Cap and Hpi: used values continue to rise
Three-year-old used vehicle values grew by 0.4% in February, month-on-month, according to vehicle data provider Cap and Hpi.
This was a notably stronger growth than the 0.1% recorded in February 2015, and showed a strong start to the year on dealer forecourts and in auctions, the company said.
Although general growth was recorded in values overall, this wasn’t true for all individual vehicle segments. Both the executive and luxury executive segments witnessed a decline in values, as did electric cars, SUVs and sports cars.
However these were counterbalanced by strong growth in the city car segment (1.5% growth month-on-month) and supermini segment (1.4%), as well as growth in other categories.
Derren Martin, senior Black Book editor at Cap and Hpi, strong demand at the start of 2016 after generally strong demand in 2015 was the reason for the growth.
Looking ahead, he said: “March is likely to see used car supply levels slightly down for most of it and demand similar. During March last year, values on average stayed level and it would be fair to expect much the same this time around, although there are more cars in the market compared to 2015.
“Franchise dealers will continue to be focussed on new car registrations. Early order take is high – but demand from the non-affiliated used retail sites will remain strong.”