Why is your car value decreasing?

It is a given that over time your car is going to lose value as soon as you drive off the lot. It is the same in any large purchase (house, appliances, etc.) However,  U.S.News & World Report, has created a list showing some of the car habits that driver’s fall into that may be decreasing your car value much quicker. “AAA estimates that a vehicle’s depreciation costs American car owners $3,571 per year, up less than 1 percent from 2012. That depreciation may not matter as much if you’re planning to drive the car until the wheels fall off, but global market intelligence firm R.L. Polk & Co. found that most Americans hold onto new vehicles they purchase for almost six years and used vehicles for about four years.

car, depreciation, value

MAINTENANCE: We get it- you’re busy, but to maintain your car value it is vital to the life of the car to get your regular maintenance done! This consists of but isn’t limited to; oil changes, filter changes, tire rotations, etc. Did you know that a good technician can tell if regular maintenance has been done of a vehicle? Also, getting your car repaired and maintained at the dealer you intend to trade it in at creates brand loyalty as well as service techs that know and remember your car’s service history. Believe it or not, it isn’t more expensive to take your car to a dealer shop and the chances are they will know your brand inside and out and be able to take care of any factory issues immediately, unlike a non-dealer service shop.

MILAGE: You live far away from work, understandable that your milage will be high and there isn’t a lot that can be done to prevent that. Be mindful of the amount that you are putting on your car. If you are traveling, consider renting a car with unlimited miles. It will help you save miles in the long run.

MODIFICATIONS: Modifying your car is a lot like modifying your house. Your taste may not be similar to the next buyer so it doesn’t necessarily add value. Did you know modifying the engine can also impact your cars value and not for the better? Installing anything that would void a manufacturer warranty is highly advised against unless you plan on keeping the car until you run it into the ground.  Do keep in mind that if you are in a vehicle that you add something like navigation or a dvd package, that may effect your resale value for the positive.

Paint Color: This is a tricky one. Car makers are offering crazy colors now (Auto Guide-10 Craziest Colors) however, if you can avoid doing it yourself it will help in the long run in your cars value. 

Lingering Smells: Pet owners, smokers, and those that love to eat in your car, be aware that the smell lingers and could give them impression that the car hasn’t been taken care of.  Cigarette burns and pet hair are just a couple of things that get left behind in a used car. Companies such as VW Southtowne in South Jordan, Utah use a program called Drive Pur that helps eliminate these smells.

Get That Car Washed!!  Time consuming, we know… However depending on the area you are driving it you will experience different elements that can potentially harm your cars coating. Salt, snow, acid rain, dust storms, are all factors in damaging your coat. A good wax at least once a month and washing every week or two will help your car not only look show room quality, but help with the value in the long run.

Most car owners make modifications with the intention of keeping their cars, however the majority of car owners only have their new cars for almost six years and used vehicles for about four years.

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