Cap HPI’s head of valuations has said that the continued growth in used car values is “not sustainable in the long-term” – but may continue into 2021.
Speaking after the valuations specialist’s market data indicated a marginal 0.4% (£65) increase in values in its benchmark three-year, 60,000-miles market sample, Martin reiterated his opinion that the upward trajectory would falter.
Back in August Martin told AM that used car values could be on course for a similar “market correction” to that seen in May last year as increased vehicle supply and faltering consumer confidence – a result of the ongoing COVID-19 mitigation measures – started to show their effect.
Today (September 28) he said that there was currently “no evidence of a dip”, however, suggesting that any easing of prices may not happen until the New Year.
He said: “Whatever new car volume September brings, more of the part exchanges than