Manheim sees stability in part-exchange car market in November
The average selling price of part-exchange cars at Manheim’s auctions in November remained stable, rising very slightly by 0.6% (£22) compared to October. Year-on-year, values were up 5.7% (£194), despite Manheim’s overall car auction volumes being 19% above the levels seen last year.
It was a strong month for Manheim’s dealer vendors, with average selling prices up in all vehicle segments compared to the same month in 2014. The greatest increases were for 4x4s, with year-on-year values up 6.9% (£534), MPVs, with average values up 12.2% (£454); and compact executive cars, with selling prices rising by 11.1% (£490).
The seasonal increase in 4x4 values continued, with average selling prices up 3.1% (£247) from October – a trend that will likely be witnessed in December, as well. The decline in the large family car segment was sustained in November, with part-exchange volume down to 8%, equal to the share of volume 4x4s from dealer vendors in Manheim’s auctions.
Overall, part-exchange stock in November was an average of two months younger compared to the same month in 2014, with the biggest variances seen for MPVs, which were four months younger; and the supermini and small hatchback segments, which both saw average ages fall by three months.
Daren Wiseman, valuation services manager at Manheim, said: “November was a strong month for Manheim’s dealer vendors, with prices holding firm, despite significant increases in volume. Values were up in all segments, reflecting the quality of dealer stock available in our auctions.”
“As we see volumes return to normal levels in December, we expect to see further stability in the part-exchange market. Used 4x4s will likely be particularly strong, as they continue to attract a high level of demand from buyers, retaining 27% of their original value in November’s auctions.”