Fleet values on the rise

The price of de-fleeted cars at auction rose for the first time in three months, with values increasing by £390 (or 5.6%) during September, according to Manheim.

September witnessed the average price of de-fleet vehicles reach £7,329, which is reflective of a fall in average age of one month and a drop in the average mileage of 1,092.

When looking year-on-year, the average selling price was £471 higher than in September 2012, which can be attributed to a fall in the average age of the vehicles at auction by one month and a decrease in the average vehicle mileage of 4,291 to 56,523. 

Daren Wiseman, valuation services manager at Manheim Auctions, commented: “Despite the increase in market volume generated by good quality de-fleeted company cars and the seasonal influx in part-exchanges following the September plate change, we’ve continued to achieve some staggeringly good values at auctions.

"Indeed, in October, we’re actually expecting a rise of up to 20% compared to average monthly supply.”

Looking at the figures in more detail, the average selling price of de-fleet vehicles rose for eight segments, most notably for MPV models, which saw average values increase by £1,357, to £8,360.

This value increase is reflective of a fall in both the average age, by nine months, and a significant drop in the average mileage, by 9,900.

In contrast, the most notable decrease in values occurred in the mini MPV segment, with values decreasing by £396, which reflects an increase in average age of three months and an increase in average mileage of 716.

Wiseman concluded: “Although the average values achieved during September have been very positive, there is a need to be realistic when analysing the figures.

"The latest information from the SMMT shows that registrations were up 12.1% in September, which means that more vehicles will enter the auctions over the coming months.

"The market continues to change and, as the additional vehicles start to come through, values will be affected and I predict that the laws of supply and demand will see values soften slightly as we head towards 2014.”