Fancy a new car? Chances are you will probably have to sell your old one first.
If you are buying then you need to make sure you know if the price you are paying is a fair one, and if you’re selling then knowing how much to ask will ensure your car is snapped up quickly, meaning you can move onto your new one sooner.
Used car pricing has been a challenging process in the last couple of years, with several things impacting the values that used cars have been attracting. Almost without exception, used car values have been heading up, which is good news if you are selling but perhaps less good if you are buying.
If you don’t know where to start then the easiest way to go about the process is to get a Parkers car valuation – this is all done online and only takes seconds. It works on cars up to 20 years old, right up to those only a few weeks old.
Why should I get a proper valuation?
But why bother getting a valuation? Surely you can just look at another car like the one you are buying or selling to see how much that is going for?
First of all, someone else’s asking price doesn’t necessarily represent how much a car is worth. They might not have done their research and could be chancing their arm. That car might have been on sale for ages with no-one even thinking of buying it.
Also, there are many things that impact how much a car is worth. An online valuation will guide you through these steps to make sure it is as accurate as possible.
PCP decision process
Knowing how much your car is worth is beneficial even if you are not considering selling it, though. PCP, or Personal Contract Purchase, agreements are one of the most common ways of buying a new car, with many people funding their vehicle on finance.
At the end of the agreement, you have the choice to do one of three things – hand it back, pay off the balloon payment and keep it, pay off the balloon and sell it or roll it over into a new agreement.
Knowing how much the car is worth will help with your sums and might impact your decision. If you have paid off enough that you owe lots less than the vehicle is worth then this is worth knowing and might make you see your car in a new light.
Insurance
How much your car is worth is also important when it comes to taking out car insurance. You will often need to provide an accurate valuation when you take out your policy in the first place and will then need to know how much it is worth in case the worst happens and it gets written off. Knowing how much it will cost you to replace it means you are forearmed if an insurance company offers less than you need.
