What is my car worth? How to answer this question by yourself
Blog

What is my car worth? How to answer this question by yourself

Who can answer the question “What is my car worth?”

When it comes to a new car, any pricing professional will be quick to answer the question “What is my car worth?” and will calculate the price for which it needs to be sold at a given margin. A car has a specific price, taxes cost so much, transportation costs so much, etc. By the same principle, you can calculate the cost of absolutely any new product.

But what about the backed goods? You probably have a TV, stove, vacuum cleaner, microwave oven, sofa, etc. in your house. Can you tell me how much this product is worth at this particular moment in this particular condition?

I don’t think so. After all, a supported product has no price as such. It can be sold for exactly as much as the found buyer will be ready to buy it. And only this amount can be equated to the price for this product.

But let’s see what influences the formation of the price of a supported car?

What affects the cost of a used car?

To answer the question “What is my car worth?” – first thing you should consider is demand. And this is the key factor. There are a number of cars that cost a lot, but they are also called disposable. Why? Because because of the price, the demand for them, and even more so in a maintained condition, is very, very limited. Take Maserati for example. The Grancabrio sport model will cost you 157 thousand euros today. But if, having bought it today, you try to sell it tomorrow, you will hardly be able to help out even a hundred thousand.

What is my car worth? How to answer this question by yourself
What is my car worth?

And all this in just 1 day! The sale of such a car can take years, and the proceeds will be negligible compared to the money invested. There is no demand, as a result, the price for such a supported car will be significantly lower than the price of the salon.

And so absolutely with every car. There is demand – the price for the seller will be more interesting, if there is no demand – there is no good price.

Well, suppose the car is popular and there is a demand for it. What else affects its maintained price?

More equipment and condition of the car. And also its color. I would say “harmony” of these components. For example, if a car in the price range starts from $ 5,000, the buyer will want to buy such a car with only air conditioning.

It is very difficult to sell a red car on a mechanic, because this color is more suitable for women, and women, in turn, prefer an automatic transmission. Of course, all of these factors, again, affect the demand for that particular model in that particular trim. But here fluctuations in price will no longer be so noticeable.

What is my car worth? How to answer this question by yourself

And during what period does the car lose the most in value? In the early years or evenly every year?

Cars lose a lot in value in the first year. Losses can range from 20 to 40%, and sometimes even more. The more expensive a car is, the more it will lose in percentage terms already in the first year of its “life”.

But why? Isn’t it new?

Right. It’s new. It is still covered by a guarantee, etc. But it will be difficult for you to find a buyer who would be willing to buy it at a lower discount. After all, then with a small surcharge, you can go to the salon and buy a new such car and enjoy the fact that you are the first and only one who drives it. He agrees that you are not the first and not the only one, but if you understand that the price is worth it.

And if you take the following years? Is there the same sharp decline in value?

No, from the second year the drop is not so noticeable. As a rule, further the price falls more or less evenly, but when the car gets older than 10 years, the price drops again. After all, each car has its own resource. Trucks, especially those that have been in commercial use, experience this second significant drop in value earlier.

In terms of the above, it is very interesting to observe the picture when in December cars that will become ten years old from January 1 are very actively sold.

How to find out the cost of a used car? See similar cars on specialized sites?

Of course, you can see the cost on websites, you can go to the car market. But do not forget that the prices presented there are desired prices, not real ones. These are the prices for which sellers want to sell their cars. But this does not mean at all that they are ready to buy at these prices.

What is my car worth? How to answer this question by yourself

From our practice, all sellers, without exception, ultimately lower the price. Usually 10-20%. Rarely, when less, if the seller initially set a relatively low price in a desire to sell the car faster, but sometimes sellers reduce the price by 40 or 50%.

From the above, as I understand it, the used price simply does not exist?

Why doesn’t it exist? Cars are bought and sold. Buyers receive money. So there is a price. It is the most truthful. But the real prices of such transactions are not really fixed anywhere and it is impossible to get any statistics.

But, as mentioned earlier, the price depends on demand, on price offers at a given moment in time for this particular car. That is why our service is unique in that you can immediately show this particular car to hundreds of real buyers-dealers and find out how much they are ready to buy a car for.

Is it possible to take part in your auction out of “sports interest”? Just too learn what is my car worth

It is also possible for the sake of sports interest. Nobody will force you to sell a car at the offered price. This offer, you have the right to refuse it if for some reason it does not suit you, or it is simply not the time for such an offer. Moreover, it is absolutely free. I, as a car owner, would take part in such an auction at least once every six months, if only to understand how much my “property” is worth. I do not know of any other, more truthful assessment options.

Is it always possible to get a price at an auction?

Always, no exceptions. There is always a price for a car. Even for the most irrelevant model at the auction, there are always at least 5 offers from dealers from which you can choose the best and sell your car.

Add a comment