16-month high for used van values
8th November 2011
Average LCV values reached their highest point for 16 months in September, as the combined effect of stock issues and high demand saw values rise sharply, according to BCA’s latest Pulse data.
Figures for September show that average values increased by £353 (8.7%) to £4,409 from the £4,056 recorded in August, reversing a run of three consecutive month-on-month falls.
“We were confident to predict last month that September would see values rising, but the level of increase has been greater than expected,” said Duncan Ward, BCA’s general manager for commercial vehicles. “We saw slightly more vans from corporate fleet sources in September, but demand is still outstripping supply.”
Manheim also reports an increase in average wholesale used van values for the month, up 3.8% (£146) to £4,015 in September despite an increase in both average age and mileage.
“Conversion rates have jumped with several sales experiencing 100% conversions,” James Davis, general manager of commercial vehicles at Manheim Remarketing, said. “The market is fuelled by the lack of de-fleet volumes in the pipeline awaiting sale and year-on-year sold volumes were down 15% in September, the first clear sign of the reduction in stock. However last year we were starting to see significant volumes from the high profile fleet and business failures.”
Group commercial vehicle auctioneer Tim Spencer added: “In the large panel over 3.0t segment, mileage has climbed significantly since Easter, from just over 85,000 miles in April to just over 102,000 miles in September while average age has remained flat at 53 months. This demonstrates that vans sold in this segment have been worked harder and travelled more miles over less time.”