Retail value and market value are two terms you are bound to be familiar with, from the realms of vehicle insurance. If you’re in the process of selling your used car, it’s an equally important principle to consider. For those who are not familiar with the two, the retail value of your used car is the recent average price at which car dealerships are selling your particular vehicle make and model. In contrast, the market value of a vehicle is more individual in nature, calculating what a potential buyer is willing to pay a used car seller for a particular vehicle. This article expands on our recent blog which assists you in determining a final price when selling your used car. The market value of a vehicle, while open to scrutiny, is a better indicator of your vehicles valuation in any current economic climate. This article aims to explain why you are seldom likely to be offered the same price as an identical used vehicle for sale at a local dealership.
Why does my valuation differ from the Used Car Showroom price?
Have you recently been given a valuation of your used car, only to spot that exact car for sale at a dealership for far more? Simple economics will remind you that car dealers ply their trade to make a profit on their stock. Sellers also need to be mindful that a vehicle traded into a dealership may still require some cosmetic and mechanical repairs prior to being sold to the public. The same applies to the online marketplace where the seller’s description of the used car is taken into consideration when the potential buyer tables their bid. Inevitably you will receive an estimated market value, subject to a thorough inspection of the vehicle’s inspection.
How is your Used Car’s Market Value calculated?
While retail values are compiled by auto dealerships and bodies such as Autostats and eNatis, market values are difficult to standardise as they vary with each individual car. It takes into consideration, factors such as the vehicle condition, mileage, previous smashes and the quality of any repair work carried out. Unless you possess a rare or highly sought-after vintage car, the market value will always be lower than the retail value and is a more accurate estimate of your vehicle’s worth.
Sell your Used Car with Weelee
If you have a used car for sale, getting the highest price possible is likely to be top of your agenda. Rather than offer you an instant online quote which is later subject to intense negotiation, Weelee presents consumers with a simple, safe and secure platform to register their used car for sale for the highest price. We carefully select and pre-approve all buyers on our online platform, to ensure that offers are firm and transactions can be concluded swiftly once both parties have happily agreed on a deal. Feel free to browse our FAQ Page to find out more about how Weelee works. Register your used car on Weelee today and to get the best price in RSA for your vehicle.