The latest figures from the HPI Used Car Valuations Index has shown that demand for used city cars and superminis is increasing as Brits look to downsize to beat the credit crunch.
With new and used car values inevitably dropping during these economically-troubled times, it is heartening to learn that the petrol 12-month-old City car sector’s used values recovered slightly in September, with its year-on-year fall now standing at only nine per cent.
The diesel version performed even better, showing a total fall of 5.6 per cent. These figures compare favourably against the average year-on-year fall for all 12-month vehicles of over 20 per cent and the 33 per cent drop suffered by the three-year-old luxury sector.
One sector that HPI experts believe may have fallen as far as it can is the three-year-old family car group. Both petrol and diesel family cars saw values rally a little in September, rising 2.3 and 1.9 per cent respectively, compared to year-on-year figures for August against September.
The 12-month diesel MPV is also posting steadier sales figures, leading to the hope that family practicality is fighting back over image.
Values of year-old petrol luxury cars slipped the most, falling another 6.4 per cent, followed closely by 12-month diesel Small cars at 6.1 per cent.
Martin Keighley, HPI valuations expert, said: "Overall things are bleak, but as we approach Christmas it is hoped values will level out as the rate of fall begins to slow."
Written by Darren Van White