Used van prices rose to record levels in April, according to figures released by auction group BCA. As prices continue to rise, buyers may start to consider whether it might be cheaper to rent vans for occasional use:
BCA used van prices March 2017 – April 2018 (source: BCA)
The average LCV value rose by £108 to £7,572 in April, according to BCA’s sales data. That’s an increase of 1.4% from March and a whopping 17.7% (£1,141) more than in April 2017.
Although average age and mileage have fallen over the last year, I don’t think the decline is big enough to account for the increase in price over the last year. In my view, there’s no doubt that used vans are becoming more expensive again.
| All vans | Avg Age (mnths) | Avg Mileage | Avg Value |
| Apr 2017 | 50.89 | 67,196 | £6,431 |
| Apr 2018 | 49.64 | 64,837 | £7,572 |
Source: BCA
Cheaper to rent?
The increase in used values isn’t necessarily matched by strength in the new van market, where sales have been falling this year. Because the big van hire companies buy new in bulk, I suspect that any weakness in new van sales is likely to help big rental buyers to secure even better prices on new models.
Given this, we think it’s worth costing out whether renting a van might be cheaper for your business than buying used. When you rent, you don’t have to worry about the residual value of the van in the future. And you’re normally guaranteed a nearly-new van with no maintenance costs.
If you only use a van for some of the time, renting a new van when you need it could be cheaper and much less hassle than buying used.