Having reached record levels in recent months, values for fleet/lease and dealer part-exchange vehicles at BCA fell during December 2016.
The average value of a used car sold at BCA in December decreased by £290 (3.3%) to £8,341. Year-on-year, average values were up by £295 (3.6%), with age and mileage falling.
Simon Henstock, BCA chief operating officer UK Remarketing, said: “December is the shortest trading month of the year and both the market sector mix and model mix tend to change quite significantly. Fleet and lease stock is typically in more limited supply, whilst dealers continue to sell part-exchange vehicles as a result of their ongoing retail activity.”
“Demand for retail-ready vehicles held up exceptionally well, but it was noticeable that buyers became increasingly price sensitive on older, higher mileage or poorly presented stock. This underlines the importance of appraising vehicles accurately and valuing in line with market sentiment.”
He continued: “The early days of trading in 2017 have been exceptionally busy and with the new plate on March 1st only weeks away, we are entering one of the busiest periods for the motor trade. Sourcing and securing those best quality retail cars will be critical for professional buyers in the weeks ahead and buying the right stock at a good price and in a timely fashion is crucial.”
Average values in the fleet and lease sector fell for the second month running, from £9,995 in November to £9,665 in December, a fall of £330 or 3.3%. Retained value against original MRP (Manufacturers Retail Price) fell slightly to 41.11%, while year on year values were up by just £77 (0.8%), with both age and mileage declining.