Success in the part-ex market for February heralds a strong Easter for sales, according to Manheim’s monthly market analysis.
Manheim’s figures showed that the average selling price of part-ex vehicles rose to £3,536 in February - 8.2% higher than the previous month.
This rise in value follows a slight decrease in both average age and mileage of cars at auction; dropping to 102 months and 78,225 miles respectively.
The biggest leap in value was found in the supermini category, which saw average values appreciate by £5,880 in February. Impressive increases in selling price were also seen in the small hatchback (by £4,334) and medium family (by £3,526) segments.
Alongside this, 4x4 models, which have enjoyed extensive popularity and top-draw value throughout winter, are now seeing their values return to expected seasonal norms.
Valuation services manager at Manheim Daren Wiseman said: “Like many retail sectors, purchasing habits in the part-ex market are likely to be influenced by seasonal changes. We’ve certainly seen that in February, with the promise of spring weather encouraging buyers to stock up on an array of vehicles that traditionally do well at this time of the year.
“Going forward, I’d expect March’s plate change to impact upon part-ex values, as we typically see an increased volume of good quality, old-reg vehicles enter the market place. Usually, this influx starts at the end of March, spreading out through April, so we could see a significant increase in the amount of vehicles at auction next month.
“More volume means more choice for buyers so to make your stock stand out. I’d make condition a top priority. Condition is increasingly a key factor in determining a vehicle’s value. Easter tends to be a busy holiday for the part-ex sector so my advice to dealers is if they want the best possible price, they should ensure their stock is in the best possible condition.”
See below graphs relating to age, mileage and selling price: