Used LCV prices rise to record levels in Q2 reports Aston Barclay
Posted 27 July 2020
The used van market went through the roof during Q2 according to Aston Barclay with prices rising by 20.8% (£1,026) to £5,949 to an all-time record level.
As more dealers chased fewer vehicles in the market, particularly when franchised dealers opened for business on 1 June competition for stock rose dramatically and prices took off.
Between 330 and 360 online buyers were logged on for each sale with all types of vans and chassis cabs finding homes, even a £3,000 van with £2,000 of damage sold above book. The only vehicles that have struggled are 9-seat minibuses as they do not work currently for operators based on current social distancing rules.
Aston Barclay continued to sell used vans online during the lockdown as sectors like home delivery experienced a peak in demand. Those dealers who saw stock depleted during lockdown were then faced with buying replacement stock for more than their original retail sale which has caused challenges on cashflow and stocking strategy.
Double-cab pick-up prices also rose in Q2 by 4.2% (£312) on the back of a marked fall in average age and mileage to 60 months and 65,000 miles. Stock remains in short supply, but replacement cycles are now consistently at five years, which vendors consider as their optimum contract length.
“We don’t know when the prices will stabilise, although moving into July prices have cooled slightly as supply has started to improve,” explained Geoff Flood, Aston Barclay’s national LCV manager.
“However, there is likely to be a shortage of stock during the summer as OEMs get production levels back to normal before fleets kickstart their replacement programmes,” he added.