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How to sell your used car in 8 steps Advertiser Disclosure Advertiser Disclosure We are an independent, advertising-supported comparison service. Our mission is to help you make better financial decisions by offering you interactive financial calculators and tools, publishing original and objective content. We also allow you to conduct your own research and compare information for free to help you make informed financial decisions. Bankrate has agreements with issuers, including but not limited to American Express, Bank of America, Capital One, Chase, Citi and Discover. How We Make Money The offers that appear on this site come from companies that compensate us. This compensation can affect the way and where products appear on this website, for example such things as the sequence in which they appear within the listing categories and other categories, unless prohibited by law for our mortgage, home equity and other home lending products. However, this compensation will not influence the information we provide, or the reviews that appear on this website. We do not cover the vast array of companies or financial deals that could be available to you.
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5 minutes read. Published February 27, 2023
Written by Allison Martin Written by
Allison Martin’s work started over 10 years ago as a digital content strategist, and she’s since been featured in a variety of top financial media outlets such as The Wall Street Journal, MSN Money, MoneyTalksNews , Investopedia, Experian and Credit.com.
Editor: Rhys Subitch Edited by Auto loans editor
Rhys has been editing and writing for Bankrate since late 2021. They are passionate about helping readers gain the confidence to manage their finances by providing precise, well-studied information that breaks down complicated topics into manageable bites.
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The demand for used vehicles is very high because of a . Although the shortage is decreasing and could even be over by the end of this year, many auto producers continue to produce less cars than they typically would. This means that dealers have lower levels of inventory. This is good news in the event that you happen to be selling a used car since you’re likely to attract many potential buyers. But before you post an ad online you must follow a few basic steps to take to make sure you receive the highest price for your car. 8 steps to sell your old car an asset that is as important as a car, you want to secure the most competitive price. Clean your vehicle prior to putting it up for sale, take the time to research an appropriate price for selling and understand how to bargain effectively. 1. Choose which way for selling your automobile.. There are three ways to sell your vehicle: Sell it to a third party: only is it possible to purchase a car from the dealership . It’s convenient since you won’t have to market your car to buyers. The downside is you probably will not get as much value for your vehicle like you’d at private sales. Private sale: You’ll typically receive more when you sell it yourself. However, you will have to work hard to find the ideal buyer and agree on a specific sale price. Dealerships: Many dealers offer a no-cost and no-obligation cash deal for your car. It’s fast and simple and you’ll get a set period to decide whether to redeem it. Websites for buying cars: such as Shift and AutoNation will make an offer on your car within minutes. You’ll have to provide the necessary information regarding the car’s model, make, model, color and mileage. You’ll also need to upload photos. These companies offer cash in a short time for your vehicle, but they often charge service fees that eat into your profits. 2. Gather the necessary documents You aren’t able to sell your vehicle to a private or dealer event unless you have these documents in your possession: Paperwork from the original transaction of selling the car. The title to the vehicle. Any service records available. If you’re missing any of these documents wait until you have them in your possession in order to sell your vehicle. In the event that you do not, you may face complications when trying to close the deal. It’s also recommended to have emissions test documentation available if you live in a state where emissions tests are required. In addition, if warranties still apply to vehicles, having the documentation available is essential. It is possible to get more money for a car which is still insured by the warranty. 3. Get your car ready for auction When you’ve made a decision on how you want to sell your car and have gathered all the paperwork, it’s time to prepare it for the market. Ideally, you want to clean up the interior and exterior of your vehicle to make it shine for prospective buyers. Get your car professionally detailed or spend some time vacuuming and shampooing carpets, cleaning the mirrors and exteriors, applying wax, if needed, and making your tires shine. Also, bring your car to the shop for an oil change. If your tires or brakes are nearing the final stage of their service it is time to have them replaced. It is recommended that the mechanic replace any burnt-out light bulbs or windshield wipers that don’t perform as they should. Also, plan to repair cracked windshields, scratches or scratches. Bankrate tip
Detailing your used car and making the necessary cosmetic changes is similar to staging your home for sale. The appearance of your car is crucial and can result in more money. Many people don’t want to purchase cars that are splattered with scratches or dents or a messy interior.
4. Set the right sales price If you intend to sell your vehicle to a private buyer , . A figure that’s too high could cause buyers to be turned off, and selling for too low means you will get less than you’re entitled to. Therefore, it is important to do your research to ensure that you set the right price for your car and leave a bit of some room for negotiation. There are many tools to calculate . Use the » » feature of Kelley Blue Book or refer to Edmunds to determine the value of your vehicle. Or you can use Autotrader or look up classified ads to look for similar ads within your area. 5. Make sure to inform everyone on your list that you’re selling your vehicle. Ask for them to spread the word. You can also post on social media, or post ads on websites that have an online marketplace for used carsfor example, Autotrader, Kelley Blue Book or Cars.com — or in your local newspaper. When you create your ad, include photos that capture various angles of the vehicle’s exterior, interior and how it’s like under the under the hood. The advertisement should also include the year, year of manufacture and model of the vehicle and its condition at the time of writing, the asking price and acceptable payment methods. Also, include features that make it stick out, such as an extended warranty, fuel-efficiency rating or heated seats and the reasons you’d like to sell the car. 6. Prepare to negotiate. To be prepared for negotiation, regardless of whether you’re selling privately or to a dealer you can take your car to several dealers and get offers. Use this information and what you found researching your car’s value on sites like Kelley Blue Book or Edmunds to guide your negotiations with potential buyers. You’ll need to go to an agreement with cheapest price you’ll accept in the back of your mind, and then be ready to counteroffer. Start the conversation off by letting the buyer throw out a number. If the number is acceptable then you have to decide if you want to ask for more or move forward with the deal. However, if you think the figure isn’t sufficient, try to counter with a slightly higher amount that is greater than the amount you’re willing to accept. The most important thing is to be ready to walk away if you cannot agree on a fair price with the other side. 7. Be smart and safe regarding the sale. Security is of paramount importance when it comes to arranging selling your vehicle through a private gathering. The seller might want to make payment in cash. S suggest they use the contactless payment processor like PayPal instead. A cashier’s check is another option. The check is guaranteed to be cleared since the money is immediately pulled directly from the buyers bank account when the check is signed. If a potential buyer wishes to drive the car before committing to purchase the vehicle, contact your insurer to ensure that you will be covered in the event that you are involved in an accident. Make sure you choose a safe area and agree to a route before it begins. You may also want to bring someone else with for added security. 8. The sale is official last, you found the perfect buyer and you’re eager to finalize the sale. But before it’s a done deal, you have to go to the DMV in your area (Department of Motor Vehicles) with the buyer in order to transfer the vehicle’s title on to the buyer. Be aware that this process looks different in each state. Some may require you to provide evidence of an inspection that has been passed or that you make contact with the tax assessor’s department in your county. You can check out the regulations for your state by visiting . The next steps are based on whether you want to make some extra cash or swap your car out to buy a new one, these guidelines will help you get top dollars for your car. But, a private sale is probably the best method to make the most of your profits. Make sure you get several valuations prior to listing your ride in order to ensure it is priced right and sells in record time.
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Written by
Allison Martin’s career began more than 10 years ago as a digital content strategist, and she’s since been published in several leading financial outlets including The Wall Street Journal, MSN Money, MoneyTalksNews , Investopedia, Experian and Credit.com.
The edit was done by Rhys Subitch Edited by Auto loans editor
Rhys has been writing and editing for Bankrate from late 2021. They are committed to helping readers gain the confidence to take control of their finances by providing precise, well-researched and well-researched content that breaks down otherwise complex topics into manageable bites.
Auto loans editor
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