Vehicle data expert Cartell.ie and Car Sales platform CarsIreland.ie report today (October 27th) on the state of values in the Used Car Market in 2021. The company has gathered data which shows that the average vehicle owned for the last 12 months is now valued at 16 per cent more than its market value for the equivalent period in 2020. Instead of depreciating, most owners’ vehicles have increased in price.
From a sample size of 5,000 vehicles, in November 2020 Cartell looked at the retail price of each vehicle, assuming average mileage and used this as a control to test the value of each of the same vehicles in 2021 by running both years through the Cartell Price Guide (CPG) a vehicle valuation service available to users of its service.
The results show that, on average, the year-over-year increase stands at 15.87 per cent. It should be noted this is the price difference between the various vehicles today compared with the same price for each respective vehicle last year. Cartell used actual vehicles which, although they were one year older, actually appreciated.
Among the results were the following vehicles:
|Year||Make||Model||Engine Size||Fuel||Doors||Power||Value 2020||Value 2021|
Jeff Aherne, Innovation Lead of Cartell.ie, commented on the data, saying: “These results show us that a perfect storm has taken place in the market: a combination of Brexit, microchip shortages, WLTP, and supply-side availability have led to an unprecedented rise in used vehicle values. Since Cartell.ie was set up in 2006, and started monitoring the used vehicle market, we have not seen anything like this before. Lead-in times for delivery of new vehicles have extended, principally due to the microchip shortage, and, until supply ramps up again we don’t see this situation improving in the near-term. Those who benefit most are the owners of used vehicles, which have seen a spike in values, who are looking, and can afford to wait, for a new vehicle.”