes broadly static. Meanwhile, performance against guide values rose to 97.4% in June, up from 96.8% the previous month.
The data also found that the ongoing high costs of fuel has generated increased levels of buyer interest in EV/hybrid vehicles; values have remained firm in 2022 and typically well ahead of last year.
BCA UK COO Stuart Pearson said: “June saw particularly strong demand for vehicles less than three years old along with an uptick for the sports and prestige models that you typically see at this time of year.
“The lack of registrations during the early part of the pandemic is definitely playing into the imbalance in the ex-lease and contract hire sector and this, combined with new car supply pressures, has created a sweet spot where even in the current climate, demand is definitely ahead of supply.”
He concluded: “With ongoing constraints around new vehicles supply, prices should remain relatively stable but we are seeing the price differential widen between the best condition vehicles and lower grade examples requiring refurbishment. For volume sellers, it remains as important as ever to adhere to the remarketing basics and make use of the most recent pricing intelligence when appraising and valuing stock for sale.”
