Interested in part-exchanging your car? In this comprehensive guide, we delve into the details to help you secure the highest car valuation and make an informed decision about leveraging this method to sell your vehicle.

Part-exchanging entails trading in your current car for another, potentially more expensive vehicle, by deducting the original car’s value from the price of the new one. Once both parties agree on the car’s value, the difference is settled either by paying off the original vehicle’s finance or transferring the funds.

The allure of a gleaming new car in the showroom further enhances the appeal of part-exchanging your old vehicle. Presently, part-exchange, also known as ‘PX,’ enjoys popularity in Britain, with recent studies indicating that approximately 3.2 million buyers opt for this service annually instead of private sales.

While part-exchange offers convenience and speed, it’s not necessarily the optimal choice for everyone, as there are alternative methods to sell a car, each with its own advantages and drawbacks.

Is it a good choice?

While part-exchanging your old car at a dealership is commonly viewed as a swift and convenient method of upgrading, it may not always be the most advantageous route to pursue. Dealerships often derive more profit from the part-exchange discount than from the sale of your new car. Consequently,it’s crucial for individuals considering part-exchanging their old car to thoroughly evaluate the vehicle they are trading in and determine whether they could secure greater value elsewhere.

Car value and the finances of part-exchange

If you can afford to buy a new car outright, it’s generally advisable to avoid part-exchanging. Selling privately often yields a better price, and cash buyers typically have stronger negotiation power at dealerships. Part-exchange may seem convenient, but it can complicate matters, especially if financing the new car. Buyers should carefully weigh all options, as selling privately or to an online buyer usually results in higher returns and simpler purchasing processes.

Dealer’s Choice

Dealers pay attention to specific factors in part exchange deals, such as desirable makes and models with additional features, low mileage, and uncommon factory colours. If your car meets these criteria, you like have a strong bargaining position, which is important to acknowledge beforehand.

Particularly, dealers are interested in acquiring low-mileage vehicles and are currently showing preference for SUVs over estate cars and other traditional styles due to their increasing popularity, although this trend may shift over time.

Before engotiating with dealerships, conduct online research to determine your old car’s value and observe prices for similar models on the market. When obtaining valuations from dealerships, make it known that you are exploring multiple options. This not only signals your expectation for fair pricing but also encourages dealers to offer competitive prices to secure the sale.

What dealers look for in part-exchange

While it’s generally advisable to avoid part-exchanging your old car unless necessary, it’s worth considering if your vehicle is dented, needs scrapping, or has mechanical issues. The convenience of part-exchanging may outweigh the hassle of dealing with scrapping services, and some dealerships may even offer higher prices than typical scrap values.

Every imperfection, from dents to scratches, affects the part-exchange price, as dealers meticulously inspect the vehicle’s condition before making an offer. A complete service history adds value to your car, while missing or incomplete records can lower its price. Additionally, having a short time remaining on your car’s MOT can negatively impact the offered price, so be sure to disclose this during the appraisal process if part-exchanging more than six months after the last MOT.

Part-exchange vs online car buyers

When using an online car-buying service, ensure accuracy in providing your car details to avoid bluffing, as authenticity is carefully verified by buyers. Opting for transparency yields the best valuation. While such services offer insights for dealership visits, they often provide additional perks like free home vehicle collection and immediate payment, albeit at the expense of their prices. It’s crucial to be informed about your car’s value before arriving at the dealership, as it could enhance your negotiating position, especially for outright sales rather than part-exchange discounts.

Getting the best offer for part-exchange

To enhance your chances of securing a higher valuation and offer at a dealership, consider these straightforward strategies. Begin by ensuring your car receives a professional cleaning both inside and out, as a pristine appearance can significantly impact valuation. Assess the overall condition, including tyres, body panels, and interior, and address any minor issues that could improve the offer, such as waxing the bodywork or using a scratch-repair kit.

Invest wisely in cost-effective replacements for missing parts, prioritising cleanliness, matching components, and proper installation to bolster value. Anticipate the dealer’s inquiry about your desired price for the old car by researching its valuation beforehand. When negotiating, propose a slightly higher price than the valuation to allow room for adjustment, resulting in a more favourable deal.

If the dealer offers an unreasonably low price during a part-exchange discussion, consider walking away to prompt potential negotiation or explore better alternatives elsewhere.

Price negotiation

Dealers often react with surprise, confusion, or dismissal when presented with your valuation, as both parties aim for the best price. It’s typical for dealers to try to negotiate down your valuation, just as you strive to convince them of your car’s worth.Sometimes, dealers may skip asking about your desired price and instead inspect the car before presenting their own offer. If their initial offer seems unexpectedly high, it’s wise to reject it and request a higher amount. If they remain firm, expressing that you have other options to explore might prompt them to reconsider or offer additional incentives.

If a dealer inquires about your budget, clarify that you were primarily considering part-exchange for convenience and reiterate that their offer falls short. In case the dealer deems your price unreasonable, inquire if they consulted resources like CAP or Glass’s Guide, which provide recommended buying and reselling prices for various car models. It’s advisable to be cautious of dealers who hesitate to consult these resources.

Documents needed for part-exchange

Before proceeding with the part-exchange of your car, ensure you bring the necessary documents : 

• V5C Logbook
• MOT certificate
• Vehicle keys
• Car’s manual
• Service book
• Appropriate paperwork

If you wish to take out on finance you will also need to bring : 

• Driving license
• Passport
• Recent bank statement

For further insights into the importance of having the relevant documents for a successful car sale, refer to our comprehensive guide on the required documentation.

Best way to sell

If you’re looking for a quick and hassle-free way to sell your car, HeresACar provides a straightforward and completely free method to get the best price, regardless of the model.

Simply enter details about your car and follow the easy steps to upload photos directly to your phone. By opting to list your car for a daily sale, it will be showcased to our extensive network of over 1500 verified dealers nationwide who are actively seeking used cars to add to their inventory. 

These dealers will compete to offer you the highest bid. Within just 24 hours, you’ll receive the best offer, and if you decide to proceed with the sale, the dealer will arrange a free collection of your car, and the money will be swiftly and securely transferred to your bank account.