Used car values need to be clearer to ensure a fairer trade for all, says cap hpi

WHEN selling your car, it’s important to know what a fair price is so you’re not left out of pocket. Naturally, owners tend to overestimate how much their vehicle is worth, and can list it in classifieds or visit a dealer for trade-in with hugely inflated ideas of the sort of price they’re likely to be offered.

Trouble is, it can often be difficult to get an accurate figure, despite the best efforts of valuation guides published by various outlets like Glass’s or cap hpi. The worth of a car can ultimately become subjective, being altered by a huge range of factors, from the obvious, like mileage, condition and history, to the more intangibles such as model demand, colour and what the market as a whole is doing.

Dealers will also look to pay less than the actual value of the car at tradein as they need to be assured a profit when they come to sell it on. That can leave sellers feeling short-changed.

All of these factors make knowing the true value nearly impossible, and cap hpi has decided, in the age of having so much data at our fingertips, it’s no longer really acceptable.

That’s why it’s rolling out its services across Europe to use market intelligence and data analysis and give more accurate, transparent valuations to both dealers and consumers.

“Historically, it’s been a grey area,” explained Adrian Rushmore, operations director at cap hpi.

But within 18 months, the improvements will be felt back in the UK as dealers and consumers can better understand why a car is worth what it is. It should mean you get a fairer deal when you next sell your car.

“Value of a car can become subjective, altered by mileage, history and even colour”