We’ve Talked About Buying a Used Car.
What About Selling It?
How to take advantage of the used car market and get the most money for your used car
When it comes to financial investments, you've probably heard the phrase "buy low, sell high," but it also goes for that used car in your garage. Because of the global microchip scarcity, if you've been holding onto an automobile that hasn't seen much of the open road lately, there's a strong chance you'll get a decent return on it right now. The chip debacle wreaked havoc on the automotive sector, causing massive production delays and inventory reductions. As a result, dealers are more likely to spend more money on used cars and filling vacant lots, which is excellent news for you.
Why are used car prices rising due to a chip shortage?
COVID- Although limitations are being eased around the country, the pandemic is still wreaking havoc on the car industry. After several months of plant and dealership closures due to the pandemic, it seemed that the odds were once again in favor of the auto industry. Manufacturing resumed, dealerships reopened, and buyers waited in line to deposit their stimulus checks. Then came the COVID-induced semiconductor shortage, which caused even more chaos and inventory shortages.
According to Cars.com, new-car inventory fell by almost 15% between February and April, but how does this transfer to used cars? When new-car prices rise and inventories drop, customers turn to plan B: second hand cars. Consequently, as demand remained strong, used-car inventory shrank and prices climbed.
A quick look at used car prices
How much you can obtain for your used car is determined by a number of things. When selling or trading in a vehicle, the brand, age, mileage, condition, and features all have an impact on its worth. The demand for a particular vehicle type usually has an impact on its value. Pickup trucks and large SUVs, for example, are in great demand, whereas sedan demand is declining. Prices have risen across the board as a result of the pandemic's pent-up demand.
How to get the most money for your car
If you plan to sell or trade in your additional automobile in the coming weeks, you'll have a great chance of getting more money because used inventory is limited and demand is high. You can sell the automobile privately or at a dealership for a hassle-free experience.
It pays to look around for the best price when selling your car, just like you would when buying one. Compare offers from dealerships and don't be scared to bargain because specific inventory is in high demand among dealers.
Clean the exterior and interior of your vehicle, as well as minor faults, gather paperwork such as registration and service records, and locate additional keys or SD cards. Finally, double-check the terms of the sale and when you should expect money. When our editor-in-chief sold her additional car, it took nearly a week (and several nervous phone calls to the dealership manager) for her to receive a check.
If you've been putting off selling your additional car until now, your patience may pay off with a greater offer on your car. Take advantage of the current market conditions to clear some room in your garage and increase your bank account balance.