How do you get the most out of trading in your car?

Buyers get so excited at the prospect of buying a new car that they often overlook what they’ll do with the old car.

If the car is something that your friends ogle and strangers admire, then you might own a piece of property that is going to attract the eye of a valuer looking for a nice trade-in. Such a car could earn you a better return if sold privately, but if you're in a hurry to sell, trading the car on a new one is a convenient means of killing two birds with the one stone: selling one car and buying another in the same transaction.

Any dealer that sells a particular brand of new car loves to have a good selection of that brands on site as used vehicles to offer prospective buyers who for various reasons don't qualify to own a new one.

If your vehicle is under five years old and you are its only owner – or at worst one of only a couple – you do stand an excellent chance of having it accepted by the dealer as a trade-in, particularly if it's roadworthy and has a full service history as well. That makes it a very good candidate for a successful private sale too, but you could spend days waiting for that elusive phone call from a buyer in the market for a car like yours.

To do the best deal, the car you intend to buy needs to be brand new or at least a low-kilometre 'demo'. If it is a model being bonused by the importer or 'run out' prior to arrival of a newer version the changeover price should be better still.

Sometimes people need to switch to a different style of vehicle quickly and the used car they offer a dealer in exchange for something more practical might make the valuer's eyes gleam with joy. That's why they wear the tinted glasses. Automotive industry valuers are highly experienced though, and acquire a disinterested demeanour that make seasoned poker players look emotional, even when confronted with a car that in the trade is described as a 'peach'.

The trade-in price offered first will never be their best offer. Unless you can hear your flight number being called, it is always worthwhile giving yourself a bit of time to 'shop around' before accepting whatever 'allowance' a dealer who is keen for your business will offer.

Do some research using on-line sales sites and Red Book's very useful Valuation Report. Decide on the minimum you want for your car and what you will pay for a replacement. Whoever comes closest to matching those figures should get your business.

After checking out the difference in trade-in price (wholesale) and 'good retail price' in RedBook, you may reconsider the option to sell privately. Seeing a private sale through to the end may be time-consuming, but apart from the extra cash from selling your car privately, you'll also do a better deal on a new car if you're not trading an old one.

But if you still prefer to sell your current car to the dealer in exchange for a new one, make every post a winning post. Before heading off to the dealership to negotiate a deal on your current vehicle, give it the best possible chance of generating top money. A few of the favours you can do your current car include:

>> If you bought it new, find all the original sales documents, all the keys and remote access fobs that were supplied plus of course the owner's manual and service books. Proof that a car has been serviced 'by the book' is worth real money.

>> If you bought it used and don't have any documented history, collect any receipts for recent repairs or improvements and have them pinned together in date order.

>> Give the car a decent clean, paying particular attention to grubby cloth upholstery, which can really drag down the trade-in value at the dealership. Don't outlay a lot of money on professional detailing, because the dealer is just going to get it done again anyway if they intend parking it on their own used-car lot.

>> Remove all of your possessions, tools and accumulated rubbish. Even if you are 'just looking' when you visit a dealership, assume that at some point a valuer is going to look at your car and a floor covered in Maccas wrappers and death metal CDs won't enhance its appeal.

This article was original published under a different title on June 20, 2019