PSA: Before the release of the iPhone 14, it's a good idea to trade in your old iPhone.

 The release of the iPhone 14 is widely speculated to occur early next month. Considering a change? You're not alone; millions of customers will be looking to trade in their outdated iPhones for brand-new ones. However, we have a crucial piece of advice: it could be best for you to turn in that outdated gadget before the iPhone 14 is released.

The impending release of a new generation of Apple flagships may seem like a sweet reward, but it's crucial to comprehend how the trade-in game functions. If you want to earn the most money for your old phone, you should time your trade-ins carefully if you have an older handset.

Because of how the main carriers' trade-in programmes operate, it can be the case, for instance, that you'll get a better deal if you trade in for an iPhone 13 right away rather than waiting for the iPhone 14. It's too soon to predict what the iPhone 14 pre-order window will offer, but certain older iPhones will undoubtedly see a sharp decline in value.

Tiers of trade are described.

Because there are so many different iPhone models available right now, retailers and carriers typically classify them into tiers when deciding value. Higher tiers obviously include more recent or expensive models, whereas lower tiers include more traditional or less expensive ones.

On models that fall somewhere in the middle, such as the iPhone XR or iPhone XS, things tend to get a little murkier. These are still fantastic gadgets with outstanding specs, but they are undoubtedly getting older. It's safe to anticipate that these older models, albeit still functional, are most likely to lose value when the newest flagships are introduced. Just as an example, both of these gadgets are now categorically "last gen" due to their outdated designs and limited 4G support.

Since they can handle the newest cellular networks and have an exterior that looks identical to the later generations, the 5G ready phones (iPhone 12 and upwards) should be far more resistant to reductions in resale value.

How much specifically will I receive in a trade?

The terms and conditions for carrier cell phone offers are one of the finest places to learn how the "trade-in tier" system works. Consider this Verizon iPhone 13 trade-in promotion page at Best Buy (opens in new tab).

The current iPhone models are displayed in this image in tiers. If it's in good shape, any iPhone newer than the iPhone X will save you up to $800 when you trade it in for an iPhone 13. Anything older, such as the iPhone 8, will only be eligible for a trade-in discount of up to $400. Anyone using an outdated handset, such as the iPhone 5, is absolutely out of luck.

While simply a snapshot of one carrier's offers on one model at one retailer, this kind of method is used in almost all trade-in offers at reputable companies. Consequently, depending on your carrier decision, you can find yourself in the sweet spot for trade-in value or on the verge of losing out significantly on the worth of your device.

Because this is the value that has typically been provided at launch for the previous few iterations, we're making the assumption that $800 is the highest trade-in rebate you'll be able to receive for the upcoming iPhone 14 offerings. However, because the item itself hasn't been formally introduced and nothing has been confirmed, take this value with a huge grain of salt.

What about resale values for used goods?

Of course, selling an unlocked cellphone on eBay or another site for used phones is another way to upgrade. In this situation, it's possible that the release of a new iPhone will still hurt you, but you won't experience the sharp value decline linked to the trade-in levels.

The value of current iPhone models decreased by an average of 14% in the month after the launch of the iPhone 13, according to a research earlier this month from the used phone marketplace SellCell. Interestingly, the slightly older iPhone 11 series experienced a flatter loss of just 8.8% on average while the recently replaced flagship devices (the iPhone 12 series) suffered the biggest drops with an 11.9% decline on average. Here is a brief graph from SellCell's research that illustrates how the value of the iPhone 12 series declined with the release of the iPhone 13.

It's interesting to note that the market for used unlocked devices operates under fundamentally different guidelines than the carrier trade-in tier scheme. According to the SellCell report, if you have an iPhone 13 that you want to sell, for instance, you should do so before the iPhone 14 is revealed. If you have an older phone, such as an iPhone 11, you probably won't experience nearly as sharp of a reduction in value, but you should still sell it before the new flagship is shown.

Should you update before the release of the iPhone 14?

We would at the very least advise looking into the different trade-in tiers at your favourite carrier prior to launch if you're considering upgrading your old iPhone. At the very least, doing this will prevent you from being caught off guard upon launch.

This advice is especially crucial if you have an older flagship gadget, such as the iPhone X or XS, which is in grave danger of losing its tier one trade-in value. If you're not careful, failing to at least be aware of your device's value might cost you upwards of $400, so doing some research is definitely worthwhile.

Of course, if you're seeking the sleekest and most feature-rich design available, this advice won't be helpful; you'll have to take a chance and choose the iPhone 14 when it becomes available. The iPhone 13 or iPhone 13 Pro are far better choices if you don't mind waiting for a little older device. These are still excellent gadgets, and they'll keep working for many years to come (at least until it's time to turn them in again).