Used vans break auction records in volatile market

Volumes of used vans sold through BCA hit record levels in July, as the auction specialist reported a substantial rise in buyer numbers despite volatile pricing in the market.

Average monthly LCV values slipped to £7,410 in the month, down from £7,845 in June, with another significant downward guide price move influencing the trend.

The values of used vans have been under pressure over the last three months, due to a large supply of standard model vans creating significant pressure on the market. Many of these remain a hangover from the pandemic, when manufacturers were forced into producing base-specification models due to parts supply bottlenecks and orders were rushed through to meet the rising demand from the contract hire and rental markets.

Reacting to the latest figures  lBCA chief operating officer Stuart Pearson commented that the LCV market has been experiencing a fairly significant pricing realignment over the last few months, and predicted still greater movements to come.

“Whilst there isn’t any shortage of buyer interest, the sellers that are taking a very pragmatic approach to investing in the right level of preparation, along with valuing vehicles realistically, are achieving the best results,” Pearson said.

“With many base spec vehicles in the system, buyers will inevitably focus their attention on those that can be turned the fastest and the delta between the best and worst condition is likely to increase further.

He added that BCA is working closely with its customers to provide live market pricing to support their decision making, because by the mid-point of the month, the value of an average LCV has potentially changed significantly from the start.

“While this may seem like challenging news, demand for LCV stock remains strong and buyer engagement has been at record levels at BCA this year,” Pearson added.