Auction house BCA has warned of the growing numbers of poor condition cars coming to market that are failing to sell first time.
It said the rising volumes could impact market performance in the weeks ahead
The warning came s BCA recoded a strong performance in October with average prices for part exchange vehicles at a record high.
Simon Henstock BCA’s UK operations director said: “Although October’s figures look exceptionally strong, rising average values are not the whole story.
“Volumes have climbed in recent weeks and while the best presented and most attractive ready-to-retail cars are selling quickly and often for well above guide valuations, there are increasing numbers of poorer quality cars reaching the wholesale markets.
“These less attractive vehicles need to be accurately appraised and valued in line with market expectations if they are to be sold first time.”
“Over valuing poor condition and less attractive cars almost inevitably results in a failure to sell first time, taking longer to sale and the potential for holding costs to rise. When buyers have greater choice they inevitably focus on those cars that represent the best profit opportunity in the shortest timescale.”
“Sellers should be aware of the changing market conditions and work closely with their remarketing partners to ensure their stock is properly prepared, appropriately condition rated and sensibly valued in the weeks ahead. It is worth remembering that there are buyers for every age, mileage and condition of vehicle providing the price is right.”
