When it comes to getting rid of your current vehicle, the two main options are trading it in or selling it. There are pros and cons to both options, but every circumstance is unique and should be dealt with in the way you think would be most beneficial. There are cases where owners would prefer to get cash by selling, but others may be more interested in trading-in to get another car. Take a look at the following to get a better understanding of whether you should trade or sell your vehicle.
When you sell a car versus trading it in, you will almost always get more money out of the deal. The money saved can go toward a number of things, but is usually used as a down payment for the next car. Another good thing about selling your car is that there are options for what channel you want to use. You can go back to the dealership you bought it at, use a different dealership completely, or take matters into your own hands and sell it yourself online or in person. However, there are some down sides to selling. It typically takes longer to sell a car, which can lead to a possible overlap of car payments if you can’t sell your old car quick enough. You will also have to go through more paperwork, be subject to taxes and have the responsibility to make sure the car is maintained and ready to drive without problems.
To save time and advertising costs, you can always trade in your vehicle at a local dealership. Once you go in and trade, you’re rid of all ties to your previous car. It’s easy, simple and you can walk away freely with a check in your pocket. Also, the taxes attached to selling a car are avoided, as well as the repairs that would have to be done in order to get it in “ready-to-drive” condition. Unlike selling your car, the worst thing about trading-in is the low amount of money received. It’s very rare to get a higher value by trading rather than selling. If you do try to get the price higher during a trade-in, the result is usually complicated negotiations. The salespeople at dealerships know how to get their way and few things can persuade them for a better deal. They are very experienced and are often very difficult to haggle with.
By applying these facts to your personal situation, you can determine which method will be best for you to get rid of your car. For even more guidance, refer to Kelley Blue Book to help with the valuation of your car or even Craigslist or Auto Trader to see what similar cars are selling for.
Always remember to be smart and safe when dealing with car trades and sales. It’s best to be alert, prepared and knowledgeable about your car and its value. To make an even smarter move, get an extended warranty with Warranty Direct. Not only will you be able to drive confidently with coverage that won’t let you down, the resale value of your vehicle will increase when you have extended warranty on the vehicle. It pays to be prepared!