Used market steadies
The used car market steadied in June as the pace of decline in used values slowed to one per cent according to cap hpi.
Black Book Live reported a small drop of one per cent at three years 60,000 miles, which shows a steadier picture than the previous month’s 1.9% drop.
It reported an increase of pre-registration activity in the market. Volumes of 16 plate vehicles within cap hpi’s retail advertised data versus 15 plates at the same time last year show an increase of 10%.
City car volumes leapt by 66.3% in late-plate vehicles when compared to the same point in 2015.
Commenting on the trend James Dower, senior editor of cap hpi Black Book said, ‘The slight easing of stock supply, along with relatively healthy demand led to more stable average values throughout the month with retail footfall, seemingly, not too adversely affected by the referendum.
‘It is clear that some manufacturers have increased pre-reg activity dramatically and the volume of similar stock available to retail customers can only lead to downward pressure on nearly new values and a confused new/nearly new marketplace.’
James continued, ‘Behind the averages, there were differing performances with some areas weaker than others. Pure electric vehicles continued to come under significant price pressure, reducing by 3.3% at the three years 60,000-mile point in June. It does appear that there is an apparent gulf between the new and the used car proposition for electric vehicles, with reluctance from retailers to purchase for stock. As we see more vehicles coming into the market place stock appears to be growing and taking significant time to find a home on the forecourt.’
cap hpi is recommending its customers keep a close eye on its daily values service, Black Book live, service as uncertainty builds following the result of the EU Referendum.