Key Takeaways:
- The term “trade-in value” is usually used when buying a new car.
- “Trade-in value” is what a car dealer will give you for your old car as a discount on the new car.
- You can get more for your car trade-in value by doing simple things to maintain its value, such as regularly washing and waxing it.
- When the time comes to sell or trade in your car, research its worth online so you have a general idea of what it’s worth.
- Finally, don’t be afraid to negotiate with the dealer to get the best price for your trade-in.
Look, we all love our cars. They’re like our babies. But the sad reality is that we have to give them up at some point – whether it’s because we’re moving, upgrading, or just plain ol’ tired of them. Most people think of their car as an extension of themselves. It’s not just a way to get around; it’s how we make a statement about who we are.
So, it’s vital to protect the value of our car investment. And when that time comes, most of us want to get as much money for our old car as possible. Luckily, you can do a number of things to retain your car trade-in value and make the trade-in process go a little more smoothly. Here are a few tips by Acura of Tempe for keeping your car looking and performing like new so that when it comes time to trade in or sell, you’ll get the best price possible. Happy driving!
Car Trade in Value: What Does It Entail?
In 2016, there were about 15,928,573 vehicle trade-in deals in the United States. The term “trade-in value” is usually used when buying a new car. A dealership will give you the amount of money for your old car as a discount on your new purchase. Remember that this number is almost always lower than your car’s worth because dealerships need to make a profit. They also factor in the cost of necessary repairs, and the time it will take to sell the car.
To get the most precise estimate of your car trade-in value, recent research on sales of similar vehicles in your area can help. You can Google this or talk to friends, family, or colleagues who have recently purchased a vehicle. This will give you a decent idea of what dealerships are likely to offer you for your car.
How Does Car Depreciation Work?
Your ride is a depreciating asset that loses value over time. The depreciation rate varies from vehicle to vehicle. Still, a new car can generally lose up to 20{04f4473667429606b198cd57205ea0bcdf618085427f25e7d455198628d93ee0} of its value in the first year alone. It will have lost around 60{04f4473667429606b198cd57205ea0bcdf618085427f25e7d455198628d93ee0} of its original value by the time it’s five years old.
Several factors contribute to depreciation, including:
- Make & model of the ride: Some cars hold their value better than others. For example, German-made cars such as Audi, BMW, and Mercedes-Benz are known for their excellent resale value. Japanese rides such as Toyota and Honda also retain their value well.
- Age of the vehicle: newer cars will have a higher resale or car trade-in value than older models.
- Mileage on the vehicle: The more miles on the odometer, the lower the car’s value.
- Condition of the vehicle: A well-maintained car will be worth more than one in poor condition.
- Location: Vehicles in some parts of the country (such as the Northeast) tend to have higher resale values than those in other regions (such as the South).
The best way to avoid depreciation is to purchase a used car a few years old. This way, you can get all the benefits of a new car without paying for the depreciation. You can also look for cars in high demand and likely to hold their value better than others.
Ways To Retain Your Car Trade-In Value
Some ways to keep your car’s value up include:
- Regular Maintenance:
One of the most important things you can do to keep your car running well and looking good is to keep up with regular maintenance. This includes changing the oil, checking fluid levels, getting tune-ups, and rotating the tires. By taking care of your ride, you can avoid larger repairs down the road and keep your car looking great.
- Drive Carefully:
Another way to keep your car in good condition is to drive carefully. This means obeying the speed limit, avoiding hard braking, and being cautious in bad weather. You can avoid accidents and keep your car looking new by driving carefully.
- Keeping The Interior Protected:
You should also take care of the inside of your car. This means not eating or drinking in the car and avoiding harmful chemicals like bleach that can damage the upholstery. You should also regularly vacuum and shampoo the carpets to keep them looking clean and new.
- Protect The Paint Job:
To keep your car’s paint job looking its best, you should wash it regularly and wax it at least once a year. It would help if you additionally avoided parking in direct sunlight or under trees, which can cause fading and other damage.
- Get Regular Inspections:
It’s vital to get your car inspected regularly by a qualified mechanic. This will help you catch any problems early on before they have a chance to cause major damage.
- Keep Good Records:
Whenever you get your car serviced, repaired, or inspected, keep a record of it. This will not only help you keep track of the work that’s been done on the car, but it will also help retain your car trade-in value if you ever need to sell or trade it in.
- Avoid Modifications:
While some modifications can increase your car trade-in value, most will do the opposite. So unless you’re planning on keeping the car for a long time, it’s best to avoid making any changes.
- Careful Where You Park:
This one is especially important if you live in an urban area. Parking your car on the street can leave it vulnerable to door dings, scratches, and even theft. If possible, park in a garage or shaded parking lot to help keep your car in pristine condition.
- Don’t Overdo It:
While taking care of your car is important, you don’t need to go overboard. Washing and waxing your car too often can actually damage the paint. Once every week or month should be sufficient.
These simple tips can help boost your car trade-in value and avoid depreciation. So, when the time comes to sell or trade in, you can rest assured knowing you’ll get top dollar for your vehicle.
Also, read: 4 Undeniable Benefits of Dealership Service Centers Over Independent Repair Shops.
Looking To Trade Your Car In Tempe, AZ? We Can Help!
At Acura of Tempe, we always look for quality used cars to add to our inventory. We’d be happy to take a look if you’re considering trading in your vehicle in Tempe, AZ. We offer top dollar for trade-ins and can help you find the perfect new or pre-owned car, truck, or SUV to fit your needs.
Stop by our dealership today or browse our online inventory to see what we have to offer. We look forward to helping you get behind the wheel of your dream car!
Connect with us
