Every driver knows buying a car can be a nerve-racking experience, but it seems to come as a surprise to many car owners, just how frustrating the process of selling a car can be.
There’s certainly many ways you can sell your car, particularly now with so much capability online, but this doesn’t make it much easier.
Figuring out the value of your car is the first step in the journey, and a very important one. That’s why we’re put together for you, The Ultimate Car Valuation Guide, so you can make sure you know exactly how much your car is worth, and get the right price for it.
Overestimating the value of your car can lead to lengthy delays in sale, and in some cases, no sale at all. Whereas undervaluing means someone gets a bargain, and it isn’t you!
Trying to decide between agreed or market value when buying insurance and trying to calculate your car’s market value and depreciation rate when looking to sell is a lot of work for one person.
That’s why at CarBuyers, we streamline this process by sending an expert directly to you, who can help you with a valuation of your vehicle.
But in the meantime, if you’re looking to figure it all out for yourself, we’re here to make it easier for you with The Ultimate Car Valuation Guide.
How do I find the Market Value of my Car?
So you have a car you want to sell? Great!
But of course you’re wondering, how much do I sell it for?
Luckily for you, we’re here to help.
The first thing you want to do is to research cars with the same make and model as yours. To best understand your car’s market value, you want to find cars which have travelled similar kilometres as yours, are from the same year and have similar service histories.
You also want to evaluate your car’s condition, as a car that has been well maintained and has less kilometres is likely to fetch more money. If your car has been in an accident that has caused damage or has recurring mechanical problems, these could severely lower your car’s market value.
Therefore, it’s a good idea to service your car before selling it so that any issues that may limit the car’s value can be fixed. If there are any serious problems, it’s certainly a good idea to visit a mechanic so that repairs can be done.
If this is all too much work or confusion, there’s sales managers at dealerships you can pay a fee to evaluate your car and determine its exact market value. These are experts in their field who will inspect your car and weigh it against other cars with the same make and model and similar histories, saving you the headache of having to do this yourself.
If you want a company who can quickly inspect your car and buy it from you with same day payment, get a quote from us today.
How do you Determine the Market Value of a Used Car?
Kilometres, condition and service history vary widely between cars, so it can be tricky to find the market value of a used car, especially if you’ve never done so before.
As our car experts have extensive experience in assessing the value of vehicles, they can ascertain the value of a vehicle within a few minutes usually.
You can use the valuation request from on our website to get a valuation of your car by providing just a few simple details.
By inputting the details of your car’s make, model, year of manufacture and variant into the form on our website, along with the body type, kilometres on the odometer, and other car details, you’ll be able to get an accurate valuation almost instantly.
However, if you’re trying to get an idea of the value for yourself before talking to CarBuyers, it’s time to put your detective cap on!
We don’t recommend this as your only method, as we take car value assessments very seriously and we’re proud of our expertise, but we can give you a few tips to help you out.
You can start the process by taking a look at cars for sale online. You can find a rough estimate of how much a car sells for based on its condition by reading the bios for cars on websites and looking at the images and then comparing the cars in worse shape to the cars in better shape and their market value.
Of course, if you want to sell a used car for a higher price, you’ll want it to have up to date service and to be free of mechanical defects.
It’s also a good idea to look for cars of your make and model with similar features to yours, for example if your car has an automatic transmission or runs on diesel, you want to be searching for cars with similar features.
Keep in mind, what people are selling their car for online and what they actually get for it are two different things, so don’t use this method as the be all and end all.
If you want to save yourself the hassle of trying to find your car’s market value yourself and instead want a company who can inspect and offer to buy your car with same day payment, get a quote from us today.
Which Car Valuation Site is Most Accurate?
So you’ve decided to get an evaluation online, great! But the tricky part comes when trying to figure out which car valuation site is most accurate.
No one wants to spend endless time providing the details of their car only to get a general answer which may be inaccurate, so it’s important to look for a reputable website, with an online valuation form that has the right questions.
A decent valuation form should have at least the following:
- Location
- Make
- Model
- Body Type
- Transmission Type
- Kilometres
And while online tools have made determining a used car’s value easier than ever, specialist vehicles, individual circumstances, and market fluctuation need to be taken into consideration also.
There’s not a lot of cases where a quick valuation will be more useful than an accurate one, so if you need to add comments about your car or speak to a professional, this might be well worth it in the long run.
Have you used a car valuation site to compare your car to others but are still unsure of your car’s market value? Get a quote from us today.
Is it Better to Insure your Car at Market Value or Agreed Value?
You may have come across the terms market value and agreed value while looking for car insurance. Getting into the technicalities of these terms is a pretty dreary endeavour, however we can summarise what they mean and whether it’s better to insure your car at market value or agreed value.
- Market Value – This means that the insurance pay out you would get is the value of your car on the open market. Your car’s age, kilometres and condition before the accident are taken into consideration, so the payout will not be the same as the value of your car when new.
The payout is determined by your insurance company using publications or the industry guide. The premiums are generally lower than when insuring at agreed value, meaning you’ll pay less for your insurance.
- Agreed Value – This is an amount you have decided with your insurance company that will be paid out in the event of an accident.
Premiums will typically be higher, owing to the fact that most people go for agreed value to be paid a higher amount than market value.
So, this leaves us with the question…
Market Value or Agreed Value?
There is no definitive black and white answer to this question, but we can help you make an educated choice.
If you have an older car, it’s probably best to get market value insurance because as your car isn’t worth as much as a newer car, the insurance payout will usually be enough to cover the cost.
If you have a new car, or a car that has been modified, it’s probably best to get agreed value insurance because new cars depreciate in value rapidly and market value insurance doesn’t take into account the costs of modifications.
Does Agreed Value Depreciate?
Luckily for those with pricier cars, agreed value insurance does not depreciate. As it is a set amount agreed on between you and your insurance company, the insurance company has to pay the amount you agreed on in the event of an accident.
A word of warning though, read through your insurance companies’ policy carefully, as at renewal time some companies will automatically revert you to market value. You can fix this by getting in contact with your insurance company and saying you want to stay under agreed value.
How much do Cars Depreciate per Year?
There isn’t really a specific answer to this question, it depends on a whole host of factors, such as your car’s age and make and model, as well as general market performance.
However we can provide you with reasons as to why cars depreciate and how to calculate your car’s depreciation rate.
A car’s make and model can contribute to the depreciation rate.
Car models that are less popular due to lower quality and reliability may depreciate rapidly as there is less demand for them.
For example, it’s often pointed out that BMWs depreciate at a very high rate. This is because BMWs use biodegradable rubber which wears out much faster than synthetic rubber, meaning BMWs need constant maintenance.
As has been stated previously, your car’s kilometres and state of condition have a huge impact on market value. A car that has been driven more is worth less as it is more likely to break down, something to keep in mind when trying to sell older cars. It’s also very important to service your car as if your car has lived a rough life it’s going to depreciate faster.
In order to calculate your car’s rate of depreciation, find the value of your car when new and the approximate value of your car today, which as previously mentioned can be found through car valuation sites or by getting a car evaluation.
Take these two values and find the difference between them, then divide this number with the new car value and multiply it by 100.
For example, $40,500 (new car) – $23,600 (car today) = $16,900
Then $16,900 / $40,500 x 100 = 41.73%
If you want to find how much your car is currently worth and don’t want to bother with the maths, get a quote from us today.
Can you Look Up a Car’s Value by its Vehicle Identification Number (VIN)?
A VIN is a unique serial number used to identify vehicles. While the VIN can’t be used to find the specific value of a car, by searching up a VIN on a vehicle history website you’ll get information that can help you estimate the value.
This information consists of accident history as well reports on if the car has extensive mileage or wear and tear, giving you an idea on what the car is worth.
Considering Selling Your Vehicle?
Selling your car doesn’t have to be such a complicated and arduous process, there are ways to make it much easier.
An accurate valuation is going to make selling your car a much easier process and ensures that you walk away with the right amount of cash for your car.
For the easiest car valuation in Australia and the best price, sell to CarBuyers.
