Look down the road to reselling when buying a car

Unless you intend to keep your car for ever and never resell it, you need to start ensuring you can resell it for a good price as soon as you buy it.

Buying a car is a big purchase and one that requires thought and consideration.

“We all want to like the car we drive, in terms of aesthetics as well as performance, which is where emotion can sometimes overrule the rational,” says Keletso Mpisane, head of digitally based insurer MiWay Blink.

“With some exceptions, a car is not a lifelong commitment. Most people will have a number of cars in their lifetime, as we choose to upgrade, sometimes downgrade or because our needs change and a myriad of reasons in between.

“Therefore, it is important to always consider the resale value of your car right from the start.”

Beginning with the end in mind can also help you to determine which vehicle to choose and what features and specifications you need.

“For example, if you plan a family and intend driving the car for the next five to eight years, you may want to opt for something quite spacious like an SUV, while if you plan more offroad adventures, a 4x4 may be more appropriate,” Mpisane says.

Money also matters.

“It is about what you can afford and what you consider to be of value. When it comes to buying a car, it is not simply about the money you will pay for it now but also about what you are likely to get for it when you sell it again.”

Some car makes and brands are known for retaining their value quite well, while others lose significant value.

If you already have a clear idea of how long you will keep the car when you look for one to buy, it may be more sensible to opt for something that is known for having a good trade-in value and a reputation for being popular on the second-hand market.

Insurance is also an important factor.

“Car insurance may be a grudge purchase, but it is an important way to also safeguard the resale value of the vehicle – and yourself. It is reassuring to know that, should something happen on the road, you are covered financially.”

Looks count, and mileage is also important, Mpisane says, because it plays a key role in the resale value.

“Be conscious of how much you drive it if you have a specific resale price range in mind.”

You also have to care for and protect your car.

“Whether the plan is to sell the vehicle in one year, five years or 10 years, it always pays to look after it. This includes the way you drive but also ensuring it is serviced by a professional at regular intervals and that the necessary maintenance is done.”

Have your car serviced by the manufacturer or an approved third party, and make sure the services are logged so the vehicle has a clear service history, which will stand you in good stead when it comes to selling.