When it’s time to buy a new car, the first step often involves selling your current vehicle. To ensure you get top dollar for it, it’s important to do things to retain your car’s value – and avoid things that can decrease it.
Want to ensure you get the most for your current vehicle when it’s time to sell or trade it in? We’ve outlined six things you should steer clear of in order to retain your car’s worth for years.
1. DON’T SLEEP ON VEHICLE MAINTENANCE
This might seem like an obvious tip, but many vehicle owners avoid keeping up with car maintenance. Failing to get your car serviced regularly can put your car at risk for significant issues, affecting both the look of your car and its reliability.
Follow your vehicle’s maintenance schedule, which you can find in the owner’s manual. This includes oil changes, tire rotation, inspections, fluid exchanges and belt replacements. It’s also a good idea to keep a vehicle history log that includes all the receipts for the maintenance you perform. This will give potential buyers confidence your car was truly cared for and is bound to last the test of time.
2. DON’T DO BAND-AID REPAIRS
Your car’s resale value isn’t determined by aesthetics alone – it’s important to remember that its structural integrity plays a big factor. If your vehicle has dents or scratches, painting over the damage as a band-aid fix isn’t enough because these types of issues are harmful to the structural soundness of your vehicle.
When appraisers determine the value of a vehicle, they will be guaranteed to be looking at any structural damage. It’s worth getting these types of issues repaired properly in order to keep its best resale value.
3. DON’T RACK UP THE KILOMETRES
The fewer kilometres on your vehicle, the more value it retains. If you can, limit your driving to only the necessary times. Consider buying a bike, walking or taking public transit to keep your kilometres low.
Another idea is to set up a carpool where you are the driver once a week and the other carpoolers take turns driving the other days. Yes, you’ll put on more kilometres shuttling around other people on your day, but the days you’re not driving should more than make up for that.
4. DON’T FORGET ABOUT PROTECTIVE MEASURES
Adding some protective measures to your car can help keep it in top shape and retain its resale value. Here are a few to try:
- A clear bra that covers the entire bumper and part of the hood/fenders to help prevent damage from rocks, bugs and other flying debris.
- Mud flaps to help prevent rocks and other harmful debris from reaching your vehicle.
- Frequent washes and waxes to help protect your car’s finish from bird droppings, bugs, dust and sun rays.
- Vehicle undercoating to prevent salt and other road chemicals from causing corrosion/rust on the undercarriage.
5. DON’T BUY BASED ON LOOKS ALONE
Some cars look extra luxurious, which you might correlate with having a high resale value. Unfortunately, this just isn’t true. In fact, some materials that make a car look fancy can actually have a negative impact on its resale value. Certain materials might look nice, but are actually cheap – and too much of it could affect the car’s value.
A car’s value is mainly based on its performance and not on the materials used to build it. That’s why it’s important to buy a reliable vehicle with good performance rather than one with a main bragging right of looking “luxurious”.
6. DON’T PAY MORE THAN YOU NEED TO
This tip is especially important if you’re in the market for a pre-owned vehicle. Remember that the amount you pay for your car can have a significant impact on its resale value. In other words, the more you pay for a vehicle, the less money you’ll be able to get for it when you eventually sell. Make sure you are researching and shopping around to find a vehicle with a fair price.
By avoiding these six things, you’ll be on the road to reaping the best possible resale value for your vehicle.
At Birchwood Credit, we’re committed to getting you in a new vehicle as fast as possible. We can help any type of credit situation including people who are new to Canada or those who recently went through bankruptcy. Fill out our online application to find a vehicle that works for your budget and lifestyle.