How do I get the most money for my trade?

1.                Purpose – Information so that you can get the highest valuation of your trade-in

2.                Consumer and Professional Guides

3.                Deductions

4.                Actual Market Value

5.                How to get the Maximum Value for your Trade

6.                How do I get my trade-in appraised

7.                Some questions to help determine the true value of your trade

Purpose – Information so that you can get the highest valuation of your trade-in back to list

In all of our years of experience, we have learned that one of the most difficult items for a customer to understand is the trade-in process. After owning a vehicle for a number of years or even a short period of time, customers often times have strong feelings about the value of their vehicle. Our goal is for you to have all of the information available to you so that you are best able to understand the trade-in process and all of the factors that go into valuing your vehicle. We provide this information to you in order keep you satisfied, correctly set your expectations for the process, educate you on how dealerships value trades, and above all, help you ensure that you get the highest possible value for your trade-in.

Consumer and Professional Guides back to list

Most consumers are familiar with consumer guides that estimate trade-in values. Companies such as Kelly Blue Book, Black Book and others exist in the marketplace and are great guides for the benchmark value of a trade-in.

These guides give the maximum value for a vehicle, and generally assume that it is in perfect condition. The values then have to be adjusted by our professional appraisers who adjust the price – both up and down – depending on market conditions, demand on the particular vehicle, inspection costs and necessary reconditioning and safety repairs.

Deductions back to list

Our professional appraisers value hundreds of cars every month and also attend statewide auctions where they buy and sell pre-owned vehicles. Any vehicles that are brought to these auctions are required to be in good condition and inspected in order to attain the appropriate values for the vehicles.

Market Conditions

Market conditions are influential on the value of a trade.  If the market is flooded with a particular type of vehicle, and supply is much higher than demand, meaning that they are very difficult to sell, the value may be lower than stated in a guide. On the other hand, if the vehicle is in high demand, and other dealers will pay premiums to buy the vehicle, the actual value of the trade may be higher than stated in a guide. In addition, transmission type (manual vs. automatic) and color in some markets may have a significant impact on the value of a vehicle. Even gas prices impact the value of vehicles with V-8 engines (i.e. gas guzzlers).

Inspection, Reconditioning, Safety and Repair Expenses

We require every vehicle that comes into our dealership to be inspected by our used car managers, not the sales consultants. In addition to allowing us to make a proper valuation of the vehicle, whether we are keeping the vehicle on our lot to sell as a pre-owned vehicle, or sending it to the auction, the inspection is a mandatory step. We are committed to making sure that every vehicle on our lot is inspected and repaired to an appropriate condition. 

From the inspection, we determine the amount of work required on each vehicle. Some vehicles require safety repairs (e.g. brakes, cracked glass, etc.). Some require reconditioning (e.g. hoses, belts, tune-ups, shocks, etc.). Others require body work or other cosmetic repairs. Most require a basic maintenance service. All of these repairs incur costs for the dealership that the customer does not normally see.

Actual Market Value back to list

The maximum market value of a trade-in vehicle normally starts at the “average” value provided by the guide. Depending on the current market conditions and the results of the inspection and corresponding reconditioning, safety and repair expenses necessary on the vehicle, our professional appraisers determine the actual market value of the vehicle.

How to Get the Maximum Actual Market Value for your Trade back to list

Essentially, the maximum actual market value of a trade-in vehicle starts at the value provided by the guide that is used in the market in which the vehicle is being traded. In Northern Indiana, the majority of dealers use a Black Book guide and start their valuation at average book value and adjust from that value. Depending on the current market conditions and the results of the inspection, corresponding requirements for reconditioning, safety and repair items will dictate adjustments to that value.

If the vehicle cannot be retailed due to its age (over 5 years old), previous bodywork or excessive mileage, the appraiser will generally use the rough book price as a starting price. 

Keep in mind that the real value of your appraisal – the “acid test” - is what the dealer actually gives you for the vehicle, not what is “promised” over the phone. Dealers pay their professional in-house appraisers very high salaries in order to properly evaluate the value of cars, and this is a skill that is STILL not common or easily gained within the automotive industry

In order for you to get maximum value, you are best off by providing as much information to your sales consultant so that he or she can alert the appraiser to significant aspects of the vehicle. If you have been in any accidents it is important to mention them. Also, if you have records of your most recently completed service visits and repairs, knowledge of these records may prevent the appraiser from assessing an unnecessary maintenance requirement adjustment. 

We want you to be a happy and satisfied customer, and our feeling is that in order to help you to this level, we have an obligation to provide you with as much information as possible. We look forward to seeing you during your visit.

How Do I Get My Trade-In Appraised?  back to list

Getting an objective appraisal ensures you get the greatest dollar amount for your trade-in. That is why our dealership has a professional trade-in appraisal process on site to save you the time and money of finding a separate appraisal service. We can have your trade-in appraised while you are looking at new vehicles and working with your sales consultant to determine your next vehicle. During this process, you can discuss likes and dislikes about your present vehicle. The conversation with your sales consultant will help him or her find the new vehicle that is right for you. With the right information about your needs and wants, your sales consultant can focus on vehicles that fit your needs and we can make maximum use of your precious time with us.

Here are some basic questions that will help you determine the true value of your trade: back to list

• Has my car ever been painted?
• Has my car ever had flood damage?
• Has my car ever been in an accident?
• What is the tread depth on my tires?
• Do all four of my tires match?
• Do all components of my car, both mechanical & electrical, work in accordance with manufacturer specifications?