According to studies, a new car can lose as much as 11 percent of its value after you drive it off the lot. After the first year, it’s suddenly lost 30 percent of its original price. Fortunately, there are ways to counteract this depreciation. By following a few simple tips, you can cut your losses when you decide to sell or trade in your vehicle and even boost the value of your car. Here’s how to do it.
Reduce the Mileage
Even if your current car is for everyday use, you can improve its value by leaving it in the driveway in certain scenarios. For example, consider walking or riding a bike to a destination if it’s only a short distance away. Not only will you get some exercise and fresh air, but you’ll also reduce the miles on the odometer. The fewer miles your car has, the more value it will have in the future.
Keep Up With Maintenance
Whether it’s an oil change, tire rotation, or a tuneup, your car needs routine maintenance to increase its lifespan and performance. When you take proper care of your vehicle, it tends to run more efficiently, adding value to the price of the car. However, there is a break-even point to consider. Older model cars might need more complex mechanical work, so it’s important to weigh if these repairs will end up costing you more.
If doing a $500 repair equates to an increase in the value of $600, getting the job done is a no-brainer. If it’s the opposite, you might just alert a potential buyer to the problem, sell it, and let them deal with it. Either way, you should do everything in your power to keep up with preventive maintenance to avoid major problems down the road.
Document Everything
In an ideal world, a dealer or private buyer could take you at your word when it comes to the maintenance on your car. Unfortunately, devious, dishonest sellers have sullied the market and made others doubtful when they purchase a vehicle. That’s why it’s important to document everything.
Every oil change, major repair, alignment fix, tire rotation, and other repairs should have a receipt detailing the work done and the date. However, don’t expect to recoup all the money on repairs, especially on older vehicles. For the sake of easy selling, a Carfax report will put the buyer’s mind at ease, particularly if your car hasn’t been involved in an accident.
Detailing
Industry experts state that cleaning your car at least every two weeks will protect the interior and exterior of your car from many forms of wear and tear. Washing the exterior can remove the salt, dirt, and grime that cause corrosion while detailing the inside can keep the cabin in like-new condition. If possible, wax your car at least three times a year to create a luster that catches a buyer’s eye.
A car isn’t just to get from Point A to Point B. It’s an investment. Protect your investment today, and you can reap the benefits of your hard work later on.
Image via chrysler.com licensed via CC BY 2.0
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