Used car prices rise for 26 consecutive months


Utilized car or truck selling prices improved for the 26th thirty day period jogging in Might, with the typical expense of a like-for-like car or truck 28.4 per cent increased than it was a year ago.

Figures from Auto Trader show powerful ongoing desire for used cars, using each day pricing investigation of all-around 900,000 autos. Because the to start with of the Covid lockdowns, employed motor vehicle charges have ongoing to rise, with several vehicles leaping in benefit – some by just about 80 per cent.

April saw a record 32.3 for every cent improve on ordinary, which Vehicle Trader explained mirrored a continued slowing of the rate of value growth.

(PA)

The market internet site suggests there are symptoms of a ‘very gradual return to normal’ but there won’t be a ‘dramatic tumble-off in motor vehicle prices’, because of ongoing supply challenges that are foremost to lengthy ready lists for these wanting new cars.

Vehicle Trader claims it expects these difficulties to remain into 2023, because of to even more disruption brought about by Russia’s invasion of Ukraine, though it says merchants are even now reducing charges of used cars by reduced amounts than they ended up prior to the pandemic.

Richard Walker, Car Trader’s director of info and insights, said: “It is important not to leap to rash conclusions about the well being of the market, in spite of the softening in employed motor vehicle cost growth all through May well. If we review it with a boom in car or truck-shopping for just after the close of the third lockdown, it is unsurprising that the industry may well appear weaker, but need is still sound and looks very likely to guidance pricing for some time to appear.

“This is of course a hard time for consumers and there are further economic hardships to come. But the provide chain problems induced by Covid and its aftermath imply that there are all over two million fewer cars in the market place than would have normally been the circumstance – and the dilemma has been worsened by the disaster in Ukraine. This is a market which is only going to step by step return to typical.”

The best-undertaking applied motor vehicle in May perhaps was the Suzuki SX4, which noticed costs increase by a big 79.8 for every cent as opposed with very last calendar year, with an common asking rate of £4,162. Applied MPVs are continuing to prove well-known too, with the Seat Alhambra and Renault Scenic escalating in selling price by 61.4 for every cent to £18,757 and 54.1 for every cent to £8,040 respectively in 12 months.

Vehicle Trader’s information exhibits that only four vehicles had a decrease inquiring price tag than in Might 2021 – the Land Rover Discovery 3, BMW 8 Series and 8 Series Gran Coupe and the Mini Roadster, with the final just one acquiring the steepest slide in worth of 7.2 per cent.



Source hyperlink