Looking to buy a new car and trade an old one?
Trading in your current vehicle at a dealership can be an excellent way to get the old vehicle off of your hands, while paying a nominal sum for the new one. However, the old car needs to be in reasonably good condition and meet certain requirements, for you to get a lump sum.
On the other hand, dealers too need to contribute in a certain way to guarantee a quick trade-in process.
What You as the customer should do?
Prep the car for a trade-in
This process doesn’t mean you are simply selling it to the dealership and hoping to get the best possible sales price. However, one of the upsides is you typically don’t need to get the vehicle repaired first. It is the dealer who takes care of the refurbishing.
Here’s what you should do:
- Gather all documents related to the vehicle. You need to show that you have kept up with preventative maintenance, provide receipts on tires, brakes, etc., offer proof that necessary repairs were performed in case the vehicle was in an accident, and show that you have paid off existing loans.
- Spruce up the car. Give it a nice look inside and outside. Un-pair smart devices from the vehicle’s Bluetooth connection, and wipe off calling history. Don’t forget to clear out your home address and any destinations from the navigation system.
- Know your car’s value – Before heading in to the dealership, make sure you know the approximate trade-in value of your vehicle. Otherwise you have no way of knowing if you have got a good deal or lowball estimate.
- Don’t skimp on parking tickets – While dealers might take care of certain fixes, it doesn’t mean they will do so for unpaid parking tickets. It could prevent the title from being transferred. In some areas, unpaid parking tickets are turned over to collection agencies, who send people to collect payment from whomever owned the vehicle at the time of the infraction.
What do appraisers look at?
These are the following aspects that appraisers consider during trade in processes – here goes:
- Vehicle age – The value of a car gradually declines with age as newer models come out.
- Mileage – Estimates are generally based on 10 to 12 thousand miles every year. The value takes a hit if it is more than that.
- Ownership – Models with only one owner have more value. The vehicle history report is checked to verify number of owners.
- Condition of vehicle – If your vehicle is in decent condition, it will be worth more as a resale. But if serious repairs have to be done, it impacts the offer, as the dealer will have to pay for it.
- Matching tires – If all tires match and have good tread life left on them, it can positively affect the total value.
- Mechanical issues – The vehicle needs to run smoothly. If the appraiser suspects a problem, then a chunk of value will be knocked off.
- Options and add-ons – If the vehicle has several factory options, it is much more valuable than a base model of the same car. Appraisers look at equipment that you have added, and increase or decrease according to what they find.
What You as the dealer can do:
When it comes to trading in a vehicle, the biggest issue is car owners wondering if they have got a fair price. This is where evaluation plays an integral role.
Modera’s trade-in tool is one of the best in the market, as it lets salespeople capture each and every detail of the vehicle. To put it in a nutshell, helps to guarantee a quick and transparent trade in process. Thus, you can get a quick market-based value estimate, after all the factors have been taken into consideration. Integration is seamless, as vehicle details can be captured by simply inputting the vehicle registration number.
Here is what you can expect:
1. Don’t worry about repairs
Capture the wear and tear of the vehicle, and select installed equipment from a pre-defined list, which helps to hasten the process. Click clear images of damages that could affect the trade-in value. It helps to keep the car appraisal process more accurate.
2. Taking photos
Photos should be taken of the entire car, which includes both interior and exterior. Take pictures, so you can come up with an offer. Use desktop backend for a full trade in car appraisal.
3. Price calculation
As mentioned, evaluating the vehicle properly is of the utmost importance. This feature helps to compute purchase price after factoring in market value, sales days, depreciation, and so on.
4. Process paperwork
No more waiting for days, in order to get the paperwork processed. There are predefined templates that can be sent via email, which includes purchase proposal, evaluation act, and purchase agreement. It helps to reduce the time wasted in processing paperwork.
5. Notifications and chatting
Want to confer with your team? Use the internal built-in chat feature to talk and collaborate anytime you want. You can customize automatic notifications that keep the team appraised about every stage of each trade in process. You can also get a complete overview of the team’s trade in process, measure your trade in volumes, and identify areas of improvement.
As a dealer, you have to guarantee a convenient trade in process, and Modera is one of the best ways to accomplish this purpose. This is a multi-platform trade in solution that can help salespeople sell cars fast and close each deal successfully.
As you have already taken enough time to read this article, why don’t you request a “Trade In” demo or start a free trial here.
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