Average values for commercial vehicles fell back in June as the market softened ahead of the summer holiday season, although year-on-year values remain well ahead, according to the latest BCA figures.
Both Fleet & Lease and Dealer P/X van values fell during the month, with nearly-new values rising.
The average van at BCA sold for £5,339 in June, a fall of £248 (4.4%) compared to May. Year-on-year values remain well ahead, however, up by £633 (13.2%) over the twelve month period, with age and mileage relatively static and performance against CAP declining slightly.
Avg Age (mnths)
Sale vs CAP
BCA’s general manager, commercial vehicles, Duncan Ward, said: “Activity in the commercial vehicle market typically slows over the summer months and we expected to see some pressure on average values. Despite the monthly fall, the underlying strength of the market is highlighted by the year-on-year figure which is up by over £600. What we have seen this year very much follows the pattern of previous years and, in reality, the marketplace has not shifted significantly from last month as we remain short of good retail-quality stock.”
“With increasing numbers of buyers choosing to purchase via BCA Live Online, vans presented in the best condition with the benefit of Video Appraisal will typically make values well in excess of guide price expectations. However, vendors should beware of expecting a similar return for vehicles in poor or below average condition or offered in obvious corporate colour schemes. There is little to be gained by placing over-aspirational reserve valuations on LCVs if the market is not prepared to meet those expectations.”
Values for fleet and lease LCVs fell by £282 (4.1%) in June to £6,518, with CAP performance improving by nearly a point to 99.2%, but retained value against Manufacturer Recommended Price declining to 37.1%. Year-on-year, values were up by £545 (9.1%), although performance against CAP was slightly down on 2013.
This contrasts with the view of Manheim, where buyers are still paying a premium for vans.