If you want to buy a new car or at least a different one then you will most likely need to trade in your current vehicle (if it is still running since many wait until their cars die to trade them in). Trading in your car is very easy, but there are some steps that you should take before you actually head into the dealership. This way you are going to get the absolute most out of your trade in and that is the entire point of doing it anyway.
How to Do It
Being prepared to trade in your vehicle for local auto loans will be very helpful in many ways. Here are the basic steps that you are going to be able to take that will benefit you by getting you the absolute most bang for your buck so to speak.First, you will want to determine the KBB Value. Figuring out the Kelley Blue Book value is a great resource for trading in used vehicles. It will give you a great rough estimate of your current vehicle that way you know about how much you should get. Keep in mind that it is just a guide though so most of the time you are not going to receive that amount, but it will at least give you the ball park to start in.
Second, you are going to want to research some private sellers. This is similar to the thought process behind researching KBB, but will give you a more real sense of what your vehicle is going for on the current market. The economy is rough right now so this may be much more accurate than Kelley Blue Book when figuring out how much your vehicle is worth.
Third, it is smart to consider the dealer's expenses as well. The dealer is not going to forget about this so neither should you. If you know that your vehicle may need a paint job or has some minor dents that the dealer will need to fix to put on the market that very well may come out of your trade in value. So be honest with yourself about that and if you know it is beaten up a bit to not expect too much.
Fourth, clean your car and make it look as best as possible. If your car is filthy (like most of ours get) then you will want to clean it out. Also it helps to wash your car and overall just make it look nice. The better your car looks then the better you are going to be off when trading in your automobile.
Fifth, you need to negotiate the purchase and trade-in separately. This is only to make sure that you get the best deal on both. Trying to negotiate both at the same time (especially if you are not well practiced in this department) will be quite difficult.