How Do You Estimate Your Car’s True Value
There are several reasons why you may want to sell your car. Perhaps you have a family car that you are not using anymore and that you want to sell. Or maybe you want to get a new car, and want to sell the old one for a down payment.
Regardless, for you to get the best price for your vehicle, you need to estimate its value. This way, you may get a better price for it. You may use a variety of online calculators or online appraisals, but you need the right information for that. Here is your guide on how you can estimate what your car is worth.
Different Types of Car Values
Before you determine the actual value of your car, you need to know that the vehicle will be valued differently depending on where you sell it. These values will include:
- Dealer Resale Value: The amount of money that you will get from a dealership, should you decide to sell it through them.
- Trade-In Value: The value of your car set up by the dealership when you trade it in with another car.
- Private Resale Amount: The amount of money you will get if you sell the car yourself, without paying commissions to a dealership.
- Certified Pre-Owned (CPO) Value: When you sell the car to a dealership and they sell it as a CPO vehicle.
The highest amount of money you would get is from the private resale value. Once you cross-reference it with the average market values, you can use a car value calculator to estimate its price. This will make it easier for you to negotiate a good price with the dealership.
Information Needed to Calculate True Value
Average prices change every day, influenced by market changes and the age of your car. This is why you need to find some sort of estimator calculator. There, make sure to add the following information:
1. Year, Model and Make
The older your car is, the lower its price will be. A new car will lose somewhere around 20% of its original value within its first year, and as much as 60% five years later. If you buy a new car and decide to sell it later on, your car year will be a deciding factor in determining its true value.
2. Vehicle Condition
A car that has been properly maintained will sell for a much higher price. “Outstanding” condition gets the highest value, but unless the car is straight out of the showroom, this may not be your car. When calculating the value, be aware of the descriptions of each level and make an honest choice.
3. Color and Optional Equipment
The color of your car may significantly affect its value. As a result, you may want to be specific when selecting your color. If you have an indigo blue car, you should specify that color, as it may rate higher. Similarly, if you have any optional equipment (e.g., a fancy stereo, sunroof, heated seats, or leather upholstery), this can increase the true value of your car.
4. Mileage
With each mile that you drive your car, the value will be reduced by around $0.08. This is why you will likely get more for a car you rarely drive compared to one you drive every day. To get an accurate offer, you need to provide the exact mileage.
The Bottom Line
Knowing the true value of your car can help you sell your car at a fair price. You can list it online using that price, or you may use it to negotiate with a dealer. Needless to say, you have to be honest and precise when you’re putting down that information.
If you need some help in estimating your car’s value, you can call on SoldAuto.com and our specialists will help you.
