Cars can depreciate in value as soon as they leave the dealership. Here are a few useful tips to help minimise further depreciation – starting before you’ve even bought your new car.
If you think you might sell your new car within a few years, keep its resale value in mind from the very beginning.
Model: Do your research on which models hold their value. While the brand’s reputation for quality and reliability will obviously impact your resale value, you may be surprised by other factors that come into play. For example, models bought in large numbers by rental operators can have lower resale value.
Colour: Colour can play a big part in the sale of your car. Black, white and silver are the safest options if you want a quick sale.
Black exudes style and has proven to be timeless, while white has the highest visibility on the roads and gets the safety vote. Colours like pink, purple and orange might reflect your personality and attract attention, but it may take longer to find a buyer with similar tastes.
Warranty: Look into the fine print of the car’s warranty. In most cases, the warranty will be based on the vehicle identification number (VIN), not the owner, which means the new owner can access the warranty after resale. This signals the manufacturer is confident in the quality of the car.
Taking care of your car will keep its value up.
Have it serviced by a reputable mechanic who will update and stamp your logbook, providing proof of how well you’ve looked after it.
Keep it in a garage if possible. If you can’t, be conscious of where you park it. There’s a reason the car space under the fig tree is always empty.
Wash and clean it regularly. Astute buyers can tell the difference between a car that has been regularly attended to and one that has had a last minute makeover.
Having the car professionally detailed and steam cleaned before selling can add hundreds or thousands to the selling price.
Try to sell before the car clocks over 100,000km – or before the end of your new car warranty. If you’re selling privately, that warranty can provide valuable peace of mind.
Before selling or buying your new car, it’s important to consult a professional about your car buying options. Speak to the experts at HIA Vehicles today on 1300 650 776 to be confident you’re getting a good deal.
Vehicle and asset finance, sourcing and other services are provided by Macquarie Leasing Pty Ltd ABN 38 002 674 982 (Australian Credit Licence 394925) (Macquarie Leasing). HIA Vehicles is a registered trading name and business name of Housing Industry Association Limited ACN 004 631 752, and Macquarie Leasing is licensed to use such name and other trademarks.
Any information or advice contained in this article is general in nature, is not an expression of opinion or recommendation, and has been prepared without taking into account your objectives, financial situation or needs. Before acting on any information or advice in this article, you should consider the appropriateness of it (and any relevant product) having regard to your circumstances and, if a current offer document is available, read the offer document before acquiring products named in this article. You should also seek independent financial, accounting and tax advice prior to acquiring a financial product.