Going in for trade-ins is one of the most unprofitable exchanges that you can ever think of. However, many of us have to resort to trading-in our cars because of financial reasons or simply because we want to get rid of our old car and get a new one. Before taking the decision to trade in your car, you should know for certain that dealers will never give you the market value for your car. In fact, if you ever plan to trade in, then even getting the actual wholesale value of your car is not going to be an easy task. Given below are a number of tips that should help you in getting the best deal when trading in your car:
· The first thing that you need to know before going to a dealer with your car is the actual market and trade-in value of your car. The Kelley Blue Book or the Edmunds guide will give you both the market value and the trade in value of your car. If you cannot find any of these around, then there are a number of websites that might be able to furnish you with this information. The trade in or wholesale value of your car is going to be considerably lesser than the market value of your car , but when you trade in your car, then you can never manage to get more than the wholesale value since this is how the market runs. If you can somehow manage to sell your car yourself for an amount nearer to the market price, then make sure that you do it to save a considerable amount of money that you would lose if you go for a trade in.
· While this is not really ethical, it is better to approach the dealer only as a customer instead of someone trying to negotiate a trade in first. This is because when dealers know that you want to trade in, they will not only depreciate the value of the car that you are trading in, they will also appreciate the value of the car that you want to buy from them. This way, dealers make a double profit on trade-ins since they know that a customer will buy only from someone who is ready to buy his or her car. But if you approach the dealer only as a customer, you will be able to negotiate a better rate for the car you want. Once you are satisfied with the price, talk about the trade-in. You might find many dealers backtracking on their earlier quote once you tell them you want to trade in!
· Never trade in at a dealership where you get your car serviced or one that is affiliated to your service station in any way. This is because no dealer would abstain from pulling out your service records and getting the dirt on your car if he or she can somehow manage it. By trading in at a dealership that might be able to get your service and repair records, you practically hand yourself to the wolves. All of us keep delaying car repairs and changes like tires and brake drums for as long as they last. But if your dealer can get hold of your service records that say you have been recommended certain replacements and repairs, he will be quick to depreciate the value of your vehicle further while quoting something like—“ apart from all the other repairs, I will also need to get the tires changed and you know how costly that is.”