Selling Used Car With The Online Valuation System

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Have you been driving around in your same old car for a long time? Are you thinking about selling it? Selling used car today is different than it was 10 or 15 years ago. Thanks to the tools available on the Internet, such as online appraisals and classified ads, the process is now faster and more convenient. Even so, there are some decisions you will have to make before you can sell your automobile. So, whether you complete the transaction over the Internet, on an auction site, through a newspaper classified, at a dealership, or privately, you will need to begin by finding the value of your car.

What is my car worth?

One of the most important things you need to understand is the market value. Knowing if your set of wheels is in demand will affect not only the price but also the ease with which you can sell it. And you’ll be able to select a more effective way of advertising.

Start by researching the price of your car. Whether you are selling your vehicle yourself or trading it in at a dealership, you need to know how much you’ll be getting. Here are a couple of options that you should consider.

  • Go through the classified ads in local newspapers to figure out how much a car similar to yours is selling for in the current market. It may be easier to search through reliable sites on the internet as well. One advantage is that many post pictures of cars. You can judge what the condition is and how it affects the price. And because these sites cover a greater geographical area, you will be able to compare prices in neighboring cities as well.
  • Take your car down to a dealership to get an appraisal. This is a time-consuming task as you will have to go to several dealers to get a better idea of the actual value of your car
  • Last but not least, many prefer to get an estimate through online valuation tools available online. As mentioned above, you should get figures from several websites so that you have extra knowledge to negotiate the best deal.

Online valuation

It’s a free and quick way to get your automobile appraised. All you need to do is submit the car’s registration number, the mileage, a brief description of the condition, and your personal contact information. Most websites reply within 24 hours, either through email or by phone. They can only provide an estimate; the actual amount will be finalized only after a representative manually inspects the car. The price could drop if they find additional faults with your automobile, or even increase if it’s in exceptionally good condition.

Understanding the evaluation numbers

Once you’ve entered your information online, you’ll be presented with three or four values:

Price of new car

When the car came into circulation, the value of the vehicle at that time is noted. As an automobile gets older, the wear and tear increase with age- so this number drops considerably.

Trade-in value

The trade-in value is what you should expect to get from a dealership if you decide to buy and sell a used car from the same place. It’s always the lowest figure.

Private-party value

This is the amount you can expect to get if you sell your car by yourself. It’s usually a higher amount than the previous one. However, you will have to dedicate your time and effort while dealing with several random buyers.

Dealer retail value

The dealer retail value is for used-car buyers. It’s an average price that you will have to pay if you want to purchase a pre-owned car from a dealer. If the used vehicle is relatively new, it’ll be labelled as “certified.” This price will usually be the highest because you’re paying for a thorough inspection and added warranty.

Why is the trade-in value low?

You need to understand that you can get a lot more money by selling the car yourself than by trading the car in at the dealership. There are several reasons why trade-in values are lower than the retail ones.

  • Simply because of convenience. Many vehicle owners don’t have the time to go through the process of selling a car by themselves. They are more comfortable losing some money when trading the old car for a new one.
  • The dealer handles all of the paperwork, meaning that the person trading in the car doesn’t have to worry about dealing with the DVLA or getting an inspection or an emissions test. After all, the dealership is running a business and needs to cover the cost of providing you with a hassle-free way to sell your used car.
  • Many trade-ins need to be reconditioned. So, most dealerships can’t sell a car directly after receiving it in a trade from a customer. They have to invest money into washing it, detailing it, or fixing worn or broken items such as lights, audio systems, and paint. By offering a trade-in value that’s below the car’s retail value, they can still make a small profit on the transaction after the reconditioning is complete.

Know the market

Determine what potential buyers are asking. You need to reach the right audience at the right time to get the most out of your vehicle. For instance, if you want to sell your convertible, you need to do so in the warmer months when people will be able to drive along the beach with the top down. But if you’re selling your family sedan, place an advertisement in the local Sunday paper where suburban families are most likely to buy it. While family sedans and SUVs are always in pretty high demand, trucks and vans are also steady sellers because of work purposes. They can command competitive prices, so don’t underestimate their value. Having said that, you should be aware of other factors that influence the value of your car. To mention a few, mileage, the number of previous owners, maintenance history, the color of the automobile, brand, and overall condition all play a vital role. But let’s leave this topic for another day.

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