How to increase the resale value of your car
Use these tips to get the best resale value for your car.
The problem has been resolved
If you need to remove a used car, there are a few options. Each has its own list of pros and cons.
Ultimately, experts said the way you decide to unload a used car depends on how much money you want to make and how much you want to spend. If you choose to trade it at a car dealership, it is the easiest way to get rid of it, but it may not bring about most of the money.
Another option is to sell it personally. This obviously requires more effort. Alternatively, you can sell it on used car sites such as Carmax. You can also donate to charities.
“I don’t know if there’s one best way. It depends on your personality. Maybe you don’t want to come to your house or go down the street to meet them. “If you have time to post online and deal with a lot of tire kickers, it’s great. You might get more money from the dealer.”
Step 1: Know your value
The first step in selling your car is to see what your car is worth. In doing so, no matter how you choose to sell, you sell at the right value, Undercoffler said.
Many tools online can help with this, such as Kelley Blue Book trade-in and private parties value. Edmunds.com offers used car value tools, Carvana has value lacquer, and Carmax offers evaluation tools and Cargurus instant market value tools online, listing some. Most offer trade-in value and private party value.
Undercoffler recommends “triangulation” to sellers and uses several sites to get the most accurate price in your mind.
“A lot of them give you value differently depending on whether you trade it and sell it yourself… But you’re with these sites supporting you,” Underkoffler said. “It gives the seller a lot of confidence.”
Ivan Drury of Edmunds.com agreed and suggested another step. He said that even if you plan to sell your vehicle to a private party, you’ll take it to a few car dealers and see what you’ll offer in addition to running it through an online rating tool.
“At least that’s how you know the bottom dollar you can expect,” said Drury, director of insights at edmunds.com. “Maybe it’s more lined up or more than anyone who wants to spend time in the private market.”
Important steps to selling your car to a private party
Both, if you really want to maximize your money and sell it personally, I agree, so let’s take a look at the process first.
“Dealers are in business to make money, so they need to know that they can buy it and turn it around and sell it for profit,” Underkoffler said. “But there’s no free lunch. It takes time and effort to sell it yourself.”
Undercoffler first recommends that cars be sold to private parties that can be done on websites such as www.iseecars.com. If you sell it to a dealer, they can clean it and fix any dings and dents so don’t spend money on it as you won’t take back that cost, he said.
Drury said it’s also important to make sure your paperwork is going well. There are as many records as possible for maintenance and repairs. Also, make sure your registration, liability release, title (or lien payment amount), automotive department forms, and other forms are up to date.
It is also important to ensure that potential buyers have paperwork in order and are legal.
“I want to know who you’re dealing with, but make sure that the person who appears on the test drive is the same person you were in contact with and check your ID.
Test drive and payment
Undercoffler told me not to let anyone take your car on a test drive without you and not to make sure they have insurance.
Please let people you trust, let them know when, where, and who are meeting, and more details, especially if you are meeting anywhere other than your home, Drury added.
If the buyer requires that it be deployed in advance, it is up to you to respond to the request. Undercoffler said he is buying and selling many classic cars, and said advance inspections are common.
“You’ll settle it and drive to a garage where potential buyers pay for inspection,” Undercoffler said. “But if they’re having problems, you have to be fine with that. Do you want to spend another $500 to fix it? What’s the final game for you?”
Let’s find your buyer and say they’re good for the vehicle, and now it’s time to pay. This is when cash is always king.
“Be smart about it, where you’re doing business, you have someone with you,” Underkoffler said. “But cash or cashier checks are good. Anyone who offers electronic stuff that I feel bad.”
If Drury accepts cash, they either buy one of those counterfeit detection markers or “even better, they go straight to the bank and involve the counter. Payments by checks also pose a risk.
If you’re not getting a bite, Drury said he has time limits in mind as he doesn’t want the vehicle to continue to devalue, hoping that he’ll get more to sell it to a private party.
Why not sell your car to a private party
Drury said you should probably not sell your car personally if you have the following characteristics: It’s better to take the vehicle to your dealer, Carmax, or send it to an online retailer.
- Trust issues: You either trust too much or you don’t trust anyone. Drury said that selling the Private Party requires a balance of trust and skepticism.
- Time management issues: To sell a car, you need an open schedule and it can be difficult to meet the buyer’s schedule. Also, “Expect people to flake you,” Drury said.
- know: You know all the details about your vehicle and may focus on certain features or facts that the buyer may not care about as a selling point or may not be looking at.
- I know it’s too little:If you don’t have a service record or if you are the third owner and are unable to answer the buyer’s questions, please get a vehicle history report.
- Bad Poker Face: You negotiate. Buyers want a fair amount and you want the best dollars, but neither extreme is a good thing for both parties, so prepare accordingly.
- Patience or lack of it: Getting the documents, winning the title if the vehicle still has a lien, and waiting in line in the bank and auto department can be pissed.
- Rear seat driver: “If you can’t help with advice while driving, or if you can get motion sickness while someone else is driving, then the buyer might want someone else to sit while driving,” Drury said.
Notes on donations
You’ve probably heard an ad on the radio. In particular, I have heard ads broadcasting on listeners’ donations and donated second-hand cars.
Drury said the donation makes sense for those who don’t want to absolutely have to go through the hassle of getting rid of their cars.
“But again, I would recommend that you discuss going this route and speak to an accountant to certainly discuss what will happen to each individual, as the overall impact on the value you declared, the actual value and what you owe can very differently,” Drury said.
Regarding where your car goes, Drury said the vehicle may go to classes at a local high school or community college auto store.
If you don’t want to do that, you can sell it via the website to Cargurus, Carvana, etc., but again, you probably won’t get much money to sell it personally, the expert said.
Older cars are also worth the money
The final option is to bring it to the car dealership and leave it there and go home, or spend money on trading in for a new car.
“Trade in is a great negotiation tool,” Undercoffler said. “And don’t think it’s worth it because your car has a lot of miles and age.”
He said high interest rates are in high demand for used cars with high value.
“It’s a low-cost car that dealers can’t get enough,” Undercoffler said. “So don’t underestimate its value to dealers and consumers.”
Please contact Jamie L. Larrow: jlareau@freepress.com. Follow her on Twitter @Jarouan. Read more about General Motors and sign up for our automotive newsletter. Become a subscriber.
