Prices paid by dealers for part-exchanges have risen by around eight per cent over the past year, which translates to an average £254 increase in trade-in value.
This claim, made by car auction specialists Manheim, comes at the same time as the news that SUVs and 4x4s hold the most value in winter months and superminis and sports cars keep value better in the summer. MPVs saw the biggest rise in trade-in value throughout 2014 with the average trade-in price increasing from £3,110 to £4,123 over the year.
The average age of a trade-in vehicle actually increased slightly from 100 to 101 months (eight years and five months) while, tellingly, the average milage dropped from 77,044 to 76,851 miles. This is indicative of consumers holding on to their cars longer through the recession but driving them less to save on fuel costs.
There was consistent month-on-month growth between January and November and the average part-ex price stayed resolutely above £3,000 throughout the year. This news comes as the SMMT (Society of Motor Manufacturers and Traders) announced that new car sales in the UK are at a 10 year high.
Daren Wiseman, valuation services manager at Manheim Auctions, said ‘Our latest market analysis shows that 2014 has generally been a positive year for the motor retail sector… with the market realigning to its pre-recession norm, consumer confidence is growing, new car sales are reassuringly robust and dealers are achieving good prices for their part-ex vehicles.’
So what are you waiting for?
Head over to our car configurator and choose yourself a new car for the new year – as we’ve just seen, there’s never been a better time to trade-in your old motor.