The average value of a three-year-old, 60,000-mile car fell by 1.5% month-on-month in December, according to Cap HPI.
The automotive data firm suggested the decline was in line with seasonal trends, with the same period in 2023 having seen a 2.1% fall.
However, the general trend for the last three months of the year was of greater robustness, with this period having seen a 4.2% drop in values in 2024, compared with a 10.5% fall in 2023.
Cap HPI head of current car valuation Chris Plumb said: “In line with the retail market, December’s wholesale activity has entered the typical seasonal slowdown, with conversion rates and performance against cap values gradually declining throughout the month. This trend closely mirrors previous Decembers.
“While some trade buyers remain active, they are highly selective, focusing only on the best fresh stock offered by vendors.”
In terms of fuel mix, the greatest December value decline was seen from petrol cars, down by 1.8%, ahead of plug-in hybrids (down by 1.6%), and EVs (down by 1.4%), with conventional hybrids and diesels down by 1.2%.
Plumb added: “The outlook for January, and beyond, is optimistic and largely positive. Low supply will continue to play a key role in maintaining healthy competition and demand for used car stock, while projected consumer demand remains encouraging.
“2024 has been a successful year for both vendors and retailers. Reduced used car stock volumes returning to the market and healthy retail consumer demand have underpinned market stability.
“At this stage, there is no reason to believe that the first quarter of 2025 will differ significantly in terms of demand and overall stability.”
