Does a new engine add value to a car?

Does a new engine add value to a car?

Yes, a new engine will increase the value of your car. Which would you pay more for, a car with a broken, worn-out engine or one with a new one fitted? Clearly a car that’s in good working order with a fully functioning engine will be worth more than one with an engine that’s belching smoke or which doesn’t work at all.

However, don’t expect a car that’s had a replacement engine fitted to be worth much more than a car that’s still running happily on the original engine

Also, keep in mind that there’s more than one type of replacement engine, and these have different effects on the value of your car.

New or remanufactured engine

If you can afford it, a brand-new engine is the most desirable and will boost the value of your car the most. A remanufactured engine is arguably just as good. This will have been taken apart and rebuilt as close to new standards as possible.

All the key components (camshaft, rods, cranks, and so on) will have been inspected to make sure they still meet the manufacturer’s specification. If they didn’t make the grade, they will have to be replaced.

The end result will be an engine that even an expert would be hard-pressed to tell apart from an entirely new engine.

Pre-owned engine

A pre-owned engine is the more affordable option. These often come from insurance write offs – cars that are beyond economic repair but which may have some perfectly good components. These working parts can be salvaged and fitted to other cars that need them.

Parts taken from crash-damaged cars are much cheaper than brand new ones – not to mention better for the environment as there’s no additional manufacturing involved.

However, a pre-owned engine will be part way through its life. Entirely new engines will cost more but will also give the value of your car a bigger lift.

Benefits of getting a new engine to a car

There are many benefits to fitting a new engine. Here are the key advantages to keep in mind:
· You extend the life of your car
· The value of your car will increase with a new engine fitted
· Performance may improve with a new engine compared with a worn one
· Fuel economy could also be better with a new engine
· Your car should be more reliable with a new engine fitted
· The new engine may come with a warranty, guarding against future bills

How much does a new engine increase car value?

That’s a tough one to answer definitively. The increase in value will depend on whether you go for a new or pre-owned engine, the make and model of car, and its age and current market value. A car that’s falling to pieces except for the brand-new engine won’t appeal to many buyers.

However, a car that’s in good condition apart from the worn-out engine will be a sought after used buy once the new engine has been fitted.

Don’t forget, we’re comparing the value of a car with a worn or broken engine with the value of a car with a quality replacement. The car with the new engine won’t necessarily be worth more than a car of similar age and mileage with the original engine in good condition.

You need to think about the value of your car and weigh this up against the cost of the new engine. It may not make financial sense to replace the engine of a very old car that’s not worth much. A replacement engine could set you back £1,500 to £5,000, which could be more than the market value of the car. If that’s the case, it’s only worth having the replacement engine fitted if you are really attached to the car and would hate to see it scrapped.

Do I need to tell the DVLA if I replace my car’s engine?

Yes, you should tell the DVLA if you have the car’s engine replaced. The DVLA will need to update its records. You’ll need to provide evidence of the change, such as a receipt for the work on headed paper which should show the engine number.

The DVLA will issue a replacement V5C (logbook) showing the change.

It’s important to do this to make sure the official paperwork tallies with the engine number in the car, and to make sure there’s no confusion for potential buyers when you sell the car on.

Do I need to tell my insurance provider if I replace my car’s engine?

Yes, absolutely. You need to tell your insurance provider. Even if you are making a like-for-like replacement and fitting the same type of engine you need to let your insurer know.

It’s doubly important to inform your insurer if you are fitting a different engine. A non-standard replacement is likely to increase your insurance premium, especially if the new engine has more power than the old one.

New engine value FAQs

● Does a new engine reset mileage?

No, it doesn’t reset the mileage. The odometer should continue without being reset. However, if the paperwork showing that a new engine has been fitted includes the car’s mileage at the time, you will be able to prove that the engine is much newer than the car. It’s important that you hang on to the paperwork to show to any future buyer.

● How long does it take to change a car engine?

This will vary from model to model. Even a like for like swap will take several hours. Reckon on at least five hours, perhaps as many as 12. Things become a whole lot more complicated if you are fitting an engine that’s different from the original. This will take a lot longer as the car will need to be modified to accept a non-standard engine.
Looking for an easy way to change your car? Then Carwow is the place to go. You can sell your old car for a great price, and get the best deals on a new one. All through our network of trusted dealers and all from the comfort of your home. Tap the button below to get started today.