Used Car Price – What Determines It?

Before you start talking to the owner of the car you have your eye on about the vehicle’s price, be sure to check the VIN number of the car and use websites that provide used-vehicle history reports to find out some basic information about it. Many of these factors determine the car’s price. They include, above all:

• Vehicle make and model – few people would dispute this. Even when it comes to a new car with similar equipment, you will pay a different price for an Audi or BMW, a different one for a Skoda, and yet another for a Porsche.
• Body type – this is also something that determines the price of a used car. Are you buying a sedan, an estate car, or perhaps you have your eye on a van? The larger the car, the more expensive it may be, although this is not always the rule.
• Year of manufacture – the rule here is simple: a car usually loses value over the years, so the older the car you choose, the less you should pay for it.
• Mileage – you can never be sure that the mileage shown in a car is reliable, but reports available using the VIN number can tell you what the previous mileage readings were. The higher the mileage, the lower the car’s value.
• Overall condition of the vehicle – this concerns not only how the car looks on the outside, but also how it looks inside. Is the upholstery well maintained, or are the seats badly worn? What condition are the windows in – are they scratched or in good shape? Do all the equipment components work properly? As for the car’s exterior, it is worth checking whether it has scratches and scuffs – all such defects will reduce its value.
• Condition of components – all worn parts that will require expensive replacement or repairs in the near future reduce the value of a used car.
• Vehicle history – a car that was previously used, for example, as a taxi will have a lower value because this usually means high mileage. Fleet cars, used by sales representatives in companies, for instance, may also sometimes be worth less, as this may mean they were not treated with particular care and are not in the best technical condition.
• Equipment – cars from the same year, with similar mileage, may sell for different prices depending on their equipment. Does the car have air conditioning, or just a blower? Does it have electrically adjustable mirrors, power windows, heated seats, a navigation system, and so on?
• Place of purchase – not everyone is aware that the price can sometimes vary depending on whether we buy from a private owner or, for example, a dealership. An owner is usually less aware of the car’s value and may offer a more attractive price than a dealership, which sells cars professionally. The price is also affected by how quickly someone wants to sell the car, if we are buying from a private individual. If they are in a hurry, they will be more willing to negotiate and lower the price.

When buying a used car, it is worth taking some time to consider the purchase and, above all, checking how prices compare for used cars of the same model and year. Classified-ad websites offer comparison tools that can tell us within moments how much the car we are interested in should cost.