Unless you are a new driver, buying a new car inevitably means figuring out how to sell the one you currently own. But an equally important question is when should you sell your car. Although different vehicles hold their value to differing degrees, there are some basic principles that you should bear in mind if you are considering when to sell your used car.
Many car owners view the 100,000 mile mark as the point at which they should trade in. Obviously, the more miles there are on a car the lower its value is going to be. But there are 3 major mileage milestones that have a major effect on your cars value.
30,000 – 40,000 miles.
The warranty on most cars expires either at 3 years or 36,000 miles, whichever comes first. Crossing this threshold has an immediate impact on the value of your car. Additionally, it is usually around this time that a car undergoes its first major repairs.
The rate at which the value of a car depreciates slows down after the first three years, so if possible it is preferable to sell a used car during this first milestone. It is likely that somewhere around this mileage a cars brakes and tyres will need to be replaced, and ensuring this is done will usually allow you to achieve a higher price.
60,000 – 70,000 miles.
Cars that hit this milestone will often need more major repairs such as having the brakes changed again. Other work is also likely to be necessary, such as changing the cambelt. Whilst costly, it is important to keep on top of these jobs. If you don’t, the value of your car can drop rapidly.
Cars that hit this mileage will generally be at least 5 years old, and their value will have depreciated significantly. If your car is at this turning point it is better to sell it sooner rather than later, as the value will only continue to decline.
100,000 miles and over.
Most cars these days will last well past 100,000 miles. However, once they are over this mark their value will rapidly drop. This is because dealers prefer vehicles under 80,000 miles, as these can be resold as certified pre-owned. Consequently, dealers will generally only see cars over this threshold as wholesale only models which can be sold at auction.
Although it is preferable to sell your used car well before it hits 100,000 miles, there are always certain dealers and car specialists who will pay more than average, despite their mileage. Motorvate can match high-mileage cars to buyers who will value them more highly.