It’s that time again - time to say goodbye, and trade in your second-hand car to a dealership.
But is trading in your second-hand car the best option?
Trading in your car to a dealership is popular with many people as a way of selling used cars. Finding a dealer to buy your used car can save you the hassle of selling your car privately - no phone calls, meetings or test drives with complete strangers, time wasters, or even criminals. For those of you who want to sell your car privately, read this article.
Looking for a higher price ? At your inspection, you can choose “Option 1” to receive instant cash in hands; or if you’re looking for a greater price, select “Option 2” to advertise your car to dealers nationwide for 48-hours and get the best price directly from the market. Book An Inspection Now!
How can I determine the value of my car?
There are a couple of ways you can find the value of your second hand car:
- Use websites like www.carzar.co.za to get a free online valuation for your second-hand car in seconds. If you're happy with your quote, we’ll buy your car for cash. If not, CarZar’s unique algorithm will give you a good idea of the value of your used car, so you know a reasonable price to ask for when selling.
- Visit different dealers and showrooms to find the average price of your car model. You are under no obligation to buy a car from the same dealer to whom you sell your second-hand car, so feel to use the cash for your used car to shop around with other dealers.
- Get a TransUnion vehicle Value Report for your car to get an idea of its retail and trade-in value.
Factors that affect your vehicle's value
Not having spare keys can reduce your car’s market value by up to 5%, while not having a full Service History can reduce your car’s market value by up to 10%. To get the highest possible value for your car, ensure you have:
- Spare keys
- Proof of Service History
- Clean car
- Damages repaired
- No tyre wear-and-tears
- No windscreen chips or cracks
- no active dashboard warning lights.
Note that depreciation also plays a major factor in calculating the value of a second-hand car. Your car’s value will depreciate as soon as it touches the road. However, the rate of depreciation decreases as the car gets older. Thus, the sooner you sell it, the more cash you will receive.
The pitfalls of trading in your car
Getting a trade-in may be convenient, but you have to pay to sell your used car hassle-free - dealers who buy your pre-owned vehicle will offer you less than private car buyers. At the same time, these dealers are making a large profit on each new car they sell. When dealers offer you a ‘discount’ for trading in your second hand car for a new car, all they are doing is reducing the profit they’re earning on the new car - creating the perception of a 'great deal'.
When you sell your second-hand car for cash using websites like www.CarZar.co.za, you can use that cash payment to negotiate a great deal on a new car purchase, without being locked into buying a car from the same dealer. This gives you more flexibility to shop around for a real discount without any retail costs that the dealer isn’t telling you about. Have a look at this post on A Few Reasons to Sell Your Car to Carzar.
Terms to understand when trading in
- Book value: The book value, or ‘blue book value’ of a car, is the industry-accepted value of a car that a dealer bases their price on, according to the dealer valuation book by Transunion.
- Trade-in price: The trade-in price of a car is the amount that the dealer offers you when they buy your second-hand car. This amount can be used to settle your car finances or can be offered as a discount on a new car.
- Retail price: The retail price of a car is the trade-in price plus whatever markup the dealer has added on to that amount in order to make a profit - this will be the price you receive if you sell your car privately, as you are effectively acting as the dealer.
So, how do I Sell to CarZar?
Whether your car is financed or not, at CarZar, we buy cars for cash instantly! On www.carzar.co.za you can get a free instant online quote for your car and sell your car in just 30 minutes.
All you need to do is follow THREE quick and easy steps:
STEP 1: Select your car details and receive your free online quote instantly.
STEP 2: Book an obligation-free inspection at any one of our Car Buying Centres in Cape Town or Johannesburg; or at your preferred location in Cape Town, Johannesburg, Durban or Port Elizabeth.
STEP 3: Accept our final cash offer and receive instant payment! We also take care of all the paperwork for you.
Or, send a WhatsApp message with the word “Quote” to 087 470 0436 and receive a free quote for your car.
With CarZar, you can sell your car in 30 minutes!