The used LCV market is seeing more physical buyers back in the auction halls as the number of higher-mileage vehicles entering the used market increases.
Generally, higher-age and -mileage vehicles also have more damage and Shoreham Vehicle Auctions (SVA) said any NAMA grade 3, 4 and 5 vans are receiving careful inspection in person before a buyer makes its decision.
Such vehicles tend to receive fewer bids in an ‘online-only’ environment, which is why SVA’s MD Alex Wright believes more buyers are now back in the auction halls.
“Typically, we are seeing more higher-mileage vans coming into the market and buyers are having to inspect them at close quarters before making a bid, especially as prices are still high. Based on our 2022 LCV sales the market has cooled down from 2021 and prices may have reached a ceiling,” explained Wright.
“However, the global shortage of new vehicles is helping keep demand strong, which gives the market stability against the backdrop of an ever-changing economy,” he added.
Many SMEs are now deciding to opt for a used van, due to both the uncertain economy and the continuing long lead times of new vans.
Rental companies are still buying used LCVs and cars at auction to meet their needs, especially those who were in previous buy-back deals with manufacturers which have now been scrapped. Smaller car-derived and medium-sized panel vans continue to prosper due to rising fuel costs.
“Our Tuesday LCV sales have been vibrant with buyers which is good to see. Buyer numbers are certainly back to where they were pre-pandemic and when our economy is continually changing dealers want to see what is happening at auction for themselves.
“Online bidding has been such an important part of the remarketing industry, but nothing replaces the power of buyers being able to physically inspect an older vehicle before it goes under the hammer,” added Wright.
