Demand for ‘retail-ready’ de-fleeted cars remains strong, with executive models and 4x4s showing huge value growth, analysis by Manheim has shown.
Manheim’s latest wholesale vehicle Market Analysis found average values fell by just £8 in May (0.01%), with the average age just 52 months.
However, May saw a 3.1% increase in the average value of vehicles year-on-year (up £204 to £6,838), with selling prices rising in five of the 11 market segments.
Executive models showed a 17.8% growth in average sale value, with 4x4s also rocketing to increase by 23.9% in the past 12 months (up £1,700 to £14,109).
Daren Wiseman, Valuation Services Manager at Manheim, said: “The likelihood of fewer cars coming off-fleet, coupled with the slowdown in consumer demand for new vehicles, has had an impact on the supply of quality second hand cars at auction.
“This has in turn supported the continuing trend for used values to remain fairly stable despite the increase in the average mileage of cars.
“Looking forward, fleet managers must ensure that the remarketing supply chain is as efficient as possible.
“Getting cars retail-ready quickly and cost effectively will help to realise best wholesale values are reached at auction.”
Manheim’s unique monthly measure expresses today’s auction prices as a percentage of their original retail price.
Their figures showed a slight dip in value since April.
Image courtesy of Telstar Logistics, with thanks.