All vehicles depreciate and deteriorate over time. The brand-new Honda you recently bought has already lost value the moment you drove it off the dealership lot. Depreciation is even faster when it comes to vehicles that are beyond repair or no longer safe to drive. If you have such a car, you can always sell it to a vehicle removal company that offers cash for cars in Brisbane.
Signs That Your Car May Be Depreciating
Generally, new vehicles will depreciate by up to 30% in their first year. Then, it’ll lose around 15% to 18% of its value over the next few years.
By the fifth year, your car will have depreciated by around 60%. Fortunately, this number will level off from now on, but it still wouldn’t hurt to know the reasons why you’re losing so much of its value:
Unsurprisingly, a car with more miles will be valued much less. Mileage is a significant contributor to depreciation, and going anywhere higher than 15,000 miles per year will quickly cause your vehicle to lose value.
- Supply And Demand
If your car is quite popular and many people are looking for it on the second-hand market, then it won’t depreciate as much as a car that no one wants to buy. But if many other people are selling the same car as yours, you might see some significant depreciation of the competition. Potential buyers have plenty of options to choose from.
Of course, maintaining a car’s condition is your responsibility as an owner, but it isn’t just for show. For instance, if your vehicle has an accident history, its value will depreciate much quicker.
This may come as a surprise, but did you know that luxury cars depreciate much faster than the average vehicle? According to the Federal Chamber of Automotive Industries (FCAI), Mercedes-Benzes, BMWs, and Audis can lose over 60% of their original value in just three years.
How To Deal With Depreciating Vehicles
Fortunately, there are ways to slow depreciation, such as keeping your mileage down and repairing damages as soon as possible. It’s also best to avoid unnecessary modifications like changing your wheels and adding spoilers.
But, ultimately, depreciation is inevitable. So if you have trouble selling it when the time comes, consider going to cash for cars in Brisbane instead!
Amazon Cash for Cars has a wide range of services, including cash for cars in Brisbane, allowing you to get rid of any vehicle. We can offer you up to $9000 depending on its condition, plus we won’t charge you a towing fee during the process!
Contact us at 0422 784 920 to receive an instant quote and schedule your pick-up.