Used car market takes turn for worse in April, reports Manheim
According to Manheim Remarketing’s latest Market Analysis for Cars, fleet values in April fell by 1.5% (£101) to £6,648. Meanwhile average wholesale values were down by 2.3% (£172) to £7,281 in April – this follows three consecutive monthly rises which had seen values increase by 8% since December 2009.
Despite this latest fall, fleet values are still ahead of April 2009 by 7.0% while overall average used car values remain up by 7.0%, with both average age and mileage are up on last year by three months to 50 months and 3,400 miles to 50,879 miles reflecting extended use during the recession.
And Manheim says that even with the weakening prices in April, the continued strength in the market this year is further underlined when looking at the average % retained of original new price, which is currently at 39% compared with 36% in the same period last year.
Mike Pilkington, managing director, Manheim Remarketing, commented: 'The traditional seasonal trends affecting average wholesale values which were missing last year have returned in 2010. The market toughened more considerably in April than a reduction of just 2.3% would suggest. Although the General Election may have impacted on levels of demand in April there is now more stock available in the market so we would expect values to soften again in May.'