Top Tips to Increase Your Car's Resale Value : Car resale tips

If you’re buying your next car, you’re probably looking to get the best resale value for your old car. In this blog, we discuss how your car’s resale value is determined and some top tips to increase car resale value. Armed with these, you can get the best value for your used car, whichever make and model it is. 

Understanding Car Resale Value

The procedure of conducting a series of checks to determine the condition and fitness of the car, based on the various factors which are listed below, helps you understand the resale value of the car. These factors stand true for new cars, as well as second-hand cars.

How Car Resale Value is Calculated

The resale value of a car is determined by various factors ranging from factual aspects to perceived matters of importance. Factual aspects include things such as the age of the car, number of owners, city/state of registration, kilometres driven, make, model and variant, vehicle and tyre condition, visible damage, insurance cover, and availability of documented service history. 

Perceived matters affecting used car valuation include model popularity and history, brand value, the model generation of your car, how much current technology and trending features are present in it, and even the overall life remaining for that particular model, should government norms restrict its usage. Look for quality used cars in your city on CARS24 for some great deals.

A car’s resale value is calculated primarily based on the factual aspects, and then goes into further detail based on the secondary perceived factors.

Depreciation and Its Effect on Used Car Valuation

Depreciation is the periodic loss of value as the years pass. Most cars depreciate at a fixed rate, although there are exceptions to every rule.

Each year completed will see a depreciation of around 10 percent or more, depending on other factual and perceived aspects we spoke about earlier. The standard calculation for a good used car in India, if it is a popular model is 15 percent off the on-road price for the first year and 10 percent of the resultant figure for each passing year. If the model is still available, it adds to its value.

Here is an example of a used car valuation for a popular hatchback if sold after six years.

In the above illustration of used car valuation, we see that the car’s value has halved over six years. Of course, this second-hand car valuation stands true for most popular models. Some niche models from less popular brands can lose as much as half or more of their resale price in the first year itself. This is based on their reputation and the availability of parts, among other factors.

Take the case of the Nissan Micra and its badge-engineered counterpart, the Renault Pulse. One can find amazing deals on used Nissan Micra cars on CARS24. The Renault Kwid is a more popular model, and as such, a higher number of used Renault Kwid options are available at attractive prices.

On the other hand, there are cars such as the first-generation Volkswagen Polo GT TSI. Some of these cars are 10 years old at this point, powered by a 1.2-litre four-cylinder, turbo-petrol engine mated to a 7-speed DSG dual-clutch automatic transmission. It still commands more value in the right circles than a five-year-old GT TSI with the 1.0-litre three-cylinder engine and 6-speed automatic gearbox. Find great deals on used Volkswagen Polo cars on CARS24.

How to Increase Resale Value of Car

There are some ways to ensure you get the best value for your car. Here are some top tips to maximize your car’s resale price.

1. Timely Service and Maintenance

Taking the time to ensure your car is adequately maintained makes a huge difference. Simply checking tyre pressure often, changing the oil and filters as required, and keeping the car clean can affect how the vehicle performs. Periodic service is also a necessity.

This becomes even more important when you plan to sell a used car, as timely care not only ensures reliability and long-term performance but also helps secure a better resale value. Those used cars that are bought with the CARS24 Care+ package get free annual servicing and genuine spare parts, making this upkeep easier and more rewarding.

2. Use of Authorised Service Centres

Where the car is serviced matters as much as how timely the service is. Visiting an authorised brand workshop or reputed service centre improves a car’s resale value, whereas getting cheap fixes at local mechanics will decrease it.

To further safeguard your car’s value, CARS24 offers a Pre-Delivery Inspection (PDI), ensuring that the vehicle is thoroughly checked for any hidden issues before it reaches the first owner. This not only guarantees peace of mind at the time of purchase but also helps maintain a complete and verified service history that boosts resale value. For used cars, opting for a PDI during repeat sales helps identify and resolve potential problems early, assuring the next buyer of the car’s quality and thereby fetching a higher resale price.

3. Service History

Having a record of the services your car has undergone and documented evidence in the form of bills and receipts establishes the maintenance schedule and also increases the resale value of the car. In addition, opting for a Pre-Delivery Inspection (PDI) from CARS24 ensures that the vehicle’s condition is thoroughly assessed and certified at the very start. This early documentation not only builds trust with future buyers but also strengthens the car’s service history, further enhancing its resale value, whether it’s a first-owner sale or a repeat transaction.

4. Using Genuine Parts

Using original equipment or OEM parts and components means the warranty and insurance remain intact. It also keeps the car in better shape, thus increasing its resale value. For used car owners, regular maintenance with genuine parts becomes even more crucial in protecting performance and ensuring higher resale value. That’s why CARS24 offers the CARE+ package, which includes free annual servicing for up to 3 years, always with 100% genuine parts from trusted brands like Castrol and OEMs. This assurance not only safeguards the car’s condition but also builds buyer confidence when it’s time to resell.

5. Use Good Quality Fuel

An underrated but essential way to make sure your car stays in great mechanical condition is to fill it up with good-quality fuel. Avoid unknown fuel pumps where the possibility of adulterated fuel is higher.

6. Keep Insurance Current

Having the car’s insurance renewed on time has more benefits than one. The cover continues uninterrupted and if there are no incidents requiring an insurance claim, a no-claims bonus accumulates and increases over the years. The savings on premium paid can be as much as 50 percent.

7. Check and Rotate Tyres

A simple way to not just increase your car’s resale value but also improve performance and durability is to rotate the tyres once or twice a year, depending on running, to ensure even wear. If all four tyres are of the same size, it simply involves swapping tyres from back to front and left to right.

For used car owners, tyre care plays a crucial role in maintaining both safety and value over time. That’s where CARS24’s CARE+ package adds an advantage, with proactive tyre health checks and free wheel alignment/balancing worth ₹1500, ensuring a smoother drive and longer tyre life.

8. Paint and Underbody Protection

Paint protection film or ceramic coating and underbody treatment can help keep the car free from scratches, swirl marks, stone chips and rust spots. If your car looks as good as new, the resale value will be higher.

9. Protective Floor and Boot Mats

Using rubber floor mats or carpet mats in the footwells and in the boot can prevent unnecessary wear and tear on the original equipment. This directly affects how it appears and can increase a used car’s valuation.

10. Take Care of Small Problems Before They Become Big Problems

Does your car have a damaged headlight unit? Maybe there’s a cracked windshield or side window. Tend to these seemingly small issues before they lead to bigger problems. This will help ensure your car is in top condition and that you get the best resale price possible.

11. Car Colour

The colour of the car can be a factor in getting a good price for your car. Although it is a matter of taste, neutral colours such as white or silver are proven to have better resale value. This is based not just on taste but also on location and climate.

Conclusion

There are several ways to increase your car’s resale value. Most involve being aware of maintenance and nipping small issues in the bud. Taking care of your car and keeping it serviced and clean can go a long way towards getting the best value for your used car. To make this process even easier, CARS24’s CARE+ package provides a detailed report highlighting the pros and cons of your car. Whether it’s the first sale of your car or a repeat sale, this transparency not only boosts buyer confidence but also gives you a stronger position to negotiate, ultimately helping you secure the best possible resale price.