Published: November 2022
Take the Time to Evaluate Your Car
Typically, a person buys a car, drives it for a few years, and then tries to sell it or trade it in for a new (or newer) model; this process usually repeats itself for the rest of the consumer’s life. Sometimes, however, we meet people who literally “wear out” their cars. They drive it until it loses its initial value, and when it is worthless after several repairs and has no resale value because it is old and outdated, it is time to take it to the scrapyard.
Isn’t there another way to get it out of the junkyard? One that will make you more money than the scrap yard will pay? While you may only get a few hundred at a scrap yard or metal recycling company, you can make thousands of dollars elsewhere by getting rid of your unwanted car.
Determine the cost of repair first. You may be all too happy at the thought of driving it into the ground and getting rid of it, but that doesn’t mean someone else will want to invest the time, effort and money to fix it themselves. Don’t let the desire for novelty cost you money. Example: Your current car may have cost $16,000, but it’s only worth $3,000 now. Hypothetically, maybe $500 more would make the car roadworthy again, whereas many buyers buy your car for $3,000 and pay $500 more for repairs just to drive it, rather than spending $10,000 more on a new car that would be a good deal.
However, most private buyers do not know what the prices of vehicles on the open used car market are. Therefore, they may negotiate with you even if you have showed the current value of the vehicle and the cost of repairs. In addition, a dealer looking to trade in your vehicle may give you a misleading price for a factory repair instead of the usual dealer repair cost. However, a professional buyer will recognize the true potential of your vehicle and offer you the best and fairest price.