The coronavirus pandemic has had a few unexpected consequences, and one of those now appears to be a boom in used car prices.
An investigation by CarDealerMag.co.uk has found that the used car market has gone ‘crazy’ since the start of the year, with some vehicles having added almost £5,000 to their value in just six months.
This has come from fewer new car sales as a result of lockdown then meaning there are fewer part exchange vehicles entering the used market. Couple this with increased demand from buyers looking to spend lockdown savings, and you have what is described as a ‘perfect storm’.
Trade auction site Motorway told CarDealerMag.co.uk that the average price of a used car on its platform is up 8.2 per cent since November, while valuations firm Cazana says forecourt prices have risen 12.1 per cent in the same period.
Motorway’s top five appreciating cars at trade price are:
VW Golf R DSG – up 35.9 per cent
Price in November 2020: £13,533
Price in May 2021: £18,388
BMW M140i – up 10 per cent
Price in November 2020: £20,583
Price in May 2021: £22,647
Volkswagen Golf GTD – up 8.7 per cent
Price in November 2020: £11,384
Price in May 2021: £12,373
Jaguar XE R-Sport – up 7.8 per cent
Price in November 2020: £11,198
Price in May 2021: £12,073
Ford Fiesta Zetec – up 7.59 per cent
Price in November 2020: £5,535
Price in May 2021: £5,955
Cazana’s top appreciating cars at retail price are:
Mercedes Benz GLE Diesel – up 6.2 per cent
Cash rise since November: £1,901
Mercedes CLS Diesel – up 5.9 per cent
Cash rise since November: £1,382
Nissan Leaf – up 5.7 per cent
Cash rise since November: £809
Kia Pro-Ceed Diesel – up 4.3 per cent
Cash rise since November: £400
Jeep Compass Diesel – up 3.6 per cent
Cash rise since November: £500