You're probably wondering how to get the best price for your used car. This is where car valuation comes in. It's a simple method you can use to ascertain the market value (or fair market value) of your used vehicle.
Car valuation is important for a variety of reasons, including obtaining the best possible price for your vehicle and selling it with confidence. In a lot of cases, most consumers usually trade in their car at the dealership while in the process of getting a new one and often lose out on thousands depending on the vehicle.
If you own a car, how do you know what it’s worth today?
Depreciation is a tricky thing when it comes to used cars. All used cars have different values depending on things like age, odometer reading, condition of the car etc.
Typically, owners looking to sell their car do so without knowing the true market value of their cars, and as in the aforementioned scenario, they take their vehicle to a dealer for a quick appraisal or try their best to sell their cars privately–which comes with its own travails.
So, how do you determine the fair market value of your car?
1. Online appraisals and research
Automobile appraisal is essential for people looking to sell their cars. You only need to open a browser and visit a site like ours where entering your make and model will get you a list of values. Most calculators will then give you a price range as well as additional data to help you estimate what your car is potentially worth on the marketplace.
It’s also prudent to look at websites like Craigslist, Kijiji and others to see for what value other
2. At your local dealership
Your local dealership, or even, the dealership where you bought your vehicle will give you a sense of what the trade-in value of your car will be. Each dealer is often on the lookout for certain vehicles depending on their inventory and will have a different value so it makes sense to shop around.
How to use fair market value data to your advantage
So, now that you have determined a FMV for your car. How can you use it to your advantage when selling?
Confidence in negotiations and setting a floor
During the bargaining phase, knowing your used car’s FMV gives you a bargaining floor and a sense of what value you’ll get back in return. Knowing value, as opposed to not having a firm understanding of your car’s value, sets an inherit expectation of what you will get. This in turn will help deter impulsive selling and low-ball offers.
Protecting yourself from unethical behavior
While selling your car at a used car dealership may appear to be the most straightforward alternative, it does not guarantee the best return. When you take advantage of a dealer's trade-in offer for your used car there are many tactics applied in order to improve the dealer's profit margin. This might be a few hundred to thousands of dollars less than your car’s actual fair market value.
Effective car appraisal, on the other hand, can protect you from such questionable activities.
Quick and hassle-free transaction
Using a tool to compare used car prices ensures that sellers have a smooth transaction. The precise projected price obtained through car valuation simplifies and facilitates the process for all involved parties.
By now, you may have added knowledge regarding the car industry and the importance of car valuation. With this information, you may more correctly estimate the best price, acquire insight into the used-car market, prevent being a victim of fraud, increase your confidence during negotiations, and ensure a smooth transaction. Thus, you will be more advantaged as you continue buying or selling cars!
Do you want to learn more about auto appraisals? Autozen is here to give you the opportunity of effortless and fair car selling online. Visit our website today to learn more!