Manheim reports dramatic climb in 4x4 residual values
02 December 2011
Author: Jack Carfrae
Manheim has reported a rise of more than 50% in 4x4 RVs in the past three years.
The auction firm says the increase is due to the recent harsh winters and a resultant change in attitude towards 4x4s. It reported a 56% swell in values of ex-fleet models over the past three years, despite an average age increase of seven months and a 12,500-mile rise in average mileage to 60,000.
This comes as Manheim reports a 3.5% drop in used car values across the fleet sector for October, with significant reductions in the supermini, lower medium and upper medium sectors. Compact executives suffered the biggest loss of 7.6%.
MD Mike Pilkington said: "The 4x4 market continues to go from strength to strength with some
very strong values being achieved, which is of no surprise after the past two winters."
Rival firm BCA reported a similar seasonal spike in 4x4 values as early as October, as well as seeing a strong start to Q4 2011 across the market with increased volumes through physical auctions and online sales. The company has also taken on new business from Inchcape, BMW Group, Arval and Prudential.
MD Andrew Hulme said: "Our market-leading RV performance and higher sales conversions combine to deliver faster cash-to-bank performance for our vendor base, and this has been the trigger point for a number of business gains."
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