Perhaps one of the more important decisions in the life of your car is understanding “when should I trade the car or truck in?” Should I trade it in within a specific time frame? Is there such a thing as too many miles? What if it isn’t perfect? It probably won’t surprise you to learn that there is not a one-size-fits-all answer. But, we do have some tips to help you decide what time is the best time to trade in your car.
This is typically the first question owners consider. Considering that most people believe the best way to receive top value for their used car is to do it themselves versus trading it for a newer vehicle. However, there are a couple of things to look at when thinking about if you should trade your vehicle or just sell it.
With only a few exceptions, selling a vehicle can take weeks or longer; specifically if the car needs repair work. The seller would be accountable for every single aspect of the sale process, from creating an ad, to test drives, to arguing the price, and anything else that comes up. Conversely, trading in a car almost always happens at the time you purchase your new vehicle with minimal fuss or stress.
Usually the person selling the vehicle is responsible for the required paperwork, such as registration and the car’s title. Trying to do everything by yourself may be a disheartening and long process if there are unexpected challenges, like a lien, attached to the paperwork. We are equipped to handle all of the paperwork, including challenges.
Perhaps the most notable benefit of trading in your vehicle is the potential tax savings in areas with a state sales tax. In these states, there’s a tax credit applied to your new vehicle’s sales tax if the buyer trades in a vehicle at the same location where they buy a new vehicle. The taxes are applied to the price difference after the cost of the trade-in is factored into the final sale price. The tax credit savings can quickly reach the high hundreds and even thousands of dollars, depending on which vehicle you are getting.
There are many schools of thought on this, especially with late model cars that are built for high mileage usage. Yet, there is general consensus on three mileage ranges to think about when trading in your car:
This is the time when the majority of new car warranties typically end. On the other hand, this is when the first replacement of ‘wear-and-tear’ parts, like tires or brakes, are generally performed on most cars. The depreciation of your car will start to grow more quickly after this milestone, so the nearer your car is to these miles, the higher your trade-in appraisal will likely be.
Depending on usage, a car that gets to this milestone will typically be between 3 to 5 years old and most likely has had many trips to the local auto repair shop for routine and not-so-routine maintenance. As the miles add up, the value gets lower so vehicle owners need to think about this when considering their trade-in.
It’s true that hitting this mileage is no longer the automotive death notice that it was in the past, thanks in part to advancements in modern manufacturing. However, the higher the mileage of your car, the greater the depreciation. Vehicles within this mileage can still have value even though they aren’t in perfect condition. The condition of the car is reviewed more closely as the miles pile up on your odometer.
Finally, a meaningful piece of trading in a vehicle is being ready for the trade-in appraisal. The following recommendations are not an exhaustive list but these steps will definitely help you get the most value out of your car.
This should be a no-brainer, but many people think that presenting their car ‘as-is’ is a more honest way to do a trade-in appraisal. While we do not advocate hiding blemishes or problems with the vehicle (FYI, the assessors will see through that anyway), it’s always a good idea to clean up your vehicle before bringing it in for the appraisal. This means removing all trash and debris from inside the vehicle (including the trunk), vacuuming and washing inside and outside, and perhaps even doing a nice interior and exterior detailing. Think of the appraiser as a potential buyer of the vehicle and tidy up the vehicle.
We understand that automotive repair costs can be overwhelming, especially for serious mechanical concerns. But, if it’s possible to fix minor dings, defects in the paint, and cracks in the various mirrors, windows, and windshield, all of those fixes will go a long way towards improving the price of your trade-in. When possible, we suggest repairing any mechanical problems the car may have as well. The better the condition, the better the trade-in value will be.
If you have decided trading in your car is the best option for you, then we recommend coming to the dealership with all of your vehicle’s paperwork, including the title (if it is in your possession), registration, any maintenance logs you have, and all copies of the car’s keys. Arrive ready to trade your vehicle in and you will speed up the process of driving away in your new one.
No matter the time of year, month, or day of the week, Gillman Honda Fort Bend invites you to trade in your car, truck, SUV, or minivan in Rosenberg, TX. We provide great advice and tips for how to get the most value for your trade-in and can help you get behind the wheel of a new car. Schedule an inspection appointment online or visit our dealership today.
I’m pleased to leave a review of Gillman Honda Fort Bend. The Ford F-150 King Ranch I bought from them is perfect. After an initial xxxx up with the sales process, General Manager Teno Fontenot put me in touch with Sales Director Dominick Pisano and he made the process simple and pleasant. He gave me a great deal on my trade and a terrific deal on the truck. Most importantly he was excellent to work with in getting one post sale issue resolved. I’ve purchased a lot of cars and this was one of the best experiences I’...
I made the decision to go to Gillman to buy a new car. Would I go back for my next vehicle? Absolutely. Buying a new car is always super exciting but also a little stressful. Gillman went above and beyond for me even after purchasing my car. The General Sales Manager Dominic called me directly after the transaction to be sure I was satisfied because he sensed that I was hesitant during the transaction. That type of customer service is what will bring me back for future cars. I also purchased a roof rack and cross bars for my new ...
This was an great buying process dealing with Ahmed he made the process smooth with buying my wife a new ride, although finances could use a cheaper rate when getting additional coverage every else was great.
Good quality services and good communication skills. Iam sorry if i dont writte more, thats all i got. But they show me all the ingormation i request about honda odeesy and i was pleased with the information.
Recently purchased a new vehicle. While I personally dislike the process my experience proved to be a good experience. The reason I attribute this to is the sales representative, Laura Solis. She is professional and gives her full attention to the desires of the customer. She also gives attention to the details and should our needs require a vehicle in the future she would ne my first call.