Average used car prices rose by 0.4% at auction during November as wholesale used car activity "cooled slightly" throughout November, reported the he National Association of Motor Auctions.
Head of NAMA, Louise Wallis, said that wholesale used car activity throughout November had “cooled slightly compared with October” underlining how strong auction activity has been during the quarter.
The average price achieved at auction during November rose to £5,370, down 0.4% on the same month a year earlier (£5,389) but up on the previous month’s £5,347.
Average mileage fell in October to its lowest point in the last 18 months – to 65,847 – and continued its fall in November, falling further still to 64,738.
NAMA said in its monthly report: “Despite an eighth consecutive month of decline in retail new car sales, November finished 2.9% ahead of last year due to further growth in the fleet sector. Year to date registrations now sit 2.5% ahead of 2015 with the prospect of another record year firmly on the horizon.
“Wholesale used car activity throughout November eased back only slightly compared to November which underlines how strong auction activity has been during the quarter.
“The first time conversion rate fell by less than 1% to 79.2%, however this is still circa 3% above the level seen last year. Despite this slight drop in conversion rate performance it is believed that the volume sold in the month exceeded last year by a reasonable margin.”
The overall first time conversion rate in November stood at 79.2% and whilst this was 0.9% down on October, it was 2.9% ahead of last year
The premium achieved by selling first time in November was £80, down by £106 compared to October but only £14 down compared to November 2015.
Louise Wallis, Head of NAMA commented, “Wholesale used car activity throughout November only cooled slightly compared with October which underlines how strong auction activity has been during the final quarter of the 2016.
“We look forward to seeing what the auction market has in store following the Christmas and New Year break.”
This report corrects an earlier article which stated the average used price at auction had fallen by 9.4%. This fall was experienced in NAMA’s ‘Late and Low’ category, which includes vehicles up to two and a half years old.
The average selling price in this category was £12,866 during November, down on October’s £14,205 but up 0.7% on last November’s £12,774.