Used car prices plateau in June
Average used care values remained consistent for the third month in a row, according to BCA.
It reported average prices of £8,255 with the mix of vehicles continuing to heavily influence the overall price.
Unsurprisingly, the shortage of genuine three to four-year-old products continues to be a key factor and as a result, car supermarkets are competing strongly for the best models.
Continuing the trend emerging over recent weeks, demand has strengthened for the best quality stock with increased competition for vehicles in Grade 1 and 2 condition, particularly for late-plate, low mileage examples which remain in short supply. In contrast, values on poorer quality stock require close attention, as the gap between the grades has widened further.
BCA UK COO Stuart Pearson said: “Given that economic conditions have shown little improvement over recent months, with inflation remaining stubbornly high despite rising interest rates, we’ve seen strong attendance and competitive bidding across our online sales during the month. There is definitely a widening gap between the price performance of the best and worst condition vehicles and we’re working closely with sellers to ensure that pricing expectations are realistic, as this has shifted fairly quickly during the month.
“The shortage of vehicles in the three to four-year sector is fuelling some really strong activity. However, the pricing expectations on some of the older, more damaged stock requires very close attention to ensure that first time sales are achieved. The challenge for any remarketer is to aim to sell every vehicle first time for the optimum value and staying up to date with the latest pricing information and using all of the available reference points remains crucial to success.”
