For eleven years, my job was putting numbers on trade-ins. A car pulled onto the lot, and I walked it, drove it, scanned it and gave the dealer a number to work with. Here's how I did it, step by step, so you know what's happening on the other side of the desk.
How I walked a trade-in, in order
I started every appraisal at the driver's side front corner. From there I walked the whole car looking for prior paintwork, dings, dents, scratches, chipped or cracked glass, and uneven panel gaps. On the way around I checked every wheel and tire: condition and tread depth.
Before I ever got in, I looked under the front and the rear for a quick read on the frame or unibody.
Then I opened every door and checked the door cards, seats, carpet and headliner.
Then a short test drive. I'm listening for noises that shouldn't be there, making sure the engine and transmission work like they should, and confirming every piece of equipment works.
Last, I plugged in a scan tool. It shows pending codes, and it shows codes that were cleared recently. If you clear your check-engine light the morning you trade the car in, the appraiser can usually tell.
What hurt my number the most: bad body work
Nothing moved my number more than body work, and poor prior body work was the worst of it. It ruins the look of the car, and it makes you question how the rest of the car was maintained. If someone cut corners on the bodywork, what else did they cut corners on?
How I landed on a number
A car's value comes down to comparable sales: same year, make, model and trim, similar mileage and condition, in the same region. Nail those and you're in the sweet spot. There are tricks of the trade, but that's the core of it.
One rule matters most: use sold cars, not cars for sale. An asking price is what a seller hopes for. Dealers price off what cars actually sold for at wholesale auctions like Manheim and ADESA.
When there's nothing to compare it to
Comparables work for most cars. The ones that are a dime a dozen are pretty easy to figure out. But sometimes there's nothing to compare a vehicle to. Take a 2003 Ford F-350 with the 7.3 Power Stroke and 12,000 miles on it. There just aren't many of those out there. Those are the ones that ring the bell and surprise everybody, because they're so unique. That's where years of experience come in: knowing what to put on an older vehicle that has barely been driven.
Before you hand over the keys
If there's one thing I want every customer to know, it's what their car is truly worth before they hand over the keys. Here's how to get there.
- Walk your own car first. Start at the driver's side front corner and go around it the way I described above. Anything you find, the appraiser will find too.
- Fix the cause of a warning light. Don't just clear it. The scan tool will show it.
- Know which fixes come back to you. Dealers price reconditioning at their own cost, so most repairs won't come back to you at trade-in. A few cheap ones do: a detail, a second key, and your service records in a folder.
- Look up sold prices, not asking prices. Find cars that match yours on year, make, model, trim, mileage and condition, in your region, and see what they actually sold for. For enthusiast cars, Bring a Trailer, Cars & Bids and PCARMARKET all show their past results.
- If your car is rare, get a second opinion. When there's nothing to compare it to, the number comes down to someone's experience. Make sure it's someone who's on your side.
Thinking about selling at an online auction instead? The math on repairs changes. Here's what to fix before an online car auction.
Want to know what your car is truly worth?
Send me the details and photos, and I'll tell you what it should bring and which fixes come back to you. Start with a free 15-minute call, or get a $125 One-Hour Review. With Sale Support, I'll coach you through the dealer negotiation itself.