Edmunds: How to get the most money for your trade-in vehicle

Maximizing your car’s trade-in value can add thousands to the bottom line in a new-car transaction

Most car shoppers focus their time and energy on getting the best sale price during a vehicle purchase. This is understandable considering the purchase price is the biggest number in the transaction. But a lot of these shoppers fail to consider another key factor that can help save money: getting the best value for their trade-in vehicle.

Being prepared with your trade-in at a dealership can make a difference of thousands of dollars in the bottom line. Here are some tips from Edmunds to help you maximize your trade-in value and avoid common mistakes.

A used vehicle appraisal is how much a dealership is willing to pay for your vehicle. It’s based on the status of your vehicle as well as the appraiser’s opinion of it. You can’t do anything about the mileage on your vehicle, for example, but there are other factors you can influence to your advantage.

It’s better to handle vehicle transactions when you have time rather than when circumstances require it. Getting ready to trade in your vehicle before you absolutely must buy a new one will help you prevent costly mistakes and avoid situations where you have reduced negotiating power.

It’s possible that your trade-in vehicle will have some issues that you never got around to fixing. In general, it’s probably going to be more cost-effective and less of a hassle to not do the repairs and have the dealership deduct its repair costs from its appraisal offer. Dealers can often fix problems for significantly less than you can. So don’t feel obligated to make your car perfect.