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    Should I part exchange my car?

    a volkswagen t-roc parked

    Part exchanging has always been one of the easiest ways to sell your car. Trading it in at a dealership in exchange for money off your next vehicle, requires very little effort on your part. 

    If you’re thinking about part exchanging your car for a new one, we have some tips for you.

    The advantages of part-exchanging

    dealer talking to a couple
    Selling your car in the same transaction as buying your next one makes part exchange an appealing option to many car owners.

    Selling a car can sometimes take weeks or even months. You have to advertise it, wait for a buyer, and then deal with all the admin hassle and paperwork that goes with the sale. With a part exchange, depending on the deal you get, you can pull into a dealership in your existing car and drive home in a brand-new model.

    Most, if not all, manufacturer-specific dealerships like VW, Audi, Land Rover, and BMW offer part exchanges. They even actively encourage their customers to trade in their cars for newer models. The majority of them offer part exchanges with pretty much the same terms and combine them with various financing deals.

    What’s the part exchange value of my car?

    When you part exchange, you’re unlikely to get your car’s full value. This is the major drawback of trading in your vehicle, as you’re rarely in a position to negotiate your discount with the dealer. 

    They’ll usually offer low on your old model, and take further cuts from the price that may not seem transparent. This is because they’re not looking to sell your old car directly on their own forecourt. In fact, they’re more likely to try to sell it at auction and make as much profit as possible.

    Essentially, you’re paying for the privilege of not having to take on the work of selling your car outright. When you sell your car this way, it’s a buyer’s market.

    Is there a good time to part exchange?

    Timing dramatically influences the price a dealer offers you for your car in a part exchange. Unfortunately, they have the upper hand when it comes to anticipating the different timing aspects that can increase or decrease the value of your car.

    There are a number of these different timing factors:

    Timing: the market

    For a start, dealers know much more than you about the seasonality of their business. Whether they sell your car to their customers, or place it in an auction, they have the numbers on whether the used car market is trending up or down. They know when it’s the right time to buy low versus high. It’s extremely tough for customers to anticipate the market and choose an optimal time to part exchange.

    Timing: the model

    Also, if you’re not up to date with the latest model of your current car, you might not realise that yours has become a ‘runout.’ Or that the model you’re looking to trade your current vehicle in for is itself a runout. Therefore, it’s worth less than you think. 

    A car becomes a runout when the manufacturer announces the imminent release of its latest, upgraded model. Immediately, any stock of the previous model will be relegated to an older generation and sold much cheaper. 

    Plus, cars are all graded based on the European Emissions Ratings. It’s worth checking your car’s rating depending on where you live and planned local low emissions zones. The ratings can align with age, but that’s not a hard and fast rule.

    If you think your area might soon adopt a low emissions zone, and your rating won’t be compliant, you should swap your car in good time. If you choose to part exchange, ensure the new model you’re trading in for will comply with zoning rules.

    Staying informed about car model upgrades and emissions ratings makes it easier to avoid bad timing.

    Timing: your car’s value

    The timing factor you have the most control over is choosing the right time to sell your car based on its value, which changes over time. All makes and models depreciate at different rates. The most basic equation for checking your car’s value is considering its age and mileage. 

    People often say that cars, on average, depreciate by 20% of their initial value every 20,000 miles. Please note that 20,000 miles per year is a bit above average annual mileage in the UK and might represent two or more years’ worth of motoring for some drivers. 

    It’s worth getting a free valuation of your car and checking it regularly to choose a good time to get the most value for it. 

    man and woman talking
    Knowing your cars value and the current used car market is the best way to get the best return when you sell or part exchange.

    Can you part exchange for a cheaper car?

    With the cost of living crisis still looming large, some car owners wonder if they can downsize their cars for models that are cheaper to buy and run. A dealership may let you part exchange your vehicle for a less expensive one. However, they’ll be less likely to agree to a deal where you get the difference in money. 

    If you want to trade in your car for a cheaper one, conducting the sale separately from the purchase will work out in your favour, even if both transactions are at the same dealership. It means a little more work for you, but it’s a much better way of getting your money’s worth.

    When you sell your car the Motorway way, more than 5,000 dealers compete to offer you the best price.

    How can I get the best part exchange deal?

    To get the best part exchange deal, you should prepare the car as you would if you were selling outright. This means:

    🧽 A thorough clean inside and out 

    🔧 Making any necessary repairs

    📜 Having all your necessary motoring and car ownership documents ready: 

    ✅ MOT

    ✅ V5C logbook

    ✅ Finance settlement letter, etc.

    You should come prepared with the knowledge of what your car would be worth if you were selling it. You should also research what you need to get from your next car and consider factors such as:

    🛣️ Range

    🚗 Specs

    ☀️ Emissions rating

    Having said that, you’ll probably still get a better deal by selling your car. 

    woman holding a key
    There are many things you can do to get your best part exchange deal. However, it is unlikely to ever get you a better price than if you sold your car.

    Should I trade in my car or sell it?

    When it’s time for a new car, there are two major factors to think about:

    💷 Getting a great price

    😎 Having a convenient and easy experience

     While part exchange is a speedy and easy option, there is a way to sell your car just as easily, if not easier, and for the best price. When you sell your car the Motorway way, more than 5,000 verified dealers compete to give you their best price.

    It’s completely free for you, and you can agree to a sale in as little as 24 hours, without the comfort of your home.

    Just enter your reg on the homepage and you’ll be provided with an instant estimated sale price based on up-to-the-minute market data. We’ll then ask you a few easy questions about your car and guide you through the photos you need to take to complete your vehicle profile. It can be done right from your phone – in a matter of minutes.

    If you choose to enter your car into a daily sale, it will be shown to our nationwide network of more than 5,000 verified dealers looking to add to their stock of used cars. Interested dealers will then compete to buy your car, offering you their best price.

    In as little as 24 hours, you’ll receive your best offer. If you choose to proceed with the sale, the dealer will collect your car for free, and the money will be quickly and securely transferred to your bank account.

    Is it time to sell your car?

    Want to learn more about owning, maintaining, and selling your car? Check out more of our guides here, covering everything from finding buyers, to negotiating a good price, and completing payment safely. 

    Sell your car the Motorway way

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