USED car values bounced back in July from a marginal dip in June, according to new data from BCA.
The data shows an 8.2 per cent increase in average values year-on-year, with the headline figure up £635. Month-on-month, there was a 1.7 per cent increase in the headline average value of a used car.
Whilst model mix and seasonal variations will have a part to play, the headline figures suggest resilience in the used car market. Year-on-year, the average age of vehicles sold by BCA dropped, from 61.37 months in July 2015 to 56.86 months this year. Average mileage has also fallen as values have continued to rise.
Simon Henstock, BCA chief operating officer UK remarketing, commented: ‘Supply and demand remain well balanced, despite the typical slowdown the market experiences once the summer holiday period begins.’
He continued: ‘Sales were well-attended throughout BCA’s 23-strong auction network in July and online bidding was strong, but it is noticeable that buyers are being more selective about condition, preparation and presentation in the remarketing sector.’
Looking at the average price performance by model shape, values for higher-volume vehicles such as saloons, hatchbacks and MPVs generally increased by a small margin. Coupes and convertibles experienced some price pressure during the month, largely due to seasonal pressures and changing model mix.
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