TIPS ON MAXIMIZING YOUR TRADE VALUE
Have your vehicle serviced at by Carfax certified dealerships. Carfax is a great to help navigate away from vehicles with a troubled history, but it also can be your greatest advantage. Whenever a vehicle is serviced, even for just an oil change, a certified Carfax dealer will add this to the report. What does this mean for your trade-in value? A lot. The next buyer will feel better about purchasing your vehicle if it has documented service records listed on a Carfax report. Who knew that saving a few bucks on a discount quick lube could cost you hundreds to thousands in trade-in value?
Give your trade-in curb appeal. Do yourself a favor and spruce up the old family cruiser before you go to the dealer. This means shoveling out all the fast food wrappers from the backseat, emptying the ash trays and giving it a good wash. If you have kept maintenance records for the car (and you should have) bring these along with you. Let them know the car was loved and pampered. It will help you push for your full value.
Make the dealer aware that you have an extended service plan on your current car. Statistics show that a person is more likely to maintain their vehicle better when they have a warranty than without one. Why? Have you ever had a small mechanical failure on your car that you chose not fix because of the expense? Customers with warranties tend to get those issues taken care of before they snowball into major repairs which in turn, translate into a better maintained vehicle. A dealer is going to spend money reconditioning your vehicle after it is traded in and knowing that all minor repairs were done prior to trading it in can increase the appraisal value of our trade.
Reveal any minor fender benders upfront. Honesty is the best policy when it comes to a trade in. Dealers today use magnetic paint thickness detectors find hidden accidents and put vehicles up on lifts when doing appraisals. When a dealership is appraising a car, they are just as cautious as the next consumer who will buy your vehicle. If you had any paint or body work, it is best to explain the incident before the appraisal so a minor repair isn’t viewed as a possible major reconstruction.
Work the tax advantage. In Pennsylvania, you only pay sales tax on the difference between the new car and the trade-in. This means that, on top of what you receive for your trade-in, you are paying less sales tax. This is a net savings for you and could make you decide that trading in is worth it.
Be realistic. If you have been to three or more car lots, and keep getting about the same figure for your trade-in, then you have found the market value of the trade-in in your area. You've done the best you can. Bite the bullet and take the loss.