The used car market continues to show remarkable resilience with values of two-year-old ex-PCP cars in May 2018 retaining 61% of their value new, a figure unchanged from May last year. Used car search company Cazana said the May performance was one point lower than April, which was reasonable considering the increased numbers of these PCPs car returning to the used car market.
Cazana added that diesel values were holding up well despite negative coverage and falling new diesel car sales. Diesel registrations fell for the 14th consecutive month, down 23.6% in May. In comparison to May 2018, there has been stability for ex PCP and privately-owned cars that have covered 36k mileage. Pricing has remained at 56% or original cost new mirroring the price point in May 2017 and a 1% uplift on the April 2018 data.
This stability in pricing reinforces the fact that the used car market is still robust with good retail demand. The increase in volume, however, has seen some vendors in the wholesale environment needing to readjust expectations and auction conversion levels were more variable during the course of the month.