Car Depreciation Guide: How To Avoid Car Depreciation
Your car losing value is something nobody wants to happen, but it is usually unavoidable when buying and selling a car.
Continue reading to find tips on how you can avoid car depreciation so you know you are getting the most out of your car when you sell it.
What is Car Depreciation?
Car Depreciation is when your car loses value over time, so in most cases, the value of the car from when you bought it will have dropped when you go to sell it. Therefore, unless you have purchased a classic or a limited edition car in demand, you will likely lose value from your car.
7 Tips On How To Avoid Car Depreciation
Car depreciation is part of the process of owning a car, and there are many different factors that can contribute to your car losing value. We will explore how you can reduce depreciation and get the most out of your car.
1. Low Mileage
The more miles you drive in your car, the less it will be worth, so it is best to be mindful of how much you are driving your car. The average mileage is usually 10,000 miles per year, so keeping your average lower will make your vehicle’s value worth more than the average.
2. Regular Servicing and Maintenance
Regular servicing and maintenance are essential as they will reassure a buyer that the car has been looked after. We recommend keeping hold of any receipts you have, as this can prove to a buyer that the car has been looked after correctly.
3. Avoid Adding Modifications
Modifications can be costly and increase the chances of your car losing value. It is less likely that many people will be looking for a modified vehicle, reducing the value of your car. When people are looking to buy a second-hand car, they usually try to find one as close to the original car as possible.
4. Regular Cleaning
Cleaning your car regularly will keep it looking in the best condition possible. If you clean your car yourself, avoid using brushes or old sponges, as they can scratch the paint. Instead, apply wax or sealant as this is a great way to preserve your car’s paint. Another way to look after the paint is to remove bird droppings as soon as possible, as they can easily damage your paint.
5. Sell At The Right Time Of Year
By selling your car at the right time of year, you can sell your car for a higher price depending on the type and the time of year. For example, convertibles will sell for more during the summer and 4×4 in the wintertime.
6. Avoid Brand New Cars
Purchasing a new car will lose up to 60% of its value within the first three years of ownership. This is why it is better to buy a used car because as soon as you drive a new car, you will lose money on it.
7. Buy A Popular Coloured Car
When buying a car, you should go for a popular colour as this is more likely to appeal to potential buyers when you go to sell your car.
Keep Your Car in Great Condition
At Walker Cutting, we have a range of different services available to keep your car in top condition, so you can reduce the rate of car depreciation. If you have any questions, contact us here, and an experienced technician will be in touch.