Are you looking to buy a new car? Take your old car to a modern repair shop that uses auto repair software and get an estimate. Whether it’s time for an upgrade or you need some fast cash, selling a car is a daunting task. The whole used car buying and selling world is unforgiving because of one word — depreciation. Selling a car may be nerve-wracking but do not fret! Read on to find out how you can increase your car’s resale value before you sell it!
What is a Car’s Resale Value?
The resale value of a car is the amount your car is worth if you try to sell it after buying it. The average price of a new car in 2021 is above $40,000. As vehicles continue to get more expensive, the used car market is gaining more and more traction. According to Kelly Blue Book, your vehicle loses 11% of its value as soon as you drive it off the lot. An average car loses more than 50% of its original value within five years.
Calculating the Resale Value of Your Car
You can use websites like Kelly Blue Book and NADA Guides to calculate the estimated resale value of your car. Some mechanics also help you determine the value after inspecting your vehicle.
If you do not want to visit a mechanic in person in the pandemic, fret not: Many mechanics offer digital inspection services using top auto repair software such as Torque360. The detailed inspection reports generated give you a clear idea of problems your car might have.
Increase your car’s resale value
There are many things you can try to increase your car’s resale value. However, for a few of these methods, you will need to visit an auto repair shop. You should always try to opt for a reputable repair shop.
A good way to differentiate an average auto repair brand from a reputable one is to check how they deal with customers. A good workshop will likely have service and repair management software to keep things running smoothly. If you already have a favorite mechanic, read on to find out how to increase the resale value of your car.
Have Proper Documentation
Many people don’t have their car documentation organized. A buyer is more likely to buy your car at a higher price if you have the original invoice, MOT certificates, and maintenance records. Even if the original dealership no longer services your vehicle, save the service records from other repair shops.
We’re not talking about tinted windows or racing stripes here. Adding original upgrades to your car, such as Bluetooth system, speakers, alloy rims etc., adds a lot to your car’s resale value. Try not to install cheap aftermarket upgrades as that can make your car look cheap and tacky.
Get Proper Maintenance Done
Cars require regular maintenance because there are a lot of moving mechanical parts in your gasoline-powered car. No matter how carefully you drive, mechanical parts wear out over time or get rust on them. Oil changes, service and replacement of parts are essential if you want to keep your car running smoothly for a long time.
Want to know more about rust in cars? Here is everything you need to know about car rust and the steps you can take to treat rust. If you take good care of your car, its resale value increases.
Keep Your Car Clean
The first impression of your car matters a lot. Therefore, a clean and spotless car is more likely to be bought at a higher price. However, this does not mean you should only clean your car before selling it. Keeping it clean regularly goes a long way in retaining your car’s value. Take your car to a car wash or wash it at home regularly.
Remove Small Scratches and Dents
A prospecting buyer can and will start to lower the offered amount for your car if it has many scratches and dents. Besides, a lot of minor dents and scratches are unsightly and will give the buyer a negative impression of the car’s health.
Most cars these days come equipped with a spare wheel, tool kit and sometimes a spare key. If you have them, remember to put them in your car before meeting a buyer. These things seem insignificant for older cars, but they add a fair bit to the resale value!
What lowers Your Car’s Resale Value?
The moment you take your car on the road, it starts losing its value. A car’s depreciation rate depends on various factors such as make and model, fuel efficiency, age of cat etc.
Brand Image and Perception
What people think about a car brand correlates with its value. A well-reputed brand’s car retains a lot of its value over the years.
Is your car in good condition? How many dents and scratches are visible? If your car is in a shabby shape, its resale value will plummet.
The number of miles you put on a car also affects its resale value. A car with 200,000 miles on the odometer is more prone to failure than a car that has only been driven for 10,000 miles.
Supply and Demand
If your car’s model is in excess supply in the market, you may find it hard to sell your car for a profit. In this situation, buyers have a lot of cars to pick from. Why would someone buy your car if they see the same car in a similar condition being sold for less money?
Color and Options
Cars come in various trim levels. Higher trim variants have more added options such as heated seats, different transmissions, traction control etc. These features significantly increase the resale value of your vehicle.
The bottom line is that a well-maintained and clean car sells for more. Sometimes, buyers pay more for a car with full documentation as it gives them the impression that the car was looked after properly. Are you looking to sell your car? Get it cleaned, organize the paperwork and start looking for prospecting buyers!