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Used van market average price continues to rise in August

18 September 2014 #News #Sales #Top Stories #Van

The used van market had a strong August as sales and the average price continued to rise.

Auctioneer Manheim says its figures show that the August 2014 has bucked the trend of what is usually seen a quiet month for the sector.

Its data show that the average price of an LCV has increased by 15% over the last 12 months, meaning vehicles now cost in excess of £4,700 – £700 higher than August 2013 and £111 more than last month.

Matthew Davock, Head of Light Commercial Vehicles at Manheim, feels the strong prices will continue into the winter months for the used sector, “Moving into autumn, stock numbers are reducing and from this, conversions and demand will increase accordingly.

“Our monthly Market Analysis is beginning to reflect the fact that de-fleet activity is finally returning to normality after several years of post-recession contraction. It is good to see that younger vans, those aged five years or younger, now making up a larger proportion of vehicles of vehicles at auction, he continued.”

Manheim’s figures show that car-derived vans dominated August, accounting for 39% of all used sales, and the sector saw year-on-year increases in the average sale value of the vehicles, up 16.5% to £3,358.

August was also a good month for those selling used small panel vans. This sector’s sales reached 21% of the total, with the average price rising by £731 compared to August 2013.

Davock added that the 4×4 market also saw an increase in price – a surprise, as the summer period often sees sales stall. In August, 4x4s saw their average price increase from £7,084 to £7,743.

He said, “We’ve seen a real spike in 4×4 sales this August, at a time when summer breaks and bank holidays usually hold back demand. Our data shows that trade buyers have possibly been tempted to stock up earlier than normal for autumn sales, given the changing seasons, and we’ve tended to see lower mileage, younger vehicles entering the halls.

“Strong 4×4 sales could also be explained by the recent pick-up in activity in the construction sector and far more attractive model specs that are now coming into the used market. Once seen as utility vehicles, many more 4x4s with leather trim, satnav, and load covers are becoming far more widely adopted for domestic or even family use.”

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