Selling My Used Car...Why Used Cars Sell Fast than New Ones

There is a correlation between the increased number of used car buyers and the depreciation aspect of cars. If I wanted to sell my car quickly, I would do that when it has depreciated in value but the depreciation ought not to have gone so high. The mileage a car has covered is one of the aspects used to determine its depreciation and this is an element that affects how I sell my used car. A car that has covered about 100,000 miles is at the peak level of usage where it can still fetch you some good money.

Car buyers have learned that when a car is newly bought from the manufacturer or automobile dealers, it loses much of its value in the first year. It is said that the depreciation of a car is steeper when it is new. The moment you drive a new car you have bought from a dealer, it loses a large amount of its value immediately.

From the dealer, you buy your car at the dealership price of a new vehicle and once you have driven it home, it has already lost so much in its value. When you examine this aspect hypothetically, you may argue that when purchasing the car, you pay a retail price. This is the price of a dealer. As soon as you take off from the lot, the car price turns to wholesale and this is the amount of money a dealer would be willing to pay for if you turned around and headed back to sell the same new car to the dealer.

The new car loses a big chuck of its value as you drive it off the lot and this amount is in form of the taxes you paid, the licensing and other costs, which are attached to brand new cars. This is money which is gone for good immediately you drive off the lot of the dealer. Charlie Vogelheim, an editor of Kelley Blue Book, said that "Just the difference between wholesale and retail prices is a large amount of what goes right away into waste,” and this is indeed true.

In addition, the same car loses about 15 to 20 percent of its value every year. The reason why the depreciation of the car is steeper when it is new is because the calculation of depreciation value is based on its current value. If you have a 1-year old used car, which is worth £10,000 and it loses 15% of its value each year, then it means that at the time it is 2 years old, it will be valued at £8,500.

At 3 years old, then its value would be £7,225. The amount in which the car depreciates reduces significantly as years advance. Many buyers avert this depreciation and buy the car when its value has gone down. This is one aspect which has resulted to increased demand in used motor vehicles that have covered around 100,000 miles. These are cars that are still in good condition and if reconditioned, they can offer good services.

If you are selling used car, you will be able to get a buyer easily as long as you advertise it through the different channels. Another aspect which is compelling people to buy used cars is because borrowers have been faced with financial challenges after the economic recession and may not be willing to spend a lot in buying brand new cars. This makes it also easy for you to sell used car. In essence, there are many market aspects that favor you when you are selling your car through the sell my car companies.