Auction turbulence

9 March 2012  

THE trade price of used cars increased by 4.7% in February, while the average price of LCV’s dropped by a similar amount over the same period, according to data released from BCA auctions.

Part of the reason is that fleet owners are hanging onto their vehicles for longer, meaning the average age is almost a year older, with mileages around 8% higher.

Although used car prices are faring better, this is in part due to a lack of supply of good stock rather than an improvement in general market conditions. Cars that show obvious evidence of living hard lives, especially those that have been smoked in, are far harder to find buyers.  Research from the auction company shows that while minor damage and evidence of smoking can be removed with the appropriate valeting, buyers are much more likely to move onto a better car.