Diesel cars worth more than petrol cars

Second-hand diesel cars are becoming increasingly more valuable than their petrol-fuelled counterparts. The British Car Auctions (BCA) unveiled its latest auction house price data which showed that used diesel vehicles are now £1,600 more expensive than petrol models on average.

This is particularly interesting as many second-hand diesel cars are sold with significantly more miles on the clock than petrol vehicles, largely due to their fuel efficiency over long distances.

Tony Gannon of BCA, said: “There can be little argument that the average price of a diesel car always outperforms that of a similar average petrol model.

“There is a clear and significant difference in average value at remarketing time – as much as £1,616 in January 2011 – equivalent to a 32.3 per cent variance or nearly a third more on average.”

Diesel remains an attractive option for drivers that pound the motorways on a daily basis with its fuel efficiency and eco-friendly CO2 omissions. Diesel car owners also have the added bonus of lower car tax charges and can go up to three or four years without paying any servicing costs.

These are just some of the considerations when purchasing a car. If you are looking at second hand vehicles it may be wise to contemplate purchasing a salvage car or a stolen-recovered vehicle that can be repaired to roadworthy condition. These can be picked up from an online salvage auction significantly cheaper than brand new and second-hand models on dealership forecourts.

At ASM Auto Recycling we store over 2,000 salvage cars for sale with models from Volkwswagen to Porsche. It is quite possible to pick up a bargain diesel model if you have the commitment and/or know-how to restore it to roadworthy condition.

Our online salvage auction offers a selection of over 500 damage-repairable and stolen-recovered cars each and every week!

VAT Increase Pushes up Used Car Prices

An increasing number of UK motor manufacturers have increased their used car list prices this month following the rise in VAT to 20 per cent. Research by car pricing data provider CAP revealed that as many as two-thirds of all car manufacturers increased their basic list prices by a higher amount than would otherwise be accounted for by the increased VAT rate.

Mike Hind of CAP said: “The New Year will be a good time to trade in a high quality used car. Our research shows that dealers are currently paying very strong prices to keep their stock levels up and that is unlikely to change any time soon.”

Interestingly the actual increase of used car list prices was recorded at £142.74 – almost double the average price increase of UK vehicles based solely on the VAT increase at £79.57.

David Saville, CAP’s new vehicle data manager, said: “Historically, tax-driven changes to car manufacturer price lists have often been used as an opportunity by manufacturers to realign their ranges and push through additional price increases.”

The high demand for quality used cars appears to be another factor in the increase of used car prices. In fact many “serious buyers” are already purchasing vast amounts of stock to ensure they do not run out over the course of the year.

“Buyers spent December attempting to stock up and this was not only driven by the desire to beat an anticipated January rise in values. Research during December consistently revealed a genuine appetite for stock, underpinned by a positive level of confidence, to ensure dealers were in a position to get the year off to a good start.

“There is also a widespread acceptance that buying will need to continue in January and that they will need to pay ‘all the money’ for the best stock because it is so thin on the ground and everyone will be pursuing it,” says Mark Bulmer, CAP’s Black Book research editor.

Used car parts specialists ASM Auto Recycling supply an unrivalled range of parts for any vehicle and to anywhere in the world. With over 250,000 guaranteed recycled auto parts, repairing a salvage car has never been easier.