7 Ways to Boost the Value of your Trade-In
A trade-in is a vehicle that a customer brings to a dealership when purchasing a new or used vehicle. The customer agrees to turn over the ownership of the trade-in vehicle to the dealership, which will then either resell it or use it as a trade-in allowance towards the purchase of a new vehicle. The trade-in value is the amount the dealership is willing to offer the customer for the trade-in vehicle, which is typically based on the vehicle’s make, model, year, condition, and mileage. This value is then subtracted from the purchase price of the new vehicle, reducing the amount the customer needs to finance or pay out of pocket.
There are several ways to boost the value of your trade-in:
- Keep up with regular maintenance: Regularly servicing your vehicle, such as oil changes, tire rotations, and brake inspections, can show potential buyers that you have taken good care of the vehicle.
- Clean and detail the vehicle: A clean and well-maintained vehicle will have a better chance of fetching a higher trade-in value.
- Make any necessary repairs: Fixing any dents, scratches, or other cosmetic damage can help increase the value of your trade-in.
- Gather service records: Having a record of all the maintenance and repairs you’ve done on the vehicle can help demonstrate its reliability and upkeep.
- Research the market: Look up the Kelley Blue Book or NADA Guides value of your vehicle based on its make, model, year, and condition, and find out what similar vehicles are selling for in your area.
- Consider timing: Timing can play a role in the trade-in value of your vehicle, generally end of the month, end of the quarter, or end of the year can be a good time to trade-in as dealership trying to hit their sales targets.
- Negotiate: Once you have a good idea of what your vehicle is worth, you can negotiate with the dealership to get the best trade-in value possible.
Keep in mind that the trade-in value of a vehicle is not always the same as its retail value, and the trade-in value offered by the dealership may not be the best offer you can get. Be sure to shop around and compare offers from different dealerships.