Is Now a Good Time to Sell? Recent months have seen a surge in demand for second-hand cars, leading to higher asking prices due to a shortage of available vehicles. This increased demand means many car owners find themselves in a positive equity position, potentially making a profit from selling their used cars. However, this value boost doesn’t apply to every car, so it’s wise to get a free valuation to understand your car’s worth. Options include private sales or quick cash through services like Instant Offer.
Factors to Consider Before Selling Your Car:
- Depreciation:
- Cars start depreciating the moment they’re driven off the lot. Within the first year, a car can lose between 15% and 30% of its value, and up to 50% within the first three years.
- New cars depreciate faster than used ones, so if your car is new, it might be beneficial to hold onto it for a bit longer.
- Overall Condition:
- Sell your car while it’s in good condition. Regular maintenance and minor repairs can help maintain its value.
- Use a valuation tool to get an accurate estimate based on the car’s age, mileage, and condition.
- Mileage:
- Higher mileage typically reduces a car’s trade-in value. Selling between 40,000 and 70,000 miles is often ideal. Once mileage hits six digits, the value drops further.
- Plate Changes (March and September):
- New registration plates are released during these months, leading to higher demand for new cars and a potential decrease in used car sales.
- Seasonality:
- Convertibles sell better in spring and summer, while SUVs and 4x4s are more in demand during autumn and winter.
- School Holidays:
- Demand for cars can dip during school holidays as people are often away, potentially lowering the price you can get for your car.
- Outstanding Finance:
- Ensure any existing finance on the car is cleared before selling, as it’s illegal to sell a car with outstanding finance.
- Lifestyle Changes:
- Changes in personal circumstances, such as growing a family or moving house, can make it a good time to sell your car and buy one more suited to your needs.
Conclusion: The best time to sell your car depends on various factors, including market demand, your car’s condition, mileage, and personal circumstances. Evaluating these factors can help you decide whether now is the right time to sell or if you should wait for a more advantageous moment.
