Land Rover defies lockdown blues with used car price surge
The Motorway Used Carometer reveals the average price of used cars valued on its platform each month. It is based on market valuations of premium used cars on Motorway over £10k, less than five-years-old, with under 50,000 miles on the clock. Now more than ever, consumers need a reliable source of truth to gauge how much money they’ll need to spend to get a quality used car.
The UK government may be banning new sales of diesel and petrol cars from 2030, but the used market for diesel is definitely on the up. After several years of plummeting diesel car prices, Motorway’s data also reveals that the average price of a used diesel car has been steadily rising month-on-month. The average price for diesel used cars were +3% higher in September than August and October prices were +1% higher than September.
This rise, coupled with a +10% increase in the number of car valuations for Land Rover in October demonstrates increased demand for these premium SUVs in the used car market. In fact, Jaguar Land Rover’s fightback continued with used Jaguar cars rising +4%, almost £1,000, on September prices and climbing +8%, £1,862 higher than 12 months ago.
Tom Leathes, CEO of Motorway comments:
“With the ongoing pandemic, and restrictions set to continue through the winter, people are turning to the car market to avoid public transport and travel safely. However, with the uncertain economic outlook, many consumers are reluctant to buy new. Instead, they are choosing to buy used cars and we have seen a significant increase in demand across more-expensive brands like Jaguar, Land Rover, Mercedes and BMW, which is keeping used car prices strong across the premium vehicle sector.
“Our data also clearly shows consumers are not turning their back on fossil fuels just yet. While new car sales continue to drop, consumers are quickly realising they can get a great deal on a top of the range Land Rover that’s only a few years old, instead of dropping £60k on a new one, or on a new electric car.
“As a result, Jaguar Land Rover is now enjoying a renaissance in used vehicle demand that it may not have seen if not for the pandemic. We think the government’s changing legislation on fuel is unlikely to impact consumer appetite for premium used cars at a good price over the next twelve months.”
Overall, the most popular cars on Motorway among dealers in October were the likes of Mercedes, BMW and Audi, with average prices holding at around £20K and all three brands performing well against October 2019 prices.
The highest rising car brand was Mazda in October, with average prices up +7% on September, at £14,994 vs. £14,018 and +11% on the year before, rising by £1,447. This was followed by Jeep and then Honda which each had respective uplifts of +6% and +5%, compared to September. Porsche bounced back from last month’s drop and has now returned to its previous summer prices, jumping +4%, an increase of £1,444.
EV price wars
It’s not just diesel that is on the rise. October was another strong month for used electric vehicles, proving there is appetite for both when it comes to used cars – average prices of EVs were £31,663, an uplift of 11% or £3,231. The most popular EV was unsurprisingly the Tesla Model 3, at £33,611, up almost +3% on September prices and +7% on the previous year.
Jaguar Land Rover also performed well in the EV category, with the average price of a second-hand Jaguar I-PACE up +1% on the previous month to £54,280, while the Nissan Leaf held strong with a +0.5% uplift and an average price of £19,316.
Mid-level & value cars
Across mid-level and value brands, Ford and Peugeot saw a minor dip in average prices in October of around -1% while Vauxhall and Skoda second-hand prices both fell by 4%. Although the average price of a used Mini dipped by £122 in October, overall this brand is still a consumer favourite, up +7% or £1,000 on the same time last year.
The Motorway Used Caromoter helps inform consumers what they can currently expect to get for their car or pay for a used one. Instead of fairytale guide prices that are unlikely to come true, The Motorway Used Carometer uses real, aggregated data from multiple sources to provide a true picture of average prices in the last month, and year, to identify trends for the months ahead*.
|Car Brand||Average price: Oct 2020||September: Price increase/ decrease (%)||Difference (£)||October 2019: Price increase/ decrease (%)||Difference (£)|
When it comes to getting the right price for a used car, consumers shouldn’t be in a position where they have to accept low or cheeky offers. Motorway helps drivers secure the best deal for their car from a used car marketplace of 1,500+ trusted dealers nationwide. Car owners can sell fast, as well as safely, with minimum hassle, for the best price. Rather than losing money through a middle-man, Motorway connects private sellers directly with dealers across the country – ensuring they get the best price and a trustworthy service, all in as little as 24 hours.