When time comes to trade in your old car, we all have a value in mind. After all it has given us good service, but it is time to move on. Realize, however that our value and the buyer’s price are at two ends of a deal, where our value is at the high end and the potential buyer’s is at the low end.
-
Where to sell?
Consider if you have time to advertise for a buyer or will handing it over to the dealer be less of a hassle. The dealer, of course will take the car off your hands, but at what cost? There are factors in the valuation of the car that you cannot help like the year, make, model and mileage. And then there are factors that you can help, and they go all the way back to when you bought the car.
-
General Value
Let’s start with general value. There are several sites including Kelly Blue Book, Edmunds, NADA Guides and Black Book that provide values for condition, trade-in and private sale. If you sell to the dealer, he will generally look to make 2 to 4 percent on the deal to refurbish the car. The trade-in offer will reflect this percentage. Shop around to other dealers or advertise on Craigslist or local bulletin boards (with a glossy photo). When you visit your dealer and he asks what you want for the car, remember that the first one to speak loses. Allow him to start the bidding. There are ways to increase your car’s value whether you sell to a dealer or privately.
-
Maintenance Records
According to Auto Solutions, make sure you have all the maintenance records for the car. If you bought the car new and kept up with all the maintenance, those records should be available. If you don’t have them all but you are still friendly with the original dealer or shop where you had all the service work done, they may have copies. The important thing is to collect them all as proof you have taken care of the car from the beginning.
-
Cleanliness and Upkeep
Detail the car. Clean out all the little crannies in the passenger compartment or trunk with a vacuum cleaner and Q-tips. Polish the dashboard. Wash and wax the car. Fill all fluids and change all filters in the engine compartment. Change the oil. Clean the spark plugs. Pump up tires to optimum pressure. Polish the headlamps and wax the entire exterior. Polish the wheels. If you choose, have a professional detail the car. If your tires show wear, replace them. They are the first thing potential buyers look at and the first excuse they have to lower the offering price.
-
Repairs
If there are minor mechanical issues, have them repaired. Any issue from a broken taillight to a faulty transmission will bring the value down. If the windshield is cracked, it will turn off many buyers. Whether your insurance covers glass or not, there are many states where it is covered by insurance as a hazard or under comprehensive insurance coverage. However if the dealer replaces the windshield, the total cost will be subtracted from your trade-in value.
Have scratches and minor dents fixed. Dent removal experts are affordable, but for a major panel take it to a body shop. It will be worth it. There are many variables involved in purchasing a new car. Negotiating a higher trade-in value may offset the higher offer by increasing other variables in the deal. Negotiate trade-ins apart from finance negotiations.
After doing all the prep work, your car’s value may have changed. Check the online value just before you are ready to sell. Look up the range of asking prices for cars like yours. Start in the middle. Increase the asking price if your car is still under warranty and you’ve kept up with regular maintenance, especially major scheduled maintenance. Raise the price if you have mounted new tires or installed new brakes. Leave some room for negotiation.
Follow these steps the best you can and you will be able to realize the best deal for your trade-in vehicle. No one wants to buy a beat-up car. If a car has curb appeal it will sell quickly.
