Average values of used LCVs at auction across the board rose by just 1% from £4,188 to £4,224 between July and August, according to the National Association of Motor Auctions (NAMA).
Total sales increased 18% from 6,007 to 7,101 units, but sales volumes being 18% higher, the average age and mileages for LCVs fell, while conversion rates held firm at 74% together with a modest uplift in prices.
In spite of some slow periods in August, the auction halls managed to deliver an upbeat message with plenty of positive signals coming through that bode well for market prospects in September, says NAMA.
In August, average prices slipped for three out of the four sectors, yet due to the greater size of the market for one to six-year-old LCVs (where a rise of 2% was generated) the average price across all age bands posted a small uplift.
NAMA says looking ahead to the close of September when the market will have fully got back in to its stride, the expectation is for price stability with hopefully, some increases where quality is high and numbers remain low.
There was an increase of volume across all years in August which partly explains why price levels for a majority of sectors were lacklustre over this holiday month. However, with so many positives emerging from this month’s data, it is clear that the underlying health of the LCV market remains robust and more than capable of absorbing those LCVs that vendors supply to it over the remainder of the year, according to the organisation.
Alex Wright, Chairman of NAMA commercial vehicle vroup said: "Overall, the view of the marketplace for LCVs as witnessed across the nation’s auction halls in August provides a sound jumping-off point for sales of used vans and 4x4s over the autumn months. It was also positive to see conversion rates standing at 74% for the fourth month running.
"With the on-going shortages of prime stock predicted to run well in to 2014, as the UK’s economy makes steady headway and the appetite of both trade and retail customers holding firm, the direction for prices of desirable used LCV stock is on an upward trend."