The used car market continues to demonstrate resilience into November, with only a slight decrease in average car values, softening by 1.1% month-to-date, according to Cap HPI.
Its analysis indicates that values are projected to decrease by approximately 2% in November which represents as improvement compared to the 4.2% decline observed in November 2023, and aligns with the average seasonal decline of 2.1% recorded since the introduction of Cap Live.
Commenting on the data, Chris Plumb, senior valuations editor at Cap HPI, said: “Despite the half-term break, uncertainty surrounding the Budget at the end of October and recent financial rulings on commissions, demand remains stable with a pronounced seasonal trend.
“Supply levels are beginning to decrease, though not significantly, with a continuing shortfall of three to four-year-old cars compared to previous years.”
All fuel types are experiencing a decline in values, with Battery Electric Vehicles (BEVs) outperforming the market. Values for BEVs at three years have decreased by -0.5%, compared to declines of -1.2% for petrol and -1.1% for diesel. In the three to five-year age group, BEVs are among the fastest-selling fuel types.
Plumb concluded: “As more dealers and consumers become comfortable with BEVs, we expect demand for used products to continue as the choice of models increases over the coming months. A three-year-old BEV represents good value to many consumers.”
