2:42 pm, May 16, 2014
THE south-east of England is booming – and prices for used cars remain strong no matter how many vehicles there are in the market place.
That’s the view of the team at Shoreham Vehicle Auctions of West Sussex, who claim there is a ‘car micro-climate’ in the area of south-east England where they are based.
In two sales for national finance companies over the past fortnight, the company reported conversion rates of 93 per cent and 100 per cent respectively. This is exceptional compared to reported conversion rates of 50-60 per cent in the UK generally.
The area covered by the ‘micro climate’ is actually fairly extensive, stretching between Chichester and Brighton on the South Coast, the area up to the Farnborough area of Hampshire, east to Essex and north as far as Hertfordshire.
Highlights of the two recent successful auctions included strong bidding on cars such as the Citroen C1, Peugeot 3008, Vauxhall Zafira, VW Polo, Golf and Renault Grand Scenic, with all models making strong money against CAP values.
Alex Wright, managing director of Shoreham Vehicle Auctions, explained: ‘Economically this area is booming and whatever used car volumes are thrown at it they seem to get swallowed up with prices remaining strong.
‘Franchised dealers and independents alike are reporting strong demand for used cars and buyers are keeping their forecourts fully stocked to take advantage of the market.
‘Our sales performance is keeping vendors happy and we believe that while the economy in the south-east continues to grow faster than the rest of the country, there will be a major imbalance in auction conversion rates and prices.’
