Smart SpendingSmart Spending

Time to sell your iPad 2?

Here are 5 tips to get the best value from selling your tablet before the iPad 3 release.

By MSN Money Partner Feb 15, 2012 1:17PM

This guest post comes from Lindsay Sakraida at Dealnews.

 

Dealnews on MSN MoneySeeing as the iPad is the No. 1-selling tablet in the world, there's a very good chance that you own one. And there's also a good chance that you own the latest and greatest version: the iPad 2.

 

But what if you also happen to be an Apple-phile and the promise of an upcoming iPad 3 release is tempting you to upgrade? You may then be considering selling off your iPad 2 to raise some funds for the new tablet toy.

 

Common logic dictates that you'll receive a higher resale value for your used device if you part with it now, rather than waiting for the new generation to be announced. Adding to the argument that you should sell now is the fact that there are also rumors swirling that Apple won't actually discontinue the iPad 2 at all, but instead will announce that it will be sold for less.

This is just a rumor, and many are skeptical, but if it proves true, the trade-in value for your used iPad 2 will immediately plummet.

 

These signs may point to sell, but if such an iPad 2 announcement doesn't come to be, your device might actually become more valuable if you wait until the iPad 3 release, as we'll explain below.

 

Confused by this curveball, and all the possible scenarios? Don't be, because we've created a detailed plan of action for ensuring that you get the best value for your iPad 2 device, regardless of how the Apple announcement unfolds. And it all starts by taking a long hard look at your iPad 2. Post continues below.

1. Assess the quality of your tablet.

Before you can even begin to estimate how much money you'll get for trading up your iPad 2, you'll need to assess its condition. It's easy to forget how far from new your tablet really is, since it's been an extension of your being for some time now.

 

However, even minute scratches will lower its resale value. If your device is fully functioning, and the glass is crack-free and devoid of dead spots, you're in pretty good shape. Minor scratches, though, are the defining line between being in flawless versus good condition (although the sites that buy used electronics often define these parameters differently, as we'll explain).

 

2. Do research on what price you can get now.

Two merchants that make it very easy to trade in your electronics are Gazelle and NextWorth. At the time we initially published this post, a flawless iPad 2 16-GB Wi-Fi tablet would get you $270 on Gazelle, while NextWorth offered $371, based on a more complex number of factors indicating condition. The greater number of factors for the latter, however, means that price can vary drastically. If you have minor scratches on the back, for example, the price could drop to $165 with NextWorth, whereas Gazelle still offers $250 for a device with minor flaws. Weigh both options to see which service offers the better value for the specific condition of your iPad.

 

3. Lock in a trade-in value.

In the event that Apple announces it will continue to manufacture the iPad 2 but at a lower price point, the value of your used iPad 2 tablet will be higher at this very moment than it will be come the announcement. Luckily, both Gazelle and NextWorth give you a lengthy window to send in your device while still guaranteeing the price at which you registered. Gazelle gives you 30 days, regardless of what the tablet is worth on the specific day you ship it, while NextWorth offers a 21-day grace period.

 

You could, in theory, lock in an estimate now to safeguard yourself from the possibility that Apple will relegate the iPad 2 to second-tier status. If the announcement takes place within your window, you can laugh your way to the bank as everyone else groans at a missed opportunity. Note that since the exact date of the iPad 3 announcement is still unconfirmed, a 30-day window gives you a slight advantage.

 

4. Get ready to play the waiting game.

So if there's the chance that your used iPad 2 will drop significantly in value come the iPad 3 announcement, why not just sell now and take what you can get? Well, unfortunately, the matter is more complicated than that, because if thereisn'ta price adjustment on new iPad 2s, then there's potential for the value of your used device to go up if you wait.

 

Anthony Scarsella, Gazelle's chief gadget officer, was kind enough to share with Dealnews that Gazelle generally offers the highest trade-in price for previous-generation devices immediately after the next generation of specific Apple products is announced (compared with what's offered in the time surrounding the release). This is because Apple products hold their value very well, and even used ones are in great demand; Gazelle thus wants to offer aggressive pricing in order to buy up as many units as possible while people are looking to sell.

 

According to Scarsella, after the release of the iPad 2 in 2011, Gazelle increased the trade-in value of used original iPads by about 20%. Although he predicts prices will be more stable this time around, customers could still see a slight uptick the day of the announcement.

 

5. Follow the news for iPad 3 announcements, then act fast.

That potential spike in value we just mentioned? It won't last very long. Scarsella says that if there is an increase in trade-in value, it will happen immediately; as the site buys up more stock, the amount it's willing to offer a customer will go down.

 

So pay close attention to your favorite tech news blog or media outlet, or just wait for someone to text you about it (these are major events, after all). Once the new model is announced, get to an Internet-connected source pronto to see if your iPad 2's value has changed. If the value has gone up, you might as well lock in a value once again, even if you're still unsure about selling.

Apple always loves to keep its fans guessing, so at the moment, the date for the iPad 3 announcement is still just speculation. That said, many analysts believe it will come in early March, as it did for the iPad 2 last year.

 

And whether you truly believe Apple will lower the cost of the iPad 2 or create a second smaller device to capture the Kindle Fire audience, it's always good to be cautious. Luckily, with the lock-in features of sites that buy used electronics, you can safeguard yourself and get the best price offered between now and then, whether it remains highest pre-announcement or if you're able to take advantage of a small price spike on the day of.

 

More on Dealnews and MSN Money:

24Comments
Feb 15, 2012 5:10PM
avatar
Some of the items Apple has made & marketed are pretty cool although the idea of camping out overnight for one of thses things when 6 months later the price has been cut in half & they are all over the place is quite moronic.
avatar

musiclover88 was it your stellar computer free education/upbringing that taught you how to spell phone?

 

a computer or game system or any other technology does nothing on its own-parents make all the difference. I am one of those and I monitor what my kids are doing on the computer and somehow my oldest son is still on the honor roll, and that includes spelling and math.

 

And I assume the irony is lost on you that you are complaining about the computer-on a computer.

Feb 15, 2012 4:49PM
avatar
I can't wait for the new IPad 3 launch.  As far as the comment from musiclover88 about the computer being the worst thing ever invented - I wonder how he/she is commenting??  I also wonder if not being able to spell or form a complete sentence is a result of the computer or just plain old ignorance.  I almost forgot to mention that unless the child is eating the computer, I am pretty sure they are getting fat from taking in too many empty calories and not getting enough exercise.  This I believe would be the fault of their caretaker - NOT their computer.
Feb 15, 2012 4:17PM
avatar
Americans need to quit spending  their money on needless items!
Feb 16, 2012 12:45PM
avatar
Apple has exemplified what is wrong today with American society.  They reward their customer's loyalty by coming out with a new more expensive model, just 12 months after you've bought the latest gadget.  In a time when the economy has been the toughest, this is the business practice of Apple?? who they themselves almost went bankrupt??  And besides that, people actually go out and wait on overnight lines to get these things.  Yeah, this is real smart...you may not have a job or food on the table, but at least you have your iPad and the cloud.  And people wonder why the country is in debt??
Feb 15, 2012 5:06PM
avatar

Ask your friends and read reviews about these sites before you use them.  I've heard plenty bad about Gazelle.  Check out their Reseller Ratings:

 

resellerratings.com/​store/Gazelle

 

I can't speak for the other one, but from what I've heard and read, Gazelle is a bait and switch.  You'll be better off with CL/eBay after release.  Yeah, it requires work, but it seems dealing with Gazelle can be quite the hassle as well.

Feb 15, 2012 8:55PM
avatar

I was an avid PC user, and bought an iPad merely to use facetime when I travel, to see my family.

 

But I LOVE the iPad!  It's pros far outweigh it's cons!

 

About my biggest complaint is the fact that it does not accept flash, albeit there are "apps" that kind of help, but actually complicate or freeze.  That is my biggest complaint about Apple, the fact that they give you what THEY want to give you, and you are forced to find other ways of achieving what you want.

 

Other than that, my iPad had survived my two young children, whom use it quite often to access PBS, and Netflix, and many, many, many, falls and crashes, with no adverse effects.  I average at least 1 laptop every year.  And the iPad will easily outlast them all!

 

If they do fall in price, I would jump on them ASAP, trust me you won't regret it........

Feb 16, 2012 1:27PM
avatar

I have owned both galaxy and ipad 2. I'd much rather have my galaxy tab.  Mind you I'm still using the first galaxy android 3. It still does more than the Ipad 2 ever did. the SD card made it worth while as well.

A new tab every year is kinda silly.   There are other things in life besides keeping up with the latest.  There just to expensive.

Of course!! there will always be a statement made when you carry that half eaten apple around. By the way I gave the Ipad2 away I hate I tunes.

Feb 16, 2012 11:41AM
avatar

sorry no ipad here or any iproducts...i'm not a barista. need functions not form. Samsung Galaxy Tab 10.1!

Feb 16, 2012 12:26AM
avatar
musiclover88, you didn't have to go so far to prove your point. We get that you're illiterate and angry but don't take it out on computers, which BTW was invented a little longer than 5 years ago. And if you're not savy enough to realize that the (other) irony in your posting about taking personal responsibility for your kids' computer use  is that you beat up on Mrs. Obama telling parents to take that same responsibility and apply it to what your kids are eating, then that magic cipherin' box you just used to post your complaints here about the evils of computers is the least of your worries, kiddo. 
Feb 15, 2012 9:11PM
avatar
Another Concerned American said
 
"Americans need to quit spending their money on needless items"
 
We appreciate your concern but you made no sense, check your facts!  Last quarter, Apple sold almost two thirds of their products outside of America and they sold more devices to the Chinese than to anyone else! 
May 22, 2014 5:17AM
avatar

Here is warning from CNET: iPhone "Restore" does not delete personal data

So before selling your old iPad or iPhone, you should erase all personal data first

Dec 31, 2012 7:47PM
avatar
Anyone try using http://techpayout.com ? They also claim to "make it very easy to trade in your electronics"
Feb 19, 2012 11:52AM
avatar
Birdman, if you like Galaxy so much, why are you even commenting here? Seriously. Android suffers form the same problem the Windows 6.x and RIM did and do. Fragmentation and lack of hardware spec and control. Amazon got it right, that's why they are a ecosystem contender. Win7 Phone, they envy Apple and it isn't taking off is it. Apple controls the hardware and software and playground. If you dont' like it, take your ball and go play somewhere else and leave us Applites alone. At least my stuff works and is uniform across ALL my devices. 
Feb 19, 2012 11:44AM
avatar
Seriously. Learn to spell, I guess that point about being dumbed up is right. 
fone? It's Cell PHONE.
Feb 16, 2012 6:13AM
avatar
When there is a tablet that has all the memory capabilities of the ipad, then I will consider buying one.  But I am not rushing out to buy the ipad 3 until I can't upgrade anymore.  I do think Apple upgrades too often, especially in this poor economy.  As for those complaining about Ipad being made in china, I do recall that Steve Jobs was known to have called Obama out on the laws that made him feel he was forced to manufacture in China.  He wanted to manufacture in America and told Obama he would be a one term president because of it.  Maybe all you Obama lovers who voted him in becauseo fo his color should think about that.
Feb 16, 2012 1:09PM
avatar
No one is forcing anyone to upgrade, the Ipad 2 is still the best tablet out there and I do not have to upgrade to the iPad 3 I just want to.  I took really really good care of ipad 2 had it in a case everyday as well as a screen protector and just sold it on Ebay for $400 after fees.  While companies that do trade ins are convenient, selling an item especially if it is good condition can result in a higher trade value.   I am taking a gamble that there is going to be a new ipad in the coming weeks, but that is a risk I have decided to take, and regardless I wanted to upgrade to a higher memory so it was worth it to me.  
Feb 16, 2012 4:49PM
avatar
Apple for the average user is just a rip overpriced and underpowered Xbox should be limited time for your kids thats the parents lettin kids play more then 2 hrs/day is bad and apple does get hacked so that is bs but my apply sat when I had one i do gaming on PC-Xbox-PS3 apple really sucks for that
Feb 15, 2012 7:03PM
avatar

Well if someone wants my ipad2 they can come to washington and look in the garbage and no ipad3.  Any company that does slave labor in making their products does not have my allegiance any more.

 

my mac is five years old and it will go into the garbage wont buy from apple or dell or any other company that makes their stuff in china using companies that use forced labor.  I am an american citizen and i got a moral obligation given to me by my ancestors that built and help shaped our country.

 

my obligation is to not allow companys i buy from to use child labor, force people to work 12 hour shifts with no days off, and lie to me about the problem.  I hope this country still has a concience left and stops this treatment. God people we are suppose to be helpful christians and look after our neighbors. 

Report
Please help us to maintain a healthy and vibrant community by reporting any illegal or inappropriate behavior. If you believe a message violates theCode of Conductplease use this form to notify the moderators. They will investigate your report and take appropriate action. If necessary, they report all illegal activity to the proper authorities.
Categories
100 character limit
Are you sure you want to delete this comment?

DATA PROVIDERS

Copyright © 2014 Microsoft. All rights reserved.

Fundamental company data and historical chart data provided by Morningstar Inc. Real-time index quotes and delayed quotes supplied by Morningstar Inc. Quotes delayed by up to 15 minutes, except where indicated otherwise. Fund summary, fund performance and dividend data provided by Morningstar Inc. Analyst recommendations provided by Zacks Investment Research. StockScouter data provided by Verus Analytics. IPO data provided by Hoover's Inc. Index membership data provided by Morningstar Inc.

ABOUT SMART SPENDING

Smart Spending brings you the best money-saving tips from MSN Money and the rest of the Web. Join the conversation on Facebook and follow us on Twitter.

VIDEO ON MSN MONEY

TOOLS

More