Buying a new car often means selling the old one. The used car market has evolved into a proper industry now with many big players in the market. The maximum amount you can get out of your car when selling depends on several factors. It is not just about bargaining and getting the right customer/agent, but rather about the car itself. There are certain cars which depreciate less over time while some have a greater depreciation value. Apart from the car itself, it comes down to the ownership and maintenance of the car too. But there are certain things you should avoid in the first place if you want a high resale value of your car. Here are then 10 things which you should not do in order to get a high resale value of your vehicle.
Loud Colours are a Strict No No!
Now buying the first car is like a dream come true for many people but if you plan to sell it later, stick to the default paint shades like silver/white/black. Buying a colour of your choice like pink or yellow may be your wish since long but get ready to see a drop in resale value because of that. Most of the used vehicle buyers look for neutral paint shades for obvious reasons. The buyer may want to get the car painted in their own choice which means a white car will be the best option or, as is the case mostly, does not like loud colours on the car. Various surveys and researches have shown that white/silver/black are the top paint choice globally. So if you want to sell your car after using it, get one in a neutral shade to avoid lower resale value and low buyer interest.
More Owners = Less Value
There is a saying in auto world that lesser the hands on steering, better the car is in the long run. This is quite true also because when many people use the vehicle extensively, chances of the vehicle being misused are higher, which means the resale value will be lower. Therefore, if you are buying a used car which you plan to sell at a later stage, avoid models which have had multiple owners in the past.
Skipping extended warranty cover
Purchasing an extra warranty cover at the time of getting a new car may seem like an unwise option if you plan to eventually sell it. However, the amount you invest now will certainly pay you good dividends. Not only will it help in keeping the car in good condition for years to come, it will also help in pushing the resale value of the vehicle up. A car with a warranty cover is preferred by used car buyers and the price of such cars is also comparatively higher.
Brands with poor after sales service leads to lesser value
You are in love with a car and buy it without bothering about the brand’s after sales service and other related issues. Fine, you followed your heart which is a good thing to do. However, this may not be the case with the person who wants to buy your car later on. Peace of mind is one of the biggest factors which a person wants when buying a new/used car and if a brand is associated with poor service standards and high maintenance, the resale value of the car will certainly be lower.
Brand image matters
At the time of selling your car, it does matter which brand’s car you own. A brand which has low overall sales and does not enjoy a good image, most probably its car will suffer from low resale value. Also, some brands have better reputation and admiration than other so naturally their cars enjoy a far better resale value. If you do have to get a vehicle from a less popular brand, you should be prepared to loose out more when it is time to sell the vehicle.
Adding more value to your vehicle in the form of modifications will not push it resale value up but will rather push it down. This is because such vehicles don’t really have a wide appeal and will not suit the preference of other buyers. Mods such as aftermarket ICE, power upgrades, larger rims and tyres, lowered suspension among others lower the resale value of your car. One way to get good value out of your modified car is to sell the car and mods separately. Another option is to find a like minded or enthusiast buyer who want the vehicle for the mods, but that is still a very niche market.
Rust is an indication off ill maintenance and rough usage of any vehicle. Simply put, rusting is bad for any product or item and cars are no exceptions. Even if a small panel is rusted, it may raise a red flag with the buyer leading to either a price drop or no sale of the vehicle. So make sure that there are no rusted bits on your car when its up for sale. Even if there are some, get those ares cleared of rust and ensure they are good again before selling.
No service history
Service history gives peace of mind to the buyer that the product he is buying has been well taken care of and has gotten the love and affection it deserves. It can also help the customer know what things have been changed and what would need changing in the future. Having no service history will surely lower the resale value of the vehicle.
A car which has been involved in an accident will definitely have a lower resale value. In fact, most of the accident case cars end up in the used market at throwaway prices. If your car gets damaged due to an accident and you do claim insurance for accident repairs, the resale value of the vehicle will surely take a hit. Keeping your car in a damaged state will also lower its value and so its best to avoid any such mishap from happening in the first place.
Insurance Policy affects resale value
The type of insurance cover your vehicle is having lends a big impact on its resale value. A bumper to bumper insurance will certainly help you get better resale value. It is true that policies can be switched even after buying the car, but this will require the vehicle to be inspected again. If you go for a bumper to bumper (full cover) insurance policy it will be good for both your peace of mind along with the resale value of the car.