Battery electric vehicle (BEV) prices in the used car market have shown signs of stabilising, according to Indicata’s latest Market Watch report.
After months of price drops, BEV prices rose 0.6% from early September to mid-October and saw a 0.1% increase overall from July to October.
This stabilisation is reflected in high demand and a record-low Market Days’ Supply of 38 days for used BEVs in the UK, the fastest turnover among all powertrains across 13 European countries covered in the report.
In September, the UK’s fastest-selling used cars were all BEVs, with the Renault Zoe, BMW i3, and Hyundai IONIQ leading the market.
These models, typically at the lower end of the price spectrum, are attracting dealers and are more commonly stocked than higher-priced used BEVs, which are purchased selectively based on customer demand.
Corporate Average Fuel Economy (CAFE) targets are also driving tactical sales as manufacturers strive to meet ZEV Mandate goals.
Sales of used vehicles under one year old were up by 6.5% month-over-month in September and by 24.5% year-over-year, with many of these vehicles being BEVs.
This trend aligns with manufacturers’ push to reach the 22% BEV target for new car sales by the end of 2024, as BEV sales have already climbed to 10.4% for used cars up to four years old.
“All the signs from our latest Market Watch report are that demand and prices for used BEVs are stabilising which means leasing companies and OEMs can breathe their first sigh of relief after months of prices falling,” said Dean Merritt, Indicata UK’s head of sales.
“There is a better balance of supply and demand of used stock in the market and the fastest-selling used cars are all electric. However, time will tell whether used BEVs have stablished themselves in the used market with dealers and consumers alike,” he added.
