How to Compare Trading in a Car to Selling It Privately

While most experts on the car market will advise selling a used car privately before trading it in to a dealer, you can still take advantage of incentives and rebates that may tip the scales in the other direction. Arm yourself with the Kelley Blue Book, know both the wholesale and retail value of your used car and compare for yourself.

Step 1:
Obtain a copy of the latest Kelley Blue Book when you compare trading in a car to selling it privately. The Kelley Blue Book is the car industry's leading authority on the value of any used car based upon condition and mileage and is available at most bookstores and auto parts stores. The Kelley Blue Book will give you both the wholesale and retail values of your car, which you can use to gain a better bargaining position at the new car dealer. Want to receive the best price now?

Step 2:
Compare trading in a car to selling it privately by looking at the classified ads in your area, and find out how much similar cars have been selling for on the open market. This may be a more timely reference for the value of your car than the Kelley Blue Book, since it may reflect recent trends, such as good reviews in auto magazines or driving conditions in your area. Getting the best value for your trade in vehicle

Step 3:
Ask your new car dealer whether there are any special incentives involved if you trade your old car in for a new one. For instance, some dealers may offer limited-time deals with a guaranteed price on any trade-in that exceeds your car's current value. FREE Trade-in pricing for your new or used vehicle

Step 4:
Determine whether you can get even more for your old car if you are trading it in on a new car from the same manufacturer. Dealers love brand loyalty, and it is often easier for them to sell a used version of a current model to another buyer who may not be able to afford a new version.

Step 5:
Use online resources, such as Free Trade-in Quote, to determine the value of your car in advance. The Free Trade-in Quote, website will also be able to inform you about the value of upgrades that you have done to your vehicle.