Determining when to trade your vehicle in depends on a multitude of variables that relate to the vehicle type, how much of its service plan/warranty remains, its mileage, age and whether your requirements for personal mobility have changed since owning the vehicle. Today we will attempt to answer whether you should trade your 5-year-old vehicle in.
Vehicle type
When determining when to trade your vehicle in, considering the type of vehicle it is becomes important as a budget-friendly commuter car is likely to be more affordable and indeed, less of a liability to own than a premium product once we have reached the 5-year mark.
Remaining warranty and service plan
There are a few vehicles with warranties that exceed 5-years, but the general rule of thumb is that after a 5-year period, a vehicle's service/maintenance plan will have run our and its warranty will be nearing its end. It is at this point where you may consider extending its service/maintenance plan and warranty or look at trading the vehicle in, should it appear costly to own going forward.
Have the vehicle inspected
A good way of determining what you are in for from a maintenance and servicing perspective once your vehicle has hit the 5-year milestone is to have it thoroughly inspected by an independent workshop which will tell you what sort of wear and tear items appear to require attention while also informing you of any potential issues that may appear in the near future. With this information, you can then make an informed decision.
Mileage
The mileage on your vehicle is an important consideration as a low mileage 5-year-old vehicle may be a better proposition than a high mileage 3-year-old vehicle, however, the type of mileage a car has on it is important too. Many of you may have heard the term 'highway milage' and 'city mileage' which is a way of describing what sort of driving the vehicle was predominantly subjected to.
A vehicle with 100 000km on the clock after 5-years of which the majority of that mileage was covered in urban driving scenarios with stop/start traffic may have just as much wear and tear on various components as a vehicle with 150 000km on the odometer but has been used for open road cruising. Similarly, a vehicle used for track days and spirited weekend driving will have more wear than a vehicle used for regular road driving only, even if both vehicles have the same mileage. The sort of driving you have covered in your 5-tears of ownership has to be taken into consideration.
Your requirements
Whether your car is immaculate or decidedly used should be a secondary consideration behind how your personal mobility needs have evolved over the 5-year period since purchasing the vehicle. You may need more space, less space, have a bigger or a smaller budget or perhaps you are looking for a new status symbol. All of these should be considered when you are looking at whether you should trade your vehicle in after 5 years.
Should I trade my 5-year-old car in?
The best answer is that it depends on all of the variables above, so use this handy checklist to help assist you with this decision.
