Motor trade expert Glass’s has reported that the average price of a 10.5 year-plus car sold at auction has increased to £875 in June this year – compared to £725 in January 2013.
That’s despite the market being awash with older vehicles, as more people trade in their well-worn cars for new models through PCP deals.
Glass’s head of valuations, Rupert Pontin, said: “Instead of this flood of bangers entering the market leading to a collapse in values, they have actually increased quite substantially.
“Partially this is as a result of improving economic conditions – more people are feeling confident about buying and running a car at the entry level – but also the quality of older cars on sale is improving all the time. We see many bangers going through auction in excellent condition at very reasonable prices and, for many people, they make extremely sensible purchases.”
It’s unlikely that this trend will continue, however, as oversupply of older vehicles will eventually result in decreased prices.
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