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Average values of ex-fleet and leave vans soften in a two-tier market

Average values of ex-fleet and leave vans soften in a two-tier market

Average values of ex-fleet and lease light commercial vehicles (LCV) fell by £86 (1.1%) to £7,093 in March, according to latest monthly data from auction giant BCA.   

However, despite that fall, average values for fleet and lease LCV stock have been consistent since rising above the £7,000 mark in October 2016 and the last six months have seen the highest average values on record. 

Retained value against MRP (manufacturers’ recommended price) improved very marginally from 36.02% to 36.09% in March. Year-on-year, values were up by £67 (5.4%), with average age and mileage declining to 39.38 months and 60,554 miles when compared to the same period in 2016. 

BCA’s LCV operations director Duncan Ward said: “Average selling price data might suggest a buoyant market, but the reality is the market has weakened and conversion rates have been under pressure. BCA’s profile of stock is becoming younger and lower mileage and this is a significant driver of the increasing values we report.”

Mr Ward added: “As often is the case when demand softens, a two-tier market begins to develop. Well specified commercials in retail-ready condition are making exceptional values, while vehicles with an unusual configuration or special equipment will always attract attention from buyers. In contrast, any LCV available in high volumes, perhaps with damage and a basic specification will have an uphill battle to attract interest.  

“The ‘lifestyle’ double cab pick-up market remains fickle, which is maybe a reflection of a mild winter together with increased volumes and choice for selective buyers.  Live Online sales continue at record breaking levels, with digital sales now approaching a 40% penetration rate - BCA’s video appraisals ensure buyers get all the information they need to bid with confidence for commercials online.”