Are you thinking of purchasing a new car? You may want to replace an old car that has seen its fair share of years. Your status in life may have changed and you may need a car to match. Whatever the reason, you will have the choice of either selling your old car and buying a new one or trading in your old car for a new car at a dealership.
When you buy a house, you do so with the knowledge that the value of your home will increase as time goes by. However, the case is different for a car. Cars depreciate in value as time goes by. Within the first year of owning your new car, the car loses 20 percent of its value.
When you have decided that you want to sell your car, know that you will not be able to sell it at the price you bought it. It’s nearly impossible to make a profit on your used car without extensive modifications.
To Trade-In or Sell
Are you trying to decide on whether to sell or trade-in your vehicle for a new one? The following are some of the benefits of opting for a trade-in as opposed to trying to sell the vehicle on your own.
- It’s easier. You don’t have to think about getting a buyer. All you have to do is hand the dealer the keys to your car, after some negotiating of course.
- You’ll avoid experiencing a major loss. You’re likely to sell your car for less when you attempt to sell it yourself.
- Your old car can be used as a down payment for your new car. You therefore won’t have to come up with that much money for the payment on your new car.
Before Trading in Your Car
- Update your car insurance policy
Update your car insurance policy to avoid paying insurance for a car that you no longer use. If you want to get a better rate for car insurance,compare car insurance quotes using the model information of the new car you’re thinking of getting.
- Wash your car
A good wash can make a big difference in the appearance of your car. This goes a long way in getting better value for your car in a trade-in. Vacuum the interior of the car and trunk, wash the wheels and have body buffed. Do all you can to be able to present your car in the best light.
Be careful not to clean out the car completely. Leave some of your personal belongings to show that you’re still using the car. Dealers look for these small signs to see if you’re anxious to get rid of the car. Such information will give them the upper hand in negotiating.
- Fix the dents
Don’t give the dealer an opportunity to negotiate for a lower price based on dents and scratches on your car. Fix the dents and other cosmetic issues before trading in the car.
- Repair mechanical problems
Does your car have any mechanical problems? Now is the right time to repair them. Don’t keep this information from the dealer. Be honest. Dealers always have cars checked for mechanical problems. Be honest from the word go.
Trading in your car is a great option if you don’t want the hustle of finding potential buyers. You can also get a great deal on a new car through a trade-in. Be sure to follow the tips outlined above to get the best value from your trade-in.