If you want to get the best value on your car trade-in, you need to be ready to negotiate. Most likely you will be trading in your vehicle at a dealership in order to purchase a new car. Dealing with a dealership to trade-in your car can be far less time-consuming than selling your vehicle privately.

It is pretty convenient to trade-in your car to buy a new one. Unfortunately, it is not as easy as one may think. Dealerships are experts at flipping numbers in their favor in order to get the most money from your new car purchase.

This makes knowing more about trading in a car critical. Let’s say you have a current car loan on a BMW. A dealer may only offer you half of what your BMW is worth. The extra will be added to the price tag of the new BMW you want to buy.

Then you need to consider down payments, service plans, and warranties offered by the dealer, which could be even more pricey. But if you do your homework, you have more choices like BMW extended warranty options.

This is how complicated trading your car in can be. To help, we compiled 4 essential car trade-in tips to get you the best value. Let’s dive in!

1. Trade Your Car In At The Right Time

There is actually a time to trade in your car, and a time to not. This oftens depends on where you live and the time of the year. For instance, if you live in the Pacific Northwest, a convertible BMW trade-in may not be valued as much at the beginning of fall or winter. This is simply due to the lack of buyers for that type of car in the coming seasons.

However, if you have an all-wheel drive Subaru trade-in in the same area, any time of year will be good for trading it in for the best value. Knowing the best times of the year to make the trade is very important.

2. Do Your Homework On The Car’s Value

Another essential car trade-in tip to get the best value is doing your homework. You need to remember that dealerships are businesses, and they will most likely want to get the best value for the company. Do not go to a dealership unprepared.

There are a number of online sites that will give you the trade-in value of your car. Kelley Blue Book trade-in calculator is one of the most popular. But there are others, such as Edmunds.com and AutoTrader. Use as many sites as you can to get a well-rounded number for your trade-in.

Another tip when it comes to doing your homework on your car’s trade-in value is to use the dealership’s website. Most dealers have an online trade-in calculator you can use to your advantage. You should also do this on competing dealership sites to play them against one another for the best trade-in value.

3. Have Updated Service Records Handy

Service records are all the receipts and invoices for vehicle maintenance, oil changes, repairs, and more. They are essential tools to have handy when negotiating the trade-in value of your car with a dealer representative.

Compile all your records and organize them. You can also create a maintenance timeline cover sheet to make it easy for the dealer to scan and give you a better quote on your car.

4. Negotiate Value Separately To Get The Best Deal

This essential car trade-in tip can be very critical to getting the best price on your new car, and the best price on your trade-in. The main goal is to negotiate each separately. But this is definitely easier said than done.

Dealerships will try their best to combine as much as possible, often making the deal in their favor. Don’t let them. First, negotiate your trade-in, because this may be your down payment, or have an impact on how much is added to the new car price tag if you still owe money on your trade-in.

Once you have the trade-in value locked in, negotiate the new car’s price. Do your research on how much the car is worth, and be firm on what you want. Don’t be afraid to walk out of the dealership if the dealer says they can’t meet your demands. You will most likely get a call from them after you leave.

Wrapping Up . . .

The above trade-in tips for your next car purchase are only the tip of the iceberg. The above are among the top tips to get the best value on your car trade-in, but there are more to consider. If it’s time to trade your car in for a new one, do your homework and go into the negotiation prepared.

By Steve Barker

Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.

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