A junk car is useful and possesses some value which is known as scrap car value. Scrap cars can have value for their parts according to several factors, some of which have been explained below to enhance your understanding. They are;
1. The Make/ Model
The can be described as the very first factor that goes into determining the price of a junk car knowing what kind of car it is as well as the year, makes and model of the car has important roles to play in determining the current market value of the car and its parts. Since junk cars are valued differently, depending on the kinds of problems that they happen to have, the worth of a scrap car can range from 20 to 40 percent of the car’s used value.
You might be wondering how the will be determined through the range or model, They are;
• If the car is still commonly driven,
• if it’s particularly rare,
• if the demand for its parts is high, then that car will be valued more highly.
Car materials can change a great deal from year to year since different aspects of the car can be upgraded. Sometimes, environmentally friendly plastics are added and steel and aluminum content might be reduced. All these play a role in determining the scrap value of the car.
2. Vehicular condition
The buyer can only be creative with the vehicle to the degree that the condition of the car permits. Sometimes, the buyer might be able to successfully fix the car and make a re-sale, other times, it might just be treated as scrap metal, dismantled into pieces, and the parts sold in bits.
. If the total cost of repairs the car requires seems so high, then the buyer might not pay so much for the car. If the current market value of the car model is high. However, the specific condition still plays a role
Demand for the parts of the car also plays a role.
If you have a scrap car that is old and which will cost so much refurbishing, the parts of the car might still have some value to the degree that there is a rising demand for it in the market. So it is simply: The higher the demand, the stronger the value.
If other people with the same car frequently need repairs, then it is sure that demand will be on the high side. Also, if your car is rare with parts that seem so hard to find, then, your car might be high on the side of value. If your car’s parts are not often resold, the car might be of less worth. Working tires, suspension parts, lights, and other exterior parts, can command higher value and vice versa.
• Prices of gasoline
• the age of the average car and
• The number of older vehicles in use.
4. The current price of scrap metal
Although this is not a regular point of consideration, it still matters a lot in determining the going rate of a junk car. It is no news that cars that aren’t worth salvaging can be turned into scrap metal; this is because an average car contains over 2,000 pounds of steel and 300 pounds of aluminum, which can be recycled after being sold into new products. The price of scrap metal varies widely from year to year based on the supply and demand for steel and aluminum. Therefore, when there is a high supply of metal, demand becomes low, and vice versa.
The location of your junk car will help determine the price that can be generated from it. Location hinges on the following:
• The distance of the salvage yard determines whether the extra cost that might be spent by the junk car buyer will have to spend extra on transporting the car and its parts.
• price of scrap metal varies from region to region
• The popularity of specific vehicles in a certain area will determine to a large extent, the market rate of the car as well as its parts.
Different factors determine scrap car value, if you know the rules then you can use your tools to generate more money!