In the market for a new vehicle? Getting the most in trade-in value can put a dent in the amount you’ll need to finance, helping to lower your monthly payments.  Here are three steps you can take, starting now, to help you get a higher amount on a car trade-in.

1 Maintain your vehicle

Increase the potential value of your existing vehicle by properly maintaining it. This means taking your vehicle in for regularly scheduled maintenance and keeping records of all work done on your vehicle. Although it may seem pricey to keep up on regular oil and fluid changes and other maintenance work, it can save you in the long run. This is especially true when it comes to trading in your vehicle. Vehicle condition is a big factor when determining trade-in value. Proper maintenance and upkeep includes:

·      Regularly inspecting, rotating, and investing in new tires as needed

·      Routinely changing the oil and checking other vehicle fluids

·      Checking and replacing brakes as needed

·      Replacing windshield wipers

·      Changing the air filter

Caring for your vehicle with regular maintenance and upkeep and keeping it clean inside and out can not only save you on expensive repairs but can also help you get a higher trade-in amount. Be sure to keep detailed records of all work and maintenance performed on the vehicle. You can show the dealer all you’ve done to keep your vehicle in peak condition.

2 Determine the trade-in value of your vehicle 

You can determine an approximate trade-in value before you go to the dealership with a little online research. When searching with online tools, you will be asked various questions. They might include the make, model, year, VIN number, and vehicle mileage. This is just an estimate of the vehicle’s trade-in value, as every dealer is different, and the values are not guaranteed.  Here are sites that can provide you with your trade-in value.

Kelley Blue Book (KBB) - KBB provides you with a trade-in value based on your car’s condition and features. They specify it is “an estimate of what a consumer can reasonably expect to receive based on the style, condition, mileage, and options of the vehicle when they trade it in at a dealer.” It will also provide you with a private party value if you try to sell the vehicle on your own and a KBB instant cash offer.

Edmunds - Edmunds vehicle appraisal tool gives you an accurate price for your vehicle in as little as a minute. They calculate the vehicle value based on depreciation costs, dealer transactions, type of vehicle, and condition.

Consumer Reports - Consumer reports provide an easy online tool for finding trade-in and resale value. It also provides some tips for preparing to sell a used car.

Autotrader - Answer a few questions and Autotrader’s valuation tool will help you find the KBB value of your vehicle, as well as its worth to an individual buyer.

Carvana - Share some details about your vehicle and you’ll have an offer from Carvana in two minutes.

TrueCar - Similar to Carvana, TrueCar will provide you with the value of your vehicle and a cash offer within minutes.  

Using the tools above to see the difference between trade-in value and private party sales value can help you determine the best route for you. While some prefer the ease of trade-in at the dealership when purchasing a new vehicle, others may prefer doing the legwork to sell a vehicle and recoup a higher value.

3 Shop around for the best trade-in deal

Just like you’re shopping around for a great deal on a new vehicle, you can shop around for a deal on a trade-in. After you negotiate a price on a new vehicle, negotiate your trade-in separately. If you’re not happy with the offer, you can shop at another dealer to see if you can get a better deal. Use the information you’ve learned on the estimated trade-in value of your vehicle to strike a better deal.

Auto loans made easy

Spirit Financial Credit Union provides members with low auto loan rates and flexible terms for both new auto loans and auto loan refinancing. If you’ve worked to get the best deal on your trade-in and your new car, you’ll want to get the best deal on your auto loan as well.