Trading in a vehicle while you’re looking for your next car can be hard to juggle, but we’ve got a few tips to help you manage everything from setting up your trade-in to the negotiation process.

Out with the old and with the new!

Trade-in your vehicle is a great way to save money on your next loan. If your current car has equity, where you owe less than it’s worth, it can lower the selling price of your next vehicle. Just use the money you have left over after paying off your loan as a down payment on your next car. If you own your vehicle, all of its trade-in value can be allocated to your next one.

A down payment means a lower loan amount and lower monthly payments on your auto loan. Besides, down payments are required for many borrowers whose credit is not perfect, your swap could help you respect this stipulation of the lender!

Start with some quick research

Look up the value of your car on online valuation sites to get an estimate of its trade-in value. Sites like Kelley Blue Book, NADAguides, and Black Book are great online resources and a quick way to see what your vehicle is used for in the private market (private / resale value) and at dealerships (trade-in value) . However, remember that the dealer is the one who ultimately determines the value of your trade-in. Online review sites are therefore just a starting point.

Once you’ve found a dealership you want to work with, you can bring your car to them for an appraisal. They are likely to take it for a test drive, have it inspected on site, and ask you about its history before making an official offer. But before you take the plunge and head to a dealership, give your vehicle a little attention to make a good impression.

Tips for preparing and staging your car

You may have seen a staged house before; loaded with new furniture, cleaned and polished, and decorated new to attract potential buyers. You can also stage your vehicle before going to the dealership!

A clean car tells a dealership that it has been well maintained. If you take your car covered in mud to the dealership, the dealership may be concerned about what is underneath. Also, a vehicle that needs a lot of repair will likely result in a lower bid, as there are many exchanges ready to be resold in the parking lot. The less your vehicle needs to be resold, the higher the offer you could get.

Follow these steps to make your trade more attractive:

• Throw out trash and garbage, and remove most of your personal belongings. There are different tips on how much personal items to remove, as stripping the vehicle of your items could signal a dealership that you are desperate. But it’s a good idea to throw out any food, paper, or clothing that might be hiding under the seats.
• Wipe up any sticky residue from the inside of your fast food travel cup holders and vacuum them thoroughly.
• Gather your evidence of loving care: oil changes, repair records, list of modifications made to improve the vehicle, and more. Having physical evidence that you have taken care of your vehicle could increase its value and make it more attractive to a dealership.
• Remove as many stains as you can from the inside.
• Polish the small scratches on the outside. Repairing major dents / damages may not be worth it as many dealers can usually do major repairs for less than you can.

Many of these tips don’t need the money – just a little bit of elbow grease. A little patience and time, and taking a day to prepare your trade-in could save you more money on your next purchase!

When to notify the dealer of your trade-in

You should treat your trade-in and your next purchase as separate transactions. Many experts suggest negotiating the sale price of your next car first. Once you have a buyer’s order and all charges have been added up, notify your dealer of the exchange. By separating these transactions, you can put more energy into each.

Some dealerships may treat your trade-in as part of the overall car buying process and may be less likely to negotiate the sale price of your next car once they know about your trade-in. By agreeing on the lowest possible sale price first, you are not giving a dealership the ability to adjust the price to accommodate your trade-in up front.

What do I need to trade in my car?

To trade in your vehicle, you need the title, keys and owner. The legal owner of a vehicle – the one whose name appears on the title – is the only person who can transfer ownership. If your name isn’t on the title of your trade-in, you need to bring that person with you to the dealership to make the sale legitimate. If you don’t know the owner, you could be a victim of title jump, which is illegal in all states.

If you don’t have your title because you are in a title holder state, the lender sends the title to the dealer – it’s easy. If you own your car or are not in a title-holder state and do not have the title, you can obtain a replacement title from your local Department of Motor Vehicles or the Secretary of State. . Obtaining a replacement title can take a few weeks and you may have to pay a small fee.

Once you have the title (or the owner with you) and enough money to pay off your loan if you still have one, you’re good to go. Exchanges are very common, so experienced dealers should be able to answer all of your questions in the process.

Tips for negotiating your trade-in offer

Some buyers live for the thrill of a good deal – others want to leave the dealership ASAP! No matter what type of person you are when it comes to fighting for the best price, there is one easy way to get leverage when negotiating your exchange offer: call.

Call several dealers, at least three, in your area to a recovery estimate is a great way to gain leverage in negotiations. If there’s one particular dealership you want to work with, but they don’t offer as much as the other dealers, then say so! They may be ready to match or beat that offer. If not, it might be worth exploring other car terrains in order to get the most out of your vehicle.

It is also recommended that you request an estimate from at least one franchised dealership that sells your make of vehicle. A franchise dealership with the manufacturer of your car may be willing to offer more, and that could be a huge bargaining chip.

Having a plan is half the battle!

Getting your vehicle ready for the trade-in doesn’t take a lot of effort – just a little planning, a few calls, and maybe some clarification. While finding a dealer who can buy your old car is usually not that difficult, finding a dealership with bad credit loan options can be.

Most dealerships have third-party lending partners to finance their customers, and some are registered with subprime lenders. Subprime lenders specialize in helping borrowers with credit problems, but they don’t always stand out. Here has Auto Express Credit, we want to make it easier for you to find a lender anywhere who can help you with your credit situation by doing the legwork for you.

Using our nationwide network of dealers, we’ll find one that is capable of helping you with bad credit in your area. Start now by completing our auto loan application form. It’s completely free, fast and without obligation.