A lot of the assets we spend money on can have their value increase over time. Cars are among those exceptions where their price tags go down the very moment you drive them off the dealership. The depreciation rate of a vehicle will depend on makes and models, but normally, around 30% of the initial value is lost on the first three years of being owned. After that, you can expect a 50% loss once it hits its third year and onward.
The depreciation of a vehicle’s value is simply something that can’t be avoided. But the good news is that there are several things you can do to improve its market value when you decide to sell it in the near future. Let’s check them out below.
Follow Proper and Regular Maintenance Schedules
Those who wish to retain the majority of their car’s value by the time they sell it should follow the right timeline to have them maintained. Failing to follow the proper maintenance schedules can lead to neglect in the repair of certain car problems that can turn out to be more costly later on. By taking it to a trusted mechanic for regular checks, you’re making sure that any issues with the car are spotted as soon as possible before they get out of hand.
Keep an Eye on Mileage
Are you planning to do more long-distance travel in your car? Think again. The higher the miles you incur in your vehicle, the faster its value goes down. The average yearly mileage for a car is approximately 9,000 – 10,000 miles in Australia, so if you’re driving more than that, you can expect a lower market price in return.
Ensure Cleanliness Inside and Out
Making sure that you keep your car clean before selling it is a great way to increase its market value up-front. This should be done not only for its exterior appearance but most especially for the aesthetics on the inside. What’s amazing about this is that you can do this by yourself without spending much. By spending some time, effort and money to buy the right cleaning items, you should come out with a car that will impress most buyers.
Keep It Sheltered As Much as Possible
Parking your car outside exposes it to the daily elements that can cause its overall condition to wear out over time. If this doesn’t cause problems to its systems, later on, it can make the vehicle look old and faded. Hot weather can slowly strip away at the colour of your car whereas the cold can lower engine effectiveness and quality.
What you can do is to have it parked or at least covered to keep it protected. There are instances where you might think about placing it in a shady area but that that’s not a good idea. Besides bird droppings that can cause paint damages to your car, you’re also risking other falling debris from falling on top of it.
Fix Any Scratches, Dents and Dings
Nobody wants to buy a car that has scratches and dents present, yet this is something that’s practically unavoidable. Fortunately, these issues can be resolved by applying some DIY fixes. There are videos and tips explaining how you can remove scratches from your vehicle while dents can be removed by yourself or an expert.
Keep Paperwork on Hand
Everything that you do for your car, whether maintenance or repair, make sure you’re taking note of each one since you bought it. It’s important to keep all records, contracts, warranties, stickers and manuals as documentation is needed when selling the car. Having all of your paperwork on hand means that you can quickly show a historical record of your car to a prospect.
Maintenance information is also important as this can help answer questions from your buyers. The great thing about such paperwork is that they can speak for themselves, letting you sidestep awkward explanations in case you don’t know the answer. They also show that you are indeed taking care of your car.
Examine and Resolve Tire Issues
The wheels of your vehicle are the number one component that takes the most damage in any aspect of a vehicle. Through the years, these wheels will gather both aesthetic and functional problems that can further lower your car’s value.
When you’re keeping your car shiny for that big sale, you want to include the wheels in your plan as well. Dirty and dull looking wheels can be seen by many as a reflection of the vehicle owner. First impression counts and you don’t want to give your potential buyers a reason to look elsewhere. So make sure that you identify and fix any issues with your tires beforehand.
Keep Your Driving Habits in Check
The way you drive has a significant impact on the condition of your car in the long run. Driving fast and aggressive will push your vehicle to its limit which can hamper its overall system quality. And any accidents that happen here will surely lower your car’s value even more.
A lot of buyers today would also like to get their hands on a car that hasn’t been involved in one. This is a big reason why you should just keep your driving in check by doing it safely in the first place. Aside from that, vehicles that haven’t been involved in an accident can fetch higher prices in the long run.
The car that you own right now is an asset that can take you wherever you need to be. However, its inherent ability to depreciate in value over time calls for planning ahead of time.
By thinking like a used car buyer, you know that they want a vehicle that looks and feels brand new despite being second hand. Looking at the car buying process in this manner can help you fulfil what your potential buyers are looking for while giving you the best asking price for your used car from the get-go.