Should I restore my junk car?
Is this your situation? You’ve got an old junk car on your hands, and you’re trying to decide what to do with it. On the one hand, you’re considering selling it. On the other, you’re thinking you might like to fix it up yourself. You’re not sure which option makes the most sense, though, or how you ought to proceed. What should you do? How do you know what the right choice is?
Deciding what to do with a junk car can be complicated, confusing, and incredibly challenging. While there are certain situations where it might make sense to fix up your junk car, it’s often better to simply sell it and make the switch to something newer and significantly more reliable. If you car is simply rusting in the garage or won’t even start, and your in Minnesota, we offer free towing all over the state. We’ve put together this quick, easy guide to help you make the right choice. Read on to get started.
Assess the title status
First off, you need to determine the status of the vehicle. If it has a salvage title, that will make things significantly more difficult. Salvage titles are used to denote vehicles that have suffered from significant damage. In many states, a salvage car is difficult to register and obtain insurance coverage for. If your vehicle counts as a salvage car, it may be best to simply sell it rather than dealing with the hassle of attempting to register and insure it. If you do decide to move forward, be sure to educate yourself about salvage vehicle laws in your state before you go any further.
Do the math
Here’s the biggest determining factor: how does the cost of repairs stack of when compared to the value of the vehicle?
First off, you’ll need to determine what it will cost to restore and repair your junk car. This can be a long, time consuming process. If you’re going to do the work yourself, you’ll need to price out the parts involved. Don’t forget to put a value on your time, too. Keep in mind that this project will likely take you many, many hours to complete, and time is money. If you’re having someone else do the work, as them for a detailed estimate.
Once you have a good sense of the cost of repairs, determine what the value of the vehicle will be once the repairs have been completed. Consider using the Kelley Blue Book for this. Alternatively, you can find similar vehicles on Craigslist and see what they tend to sell for. Remember, just because someone’s asking a particular price for a vehicle online doesn’t mean the vehicle is actually worth that much.
Compare the two numbers. If your vehicle is going to be worth significantly less than the cost of repairs, it’s probably a better idea to sell it than to fix it up. In particular, consider what the car is worth in its current state.
Sell to a junk car buyer
Think of it this way: if you can get a few hundred (or even a few thousand) dollars for your junk car in its current condition, and you can sell it quickly (with a minimum amount of time invested), that may be a better move than trying to fix it up. Particularly if the car is going to be worth less than the cost of repairing it, you’re likely better off simply getting rid of it and using the money you receive for a down payment on a new vehicle.
If you decide to sell your junk car, be sure you choose a reputable junk car buyer like Junk Car Traders. We’ll beat any other offer for your junk car. To learn more, visit JunkCarTraders.com.
References
https://www.autoauctionmall.com/learning-center/how-can-i-restore-and-rebuild-a-salvage-car-myself/
