You’ve decided you’re fed up with your car and want to sell it. How do you know you are selling your car at the right time to get the best price? By selling now are you settling for less in the interest of a quick sale? Would it be best to wait until the warranty runs out?
Most of the experts say that there is no definite rule about timing when selling a car. Nobody has ever come up with a formula that you can apply to determine the ‘ideal’ age of a car to sell when depreciation and value combine to the optimal level. Despite this, there are three important factors to consider.
Generally, after the first nine months, a new car’s depreciation will level out; so it’s a case of balancing this with your own personal goals. You want to get the best price available, which means selling the car before it gets too old, but is it convenient to do that now? Do you have the time? and have you identified the replacement car that you want? Do you have to sell now because of persistent faults or can you wait?
A car’s susceptibility to problems is a factor. Failure rates have been studied and the findings make interesting reading. Warranty Direct examined vehicle reliability and found that the peak failure rate for cars is usually at around five years and about 60,000 miles. Leaving a sale beyond these benchmarks becomes a risky move.
Finally, there is the state of the car market to consider. There will be a flood of some models onto the market because of reasons beyond your control – like batches of vehicles that are sold on from rental companies for instance. This surplus makes it a poor time to sell a vehicle of the same model. You will only know this is the case by the lower valuations you receive and you may never know the reason why.
If you are selling a car and looking for a tried and tested formula you may be disappointed, but considering the three points above will help you be successful. Car Brisbane pays cash on the spot for almost any vehicle.