Common used automobile values have elevated for the primary time in practically a yr, in line with the most recent knowledge from Cap HPI.

Costs elevated barely by 0.7% or the equal of £50 for the common automobile at three years and 60,000 miles.

The rise is the fourth largest upward motion in February since Cap Reside was launched in 2012.

The common motion during the last 11 years is a slight improve of 0.2%.

Values on the one-year age level elevated by a minimal 0.2%, whereas values on the five-year level went up by 0.6%. A minor weak point will be seen for older automobiles, with a 0.6% decline, not helped by some excessive mileage automobiles proving comparatively undesirable.

Derren Martin, director of valuations at Cap HPI, stated: “Total, the common actions in Cap Reside values level to a stable-to-strong used automobile market, following a comparatively regular seasonal sample for the primary two months of the yr.

“The market stays sturdy, retailers are busy, and wholesale provide ranges are effectively underneath management.”

Martin stated the March plate change will convey elevated volumes into the used automobile marke from fleet returns and part-exchanges.

He’s additionally predicting sturdy new automobile presents, significantly on battery electrical automobiles (BEVs), as producers chase market share whereas trying to hit ZEV mandate targets.

Martin stated: “Nevertheless, these elevated volumes are unlikely to adversely have an effect on used values till April on the earliest, and even then, any impact is unlikely to be overly harsh.”

Superminis paved the way

Superminis have been the strongest mainstream sector, growing by a formidable 2.4% at each one and three years outdated, equal to £375 and £250, respectively.

Among the largest will increase have been for the Hyundai i20 (pictured), up 3% or £300,  the Renault Clio, up 3% or £260, the Seat Ibiza, up 4%/£400, and the Vauxhall Corsa, up 5%/£400.

These kind of automobiles have been particularly demand, and there are fewer of them round – a 14% discount in offered commerce knowledge since 2019, partly because of the dominance of SUVs.

Battery electrical automobiles have been the weakest gasoline sort, dropping by 1.7% or c.£375 at three years outdated in Cap Reside in February.

Whereas most BEVs continued to expertise a lower in worth, some fashions did present a optimistic motion.  Examples embrace the Seat Mii (1.8%/£125), Renault Zoe (1%/£85), and Mercedes EQA (1.9%/£365).

On the one-year age, BEV values decreased by 2.3% or c.£850 in February due partly to the sturdy new automobile presents accessible, with some reductions of as much as £15,000 or 30% off the listing worth.

Used EV volumes proceed to rise

BEV volumes proceed to rise, and Cap HPI has acquired practically double the quantity of offered knowledge in comparison with this era final yr.

The primary two months of this yr have seen virtually 1 / 4 of final yr’s complete offered quantity already.

Extra BEVs are getting into the used wholesale market than ever; they’re promoting, and values are holding up higher than final yr, primarily resulting from final yr’s extreme realignment. 

Nevertheless, common values are nonetheless dropping, whereas petrol and diesel automobiles are growing by 1.2% and 0.5% respectively.

Derren concluded: “March is mostly a month the place values don’t transfer by a lot, with the strongest motion being 0.5% up, in each 2023 and 2014.

“In 2022, values dropped by 2.1%, so, there will be variation, however this time round, there is no such thing as a cause to recommend something untoward or something aside from a continuation of small optimistic actions.”