How to Increase Your Trade-in's Value
When you trade your vehicle in with a car dealership, you become the seller and the dealer becomes the buyer. You're essentially selling your vehicle to the dealer for the absolute most money you can get. Keep in mind, the dealer is wanting to buy your car for as cheap as they possibly can.
Your goal is to get the most money you can out of your current vehicle to lessen the amount you have to pay for the vehicle you want to buy.
One way to accomplish this is by taking a little time to clean your car up and get it up to a "sellable" status as cheap as you can. This will help you increase your trade-in's value and the less a dealer has to do to get a car ready for sale the more money they'll be willing to pay for the vehicle.
There are several low cost tricks and tips you can do to raise the value of your vehicle. You can even use this information if your selling your car on your own for retail.
Below I've compiled a list of some things you can do to increase the value of your trade. Some of the tips are very simple and you can be completed in just an afternoon.
In this section:
Think Like a Used Car Appraiser
When you're trading in your current car, you are, of course, trying to get the most money you can for it. You're possibly trying to get thousands of dollars for your trade. By completing a few simple tips and tricks may help you get even more money for your trade.
Never trade a vehicle in at a car dealership until you have a good estimate of what it's worth. Read our chapter on how to estimate your trade-in's value to get a good idea of what your trade's worth.
Spending a few dollars and a sunny afternoon to increase your chances of getting more money is not a bad investment.
Think about the last 10 cars the used car manager appraised right before yours. I promise you he's had to drive and value some cars you wouldn't want to be caught dead in. Your trade just may be a sight for sore eyes and believe it or not, he may appreciate it by giving you a little bit more money than he would normally.
If a vehicle being appraised doesn't need a lot of reconditioning to get it ready for sale. It will not be discounted as much when being appraised by an appraiser.
TRUE OR FALSE?
You should NOT clean your car out before trading it in. Doing this lets the dealer know you're ready to buy a car and puts you at a disadvantage.
THIS IS FALSE!
This bad advice has been passed on for a long time. In my experience I say it's not true. No matter how old your car is, there are several good reasons to clean up your car before having it appraised.
- First impressions are everything - Remember you're selling your car to the car dealership.
- If your car is clean the appraiser will be more likely to think you take care of your car and also must do the preventive maintenance also (oil changes, fluid checks, etc.).
- A clean car could be the difference between a few hundred to a couple thousand dollars when it comes to putting a figure on your car.
- You want the dealer to know you're ready to trade and make a deal, putting the ball in their court.
- Don't leave your personal bank statements, purse, title, or private information laying in the seat, glove compartment or floorboard of your car. You would be surprised at some of the stuff (private and illegal) I've seen left in vehicle's I've appraised in the past.
I've appraised thousands of cars during my career in the car business. There are certain things I always look for while valuing a vehicle. Looking at a nice clean car, no matter the age, makes my job a lot easier and a little looser with my pencil.
Low Cost Tips to Increase the Value of Your Trade
Detail and wax your car.
You wouldn't believe how many filthy dirty vehicles I've appraised. When I have to inspect a vehicle like this, I tend to inspect the car more closely for problems because if your car looks this bad, more than likely you have not been doing the preventive maintenance either.
Before you have your trade-in appraised, get it detailed and waxed, make sure they shampoo the carpet or get some exercise and do it yourself. Make sure you don't forget the door, hood and trunk jams. Also polish the tires and clean all the glass inside and out. You wouldn't sell a car to a private party trashed out would you? I guarantee it will be money well spent. Don't go overboard with the cleaning products you want your car to look like it's clean all the time and don't EVER Armor All the steering wheel!
Check and clean the engine compartment.
Clean the engine compartment and make sure there aren't any tools, rags, or half empty fluid bottles in it. Some detail companies will clean the engine compartment for you when detailing your car. If you do it yourself make sure you use a good quality degreaser and make sure you get all the chemicals off your belts and hoses.
Empty and clean your vehicle compartments.
Make sure you get all the trash and junk out of you console that has collected over time. Vacuum it out and do the same with your glove compartment. You should leave any maintenance records, locking lug keys, owner's manual, leather cleaner and touch-up paint in the glove box. By doing so is a good sign to an appraiser. Make sure you remove your name, address and phone number from any records you leave. You wouldn't want the next owner contacting you a year later.
Your trunk should be emptied and clean. If you have a bunch of junk in your trunk, clean it out. Do not leave a box of empty fluid bottles, air filters or tools in the trunk of your car. This is a bad sign for an appraiser. If you have a spare tire area under your trunk mat, make sure your spare is not flat and there's no standing water. You will want to clean and vacuum this area also.
Change your windshield wiper blades.
You don't have to buy a $20 set of wiper blades, just replace your current ones with a nice cheap set and the correct size for the vehicle. When the appraiser turns them on to check the wiper fluid they'll clean the windshield off and operate nice and smooth..
Check the wiper fluid reservoir. If you don't have wiper fluid put in water and a few drops of dish washing soap or Windex to get you by.
Windshield condition star or cracked.
An appraiser will subtract right away for any defects in your windshield, you may as well get it fixed. Some states will not let you get a state inspection with a broken windshield and some insurance companies will fix or replace a windshield for free. Do not let an appraiser take off for a star that's fixed on a windshield. Dealers normally just repair windshield stars themselves if they're not within the driver's direct view.
Restore foggy or blemished headlights.
Faded headlights make a vehicle look old and worn. If your headlight lenses are foggy and scratched, most of the time they can be restored without expensive replacement. There are several home remedies to fix faded headlights. A quick search on the Internet will bring up several solutions such as using toothpaste to clean up your headlights to get your through the trade-in process.
Replace burnt out lights or bulbs inside and out.
Do a quick check with a friend or family member of your headlights, brake lights, running lights, and turn signals. Don't forget to check your interior lights. Replace if needed, bulbs are very cheap and can be picked up at any local auto parts store.
Change your cars fluids with clean fluids.
One of the little "tattle-tales" an appraiser uses is the little reminder sticker all the oil change companies put up in the left hand corner of your windshield. A good appraiser will still physically check your car's engine oil, transmission fluid, radiator, brake, and windshield wiper fluid. I guarantee you they will check your fluids if they find an expired sticker on your windshield.
Make sure you get them all changed and topped off and leave the little sticker on the windshield. This is also a good sign to an appraiser you keep up with the preventive maintenance on your car.
Get a tune up and change the air filter.
If your vehicle is running rough you can get a tune-up pretty cheap at a local quick service place. They'll try and up-sell you everything under the sun but the basic tune-up is all you're after. If you don't want to pay for a basic tune-up at least make sure to change your car's air filter.
An appraiser will quickly pick up on the fact your vehicle is running rough. Instead of trying to figure out why he will automatically start deducting money from the overall value of your vehicle.
Get rid of that smell.
A bad smell in a car is a deal killer. Whatever you do, don't use 10 of those little pine trees. Use ionizers and neutralizers to get rid of bad odors and run the a/c so it will circulate. You can contact detail companies and ask if they have an ionizer and offer the service.
You can try and do it yourself with Febreze or some other deodorizer however it may take longer and you will have to leave your windows down for an extended period of time.
Touch up all those little chips and scratches.
There are several compounds and chemicals out there to cover or mask chips and scratches long enough to trade in your car. You can also use touch up paint, just make sure you get the correct color code of your vehicle and take your time filling in the scratches. You can go to your local auto parts store and they'll show you how to get your paint code and even sell you the paint.
Organize all of your maintenance records.
Fold up and organize any maintenance records nice and neat and put them in the glove compartment. Make sure you remove your name, address, phone number and private payment information from them before trading in your car.
Make sure your a/c blows cold.
If your air conditioner is not working or not blowing cold, you may have a problem. Spend the money and have a mechanic look at it. If it's just a slow leak have the mechanic charge it so it will blow cold long enough for you to trade the car in. Appraisers will subtract big money for a non-working a/c even if you tell them it's just a leak. As long as your a/c is blowing cold while your vehicle is being appraised it should not be an issue.
Have your car title with you.
Make sure the car is titled in your name and the vehicle identification number on the title matches the VIN on the car. Do not sign the title until you're signing the paperwork for you new car. NEVER store your vehicle's title in the car. You should keep your vehicle's title in a secure place such as a file cabinet or safe in your place of residence.
Align, balance, rotate or buy new tires.
Car dealers will use this trick on unsuspecting used car buyers. If a dealer has a car with some wear on one side of the tire they'll rotate the tires and put the worn part towards the inside of the wheel well so you can't see it easily. Why not use the same trick?
If your car strays right or left you may want to check the wear on the tires or you may need to get a quick alignment. Most places will rotate your tires, balance them and align your vehicle for pretty cheap. Doing this will keep the appraiser from deducting additional money from your total amount.
If your tires are beyond repair. Go pick up some cheap tires before trading your car. They don't have to be brand new but make sure they have some tread on them. Appraisers will take off a lot of money to replace the tires on your trade-in.
Take the time to prepare your trade-in by following a few or all of the above tips. It will greatly increase your chances of getting the most money possible for your trade.
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My Recommended Sites for Car Shopping
Edmunds and CarsDirect are the quickest way to check used car prices in your local area. These online sites will provide you with free, no-obligation quotes and the prices you're quoted are normally very good. You can also use this free information to negotiate a better price between dealers.
Share Your Tips - If you have any tips on getting the most money out of your trade that will help other car buyers save money. Please tell us about it in the comments below, so we can share it with everyone.