4x4 values reach record levels

Average values for 4x4’s reached record levels at BCA in January, according to the company’s latest Pulse Price Report.  The price rise comes in the wake of the heavy snowfall and traffic problems experienced by much of the country last month.

Values averaged £12,918 in January 2010, the highest average price recorded at BCA and a rise of £647 (5.2%) against December’s figures.  Prices had been rising throughout the winter months, with records previously set in October (£12,186) and December (£12,271).   Values have nearly doubled over the past 18 months.

BCA Communications Director Tony Gannon commented “Nothing makes four-wheel drive more attractive than a dusting of snow around the UK and the severe weather we have had in recent weeks will have convinced many drivers that they now need a 4x4.”

BCA’s figures show that average values for used 4x4 vehicles generally climb as the weather worsens - values increased significantly in March 2009, for example, following the heavy snowfall in February.   Over that month BCA saw average values rise by £2,388, equivalent to a 27% rise, month-on-month. 

Gannon added “ The turnaround in the 4x4 market has been exceptional.  Of all the car sectors affected by the economic downturn, few fell harder or faster than the 4x4/Sports Utility sector and few have recovered as well in the intervening months.”

“Values reached a low point in July 2008 when several months of high fuel costs, combined with the stuttering economy and uncertainty over proposed Vehicle Excise Duty and the so-called Showroom Tax saw values fall by over £2,000 to £6,723.   There were even rumours that some dealers were refusing to take them in part-exchange.”

“But as prices recovered in 2009, 4x4 values were among the first to bounce back.  They were still exceptional value for money, of course, which undoubtedly attracted a lot of motorists.  However, the heavy snowfalls of January 2010 seem instrumental in pushing values on to new record levels.”