Understanding your car’s worth is essential when you are looking to sell, upgrade or make tweaks to your vehicle financing. Estimating an accurate value of your car while keeping in mind various market fluctuations can help you get the best deal possible. But how do you evaluateestimate your car’s worth? Special Interest Automobiles provides you with all the information on the four steps you need to follow:
1. Gather your information
2. Visit multiple car-pricing services
3. Get quotes on the different car values
4. Compare prices to make the final decision
Information you need to estimate your car’s value
At the outset, several factors influence influence there are several factors that influence the value of your car such as (but not restricted to):
1. Make and model
2. Current running condition and mileage
3. Prior accidents if any
4. Warranties and certifications
6. Timeline for sale
How to get an estimate
Once you have this information, it is time to assess the market value of your car. It is beneficial to look at local sales guides or speak to dealerships directly. However, for your convenience, there are online vehicle valuation calculators such as Kelly Blue Book (KBB), Edmunds and NADA) that can get the job done.
Kelly Blue Book
Updated monthly, the KBB provides vehicle valuations based on research and trends such as national data analysis, industry developments and car sale trends. The value of your car is based on a KBB 5-point quality evaluation that ranges from excellent to poor.
You can use Edmunds to determine the Typical Market Value (TMV) of your car, based on the trends and actual sales information from the location you reside in. This is beneficial as locations and geography can play a huge role in estimating a car’s worth.
NADA or the National Automobile Dealers Association is a database of exclusive dealership data, which is provided to dealers within the Association. However, as a seller, you can use the NADA website to connect with local dealerships that can help you with an estimate of your cars worth and eventually, with the actual sale.
Types of car values
The worth of your car also depends on how you are planning to sell it. The most common car valuations are car resale value, car market value and car trade-in value.
Car resale value
Depreciation affects all vehicles to different degrees. The value of your car starts decreasing as soon as you drive it out of the dealership. Therefore, it is recommended to buy a car that has a positive five-year outlook on its resale value. The following factors affect the resale value of your car:
1. Upgrades made in the performance of the car
2. Current condition and mileage
3. How popular the car brand is in the market
4. Features of the car
Car market value
The car market value is estimated through the retail value of your car, current mileage, and condition of the vehicle. Thus, it varies for different cars of the same model too.
Car trade-in value
Simply put, the trade-in value is the amount a dealership is willing to give you for your car in exchange for a new one. It depends on the following factors:
1. How popular is the make and model of your car?
2. How old is your car and what condition is it in?
3. Does the dealership have other cars of the same make and model?
Thus, understanding the value of your car can save you big bucks in the long run. Contact Special Interest Automobiles to get an estimate on your car’s worth today!