Although there are many items that increase in value as time passes, a vehicle is not one of them. In fact, according to estimates from Edmunds, a new vehicle will already lose 20 percent of its value the moment it is driven off the lot. However, by keeping your car in decent condition and wisely allocating related expenses, you can improve the resale value for your vehicle and hold on to it longer.
Check your VIN report
A VIN (Vehicle Identification Number) report is the first record that a potential car buyer will usually pull, sometimes before even looking at the actual car. This document will reveal the car’s entire history, such as any owners, servicing and maintenance, accidents, and so on. Many dealers will automatically update the VIN report when they service a car. By checking the VIN report on a regular basis, you can ensure that it shows your car’s entire history and doesn’t add any false information. If you notice anything strange prior to deciding to sell your car, you can do something about it before a potential buyer views the report.
Keep up with your car’s appearance
When it comes to selling a car, appearance is often the first thing that people will notice. Even by getting your car washed prior to selling it, you can add hundreds of dollars to its value.
Keep an eye on the mileage
The amount of miles that a car has should be appropriate for its age. So if you have a fairly new vehicle with a lot of miles, this will usually hurt the value of your vehicle when you try to re-sell it. The U.S. Department of Transportation has reported that the estimated mileage average for a car is 13,500 miles yearly. Driving less than the average annual amount will usually cause your car’s value to depreciate at a much slower rate.
Do routine checkups and maintenance
This is absolutely essential to maintain a well-running vehicle. Regular oil changes every 5,000—10,000 miles, checking the tire pressure, replacing air filters, and other much-needed services are all things that shouldn’t be ignored. Failing to keep up with regular car maintenance can result in much costlier problems down the road, and can greatly affect the overall value of your car.
Think carefully about extra purchases
Adding pricey add-ons to a vehicle, such as a GPS system or an expensive stereo system, is not a guarantee to increase your car’s value. Something that you might want on a vehicle may not be what the next buyer wants or is willing to pay extra for. That’s not to say you should avoid these purchases altogether, just think about them carefully first.
Keep records of everything
Maintaining records of all maintenance and repairs can be helpful in the future when you sell your car and want to prove how often you maintained the car while it has been in your possession.
If you’re looking to purchase a new car, and you need cash now, Peachtree Financial Solutions can help if you’re the recipient of structured settlement payments. At Peachtree Financial Solutions, we can handle an annuity payment purchase transaction for you, which will give you money now instead of having to wait for it. The money you receive from an annuity payment purchase transaction can be used to help pay for your new car.
Alternatively, if you have a car that you plan on trading in as a down payment toward your new purchase, Peachtree Financial Solutions can get you the money to need to make any necessary repairs to your car prior to trading it in. Contact us today to learn more and to receive your free quote.
Nothing above is meant to provide financial or tax advice. You should meet with appropriate professionals for such services.