- Average van sold for £5,460 in Q2
- Prices up 11.9%, or £583, over last year
- Construction and internet shopping are key drivers
Used light commercial vehicle prices are on the rise, the BCA has reported. Figures released by the company show the average commercial sold for 11.9% more during Q2, when compared to the same period last year.
Values have been rising for years
Between April and June, the average light commercial sold for £5,460, which represents the highest values on record. The quality of the stock has also been relatively similar, with ages falling and mileage increasing marginally.
The Q2 performance is part of a wider trend that the industry has been experiencing over the past couple of years. The values so far for 2014 are £1,181, or 27.5%, up on 2012. Many analysts attest this to the shortage of good quality stock continues and demand increases as economic conditions improve.
"There can be little doubt that the improving economic background is giving a boost to the used LCV market, and small and medium-sized enterprises (SMEs) remain positive about future prospects”, commented Duncan Ward, BCA's General Manager of Commercial Vehicles.
“News of massive infrastructure projects such as HS2 which will generate thousands of construction jobs, as well as numerous A-road improvement schemes and house building projects will do much to improve confidence in small businesses serving the civil engineering and construction industries”.
Positive outlook on future values
The construction industry is one of the key drivers of used LCV sales, so demand is likely to remain relatively strong for the foreseeable future. Another cause has been the continued growth of online shopping, with home deliveries creating further demand for panel, box and Luton vans.
“The market was generally strong across the second quarter of 2014 with record average monthly values being set across the board in May. However, volumes rose noticeably over the period, offering more choice for buyers and introducing some pressure on conversion rates, particularly in April”.
"Competition remains very strong for retail quality used stock, and values for these best quality vans remain exceptionally strong, typically outperforming guide expectations by some considerable margin. Buyers particularly like any vehicle with a good useable specification or specialist equipment and there is always demand for Lutons, dropsides and tippers".
Perfect time to buy new
The price of new vans has changed very little over the same period, which means it's the perfect time for buyers to part exhange or sell their old van for a new van. Click here to look at all the lastest new van deals.