Years ago, selling a junk car was unquestionably a good idea. The price of scrap metal was incredibly high, and that meant that junk yards would pay a serious amount of cash for just about any junk vehicle. Things have changed, though. Today, you can expect to get a fraction of the amount that your vehicle would have commanded just a handful of years ago.
So, what’s happening here?
It’s not that junk yards are suddenly out to get you. While there are indeed some less than reputable scrap yards out there, there are also plenty of honest junk car buyers who simply can’t afford to pay what they used to. That’s because the value of scrap metal has fallen off sharply in recent years. As a result, junk yards receive less cash for the scrap metal that they sell for use in industry. This means that they’re not able to offer you as much as as they used to.
What’s the deal with scrap metal prices, though? How much have they gone down? Will they go back up? And, how can you get as much cash as possible when it comes time to sell your junk car? Read on to learn more.
The impact of scrap metal prices on the sale of your junk car
The average car or truck contains anywhere from two to three thousand pounds of steel, plus a few hundred pounds of aluminum. When it comes to the majority of junk cars, your local scrap yard is going to focus on these numbers in determining the price they offer you.
Scrap metal prices fluctuate just like any other industry according to supply and demand. When demand goes down and supply goes up, prices tend to drop. When demand increases and the supply can’t meet the demand, prices go up.
As of this year, the supply-demand curve is such that prices are quite low. As a matter of fact, prices in 2015 were around $500 per ton, but over the past couple of years they’ve dropped as low as $50. That’s a huge difference!
Changes in scrap metal prices
Since 2016, prices for scrap metal have gradually and steadily increased. That said, they still have a ways to go before they can get back to their previous highs. If you sold a junk car a few years ago and made a boatload of cash, you may be expecting to repeat your experience now. Unfortunately, it’s unlikely that you’ll be able to get the same amount of money in 2018 that you got for your junk car in 2014.
Don’t despair, though: it’s still possible to get a good price for your junk car!
Choose the right junk car buyer
At the end of the day, it all comes down to choosing the right junk car buyer to work with. Many local junk yards will try to pay you next to nothing for your junk car, and some of them will even attempt to charge you a long list of last minute fees (such as towing fees). This can greatly reduce the amount of money you get for your junk car.
Meanwhile, Rusty’s Auto Salvage is a national company that also services the Sacramento, California area, with an excellent reputation. We pay the most for junk cars, and we can get you cash for your clunker in a matter of hours, not weeks. Visit our website to find out how much your junk car is worth!