Various facts come into play when determining the worth of your car. There are some factors that you cannot do much about, while others you can change.
Depreciation Of Your Car
The biggest of the car price factors, depreciation is a motoring cost that does not hit you until it’s time to change cars. Many cars will be worth less than 50% of their original price after three years with most dropping sharply in value as soon as they’re first registered.
Why some cars depreciate more than others is mostly down to supply, demand and desirability. If a car is popular now, then used examples will likely be popular, so their prices will hold up better than models that are in less demand.
If there is high demand for a particular new model with a waiting list, then recent used versions of the previous model will still hold their value better. On the other hand, if certain cars are readily available and being strongly discounted, then recent used versions will depreciate heavily.
To continue reading and learning about car depreciation, click through to our car depreciation page.
Condition And Mileage Of Your Car
Mileage in particular can have a significant effect on residual values. If a car’s mileage is above or below the yearly average (usually around 10-12,000) then it will be valued accordingly.
The conditioning of the car matters, although age is taken into account. Damage such as dents and larger scratches will affect values as will items that need replacing such as worn tyres or an obvious fault such as, say, a worn wheel bearing.
Service History Or Your Car
A full service history where each scheduled service has been stamped in a service record book makes a big difference in values. For some cars, missed services are pretty much a deal breaker – a Porsche or high end BMW without a full service history would be a very difficult car to sell.
The Colour Of Your Car
The car colour can make a difference, although it’s not as simple as saying ‘a red car is worth more money than a blue one’ or vice-versa. In general terms, colours that have wide appeal are better because it enhances the chances of the car selling when used.
For example, silver is a good choice as it looks good on many cars and – almost regardless of model – wouldn’t put many people off. On the other hand, a pale lilac metallic just might.
Colour fashions come and go, so be careful of the oddball shades some manufacturers offer. Again, a timeless colour such as silver is a safe bet.
Modifications Made To Your Car
If you have had any modifications to the car these may affect resale values. It will depend on what modifications, of course. Items such as styling changes can possibly hamper the value purely because you’re potentially weakening the car’s wider appeal. For example, not everyone will like that deep spoiler or those oversize alloy wheels.
Where sold – which method you use will have a bearing on prices – and there is more choice than ever what with the advent of online auctions and online car dealers. If you sell privately, you’ll likely fetch a higher price than, say, selling at an auction.
You have to balance this against extra expense. Selling privately will incur advertising and possible preparation costs, whereas selling to an online dealer, for example, would incur no extra costs.
Location Of Where Your Sell Your Car
The geographical location of where you sell your car can have a bearing on prices. Some types of car sell better and fetch higher prices in different parts of the country.
Time of The Year That You Sell Your Car
This can affect values. For example, sales of convertibles may be stronger once spring arrives and all through the summer months, therefore it may be worth while aiming to sell such a car during the spring and summer.
As you can see, some of the above car price factors – such as depreciation – are out of your control. On the other hand, aspects such as condition, modifications and mileage are.