How to Work Out the Market Value of Your Car

When it comes to cars, ‘market value’ means the current estimated price at which a specific car model can be sold in the market. Knowing your car’s market value is important when purchasing a vehicle or putting it up for sale, helping to ensure you get a fair deal, and in an insurance context determines the amount your insurer will pay if your car is written off or stolen.

A number of factors can affect a car’s market value, including:

• Age: cars typically depreciate over time, with newer models generally holding higher value than older ones, with the exception of certain vintage or rare vehicles.
• Mileage: lower mileage generally translates to a higher value, as it indicates less wear and tear and better overall condition.
• Make and model: popular and reputable brands tend to retain their value better due to higher demand in the used car market.
• Condition: the interior, exterior and mechanical condition of your car significantly impact its value, with well-maintained cars fetching higher prices.
• Engine and transmission: automatic transmissions often come with a higher price tag in both new and used cars.
• Vehicle history and registration: a clean, accident-free history with documented service records enhances a car’s value.
• Colour: colours like silver and white are more popular and can increase a car's desirability, while more unique colours may lower its value.
• Extra features: certain features, like leather seats and advanced technology, can boost a car’s value, while excessive modifications may have the opposite effect.