September part-exchange performance at Manheim
The average values of part-exchange vehicles at Manheim’s auctions in September were up 4.8% (£165) from August, with 4x4 values surging by 17.6% (£1,252) as dealer get winter-ready stock in early for well-prepared buyers. Compared to the same month in 2014, used 4x4 values were 41.7% (£2,424) higher.
Despite some talking down of the used car market before the plate change period, September proved to be a strong month for vehicles sold in-lane and online by Manheim, with values up 30.3% (£844) year-on-year. Compared to August, average selling prices were up in eight out of 10 vehicle segments.
Part-exchange cars sold in September had the lowest average mileage and the shortest days in stock for at least 12 months, resulting in the highest average selling price and highest average retained original value (21%) so far in 2015.
Continuing the trend first identified by Manheim in July, part-exchange MPV values were up 19.6% month-on-month and 51.5% year-on-year. September MPV stock was an average of seven months younger than in August, with an average of 5,848 fewer miles on the clock.
Part-exchange cars in the executive segment put in a strong performance in September, with values up 10.9% month-on-month, helped by being an average of two months younger, and up 47.2% year-on-year, with average stock being five months younger and having covered 12,063 fewer miles. The compact executive segment also saw values rise compared to the same month in 2014 – by 33.2%.
Small hatchbacks and medium family cars made up a total of 55% of Manheim’s part-exchange sales volume in September, with the latter proving particularly in demand, with an average of two fewer days in stock compared to the previous month.
Daren Wiseman, valuation services manager at Manheim, said: “September, far from witnessing a fall in values, saw the highest average selling price for part-exchange stock for at least 12 months. We may, however see this growth in values slow as volumes increase in the coming weeks, as expected, especially given the SMMT’s announcement of record September new car registrations.
As temperatures begin to drop and the winter months approach, dealers are sensibly beginning to get their hands on 4x4 vehicles in preparation for early bird buyers.