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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 goal is to help you make smarter financial decisions by offering you interactive tools and financial calculators as well as publishing objective and unique content, by enabling users to conduct research and compare data for free — so that you can make sound 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 Earn Money The offers that appear on this website are provided by companies who pay us. This compensation may impact how and where products appear on the site, such as for instance, the sequence in which they be listed within the categories of listing and other categories, unless prohibited by law. Our mortgage or home equity products, as well as other home loan products. But this compensation does have no impact on the information we publish, or the reviews you see on this site. We do not contain the universe of companies or financial offers that may be open to you.
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5 min read published on February 27, 2023.
Written by Allison Martin Written by
Allison Martin’s career began more than 10 years ago as a digital content strategist. She’s been featured in a variety of top financial media outlets such as The Wall Street Journal, MSN Money, MoneyTalksNews , Investopedia, Experian and Credit.com.
Edited by Rhys Subitch Edited by Auto loans editor
Rhys has been editing and writing for Bankrate since the end of 2021. They are dedicated to helping their readers to control their finances by providing concise, well-studied and well-researched content that breaks down otherwise complex subjects into digestible chunks.
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The demand for second-hand cars is very high because of a . Although the shortage is decreasing and may even be over by the end of this year, many automobile producers continue to produce less vehicles than they normally produce. So, dealers are still facing smaller amounts of inventory. It’s good news, however, if you happen to sell a car that is used because you’re likely to attract plenty of potential buyers. However, before you put up an advertisement on the internet there are a few steps to take to make sure you receive the highest price for your ride. 8 steps to selling your old car an asset as important as a car, you want to secure the highest price you can. Clean your vehicle prior to listing it for sale. Take time to determine the best price for selling and understand how to negotiate effectively. 1. Pick the method you prefer to sell your car There are three options to sell your vehicle. Sell it to a third party: only is it possible to purchase a car from a dealer . It’s convenient, as you don’t need to promote the vehicle to potential buyers. However, you will not get as much value for the vehicle as with an auction. A private sale will typically be able to get more if you sell it on your own. But you’ll have to do the legwork to find the ideal buyer and agree on a specific sale price. Dealerships: Many dealers offer a no-cost, no-obligation cash offer for your vehicle. It’s quick and easy, and you’ll have the time to consider whether or not to accept it. Car buying websites like Shift and AutoNation guarantee to offer you a price for your car within minutes. You’ll have to provide the necessary information regarding the car’s make, model, color and mileage. You’ll also need to upload images. These companies will pay you cash fast for your vehicle, but they usually charge service fees which can eat into your earnings. 2. Take the required documents cannot sell your car to a private or dealer party unless you’ve got these documents on hand Documents from the initial transaction of selling the car. The title of the vehicle. Any service records available. If you’re not able to find any of these documents, make sure you have them available in order to sell your vehicle. Otherwise, you could encounter issues when trying to close the deal. It’s also a good idea to have the documentation for emissions tests accessible if you reside in a state where emissions tests are required. In addition, if warranties still are in effect for your vehicle, keeping the paperwork in your possession is crucial. It is possible to get more for a vehicle that is still covered by warranties. 3. Prepare your car for sale After you’ve determined how to market your vehicle and collected the required paperwork, it’s time to prepare it for the market. Ideally, you want to spruce up the interior and exterior of the vehicle to shine in the eyes of potential buyers. Have your car professionally cleaned or spend time cleaning and shampooing carpets, cleaning the mirrors and exteriors, applying wax if necessary and making the tires shine. Also, bring your car in for an oil change. If your brakes or your tires are coming to the expiration date it is time to get them replaced. It is recommended that the mechanic replace any burnt-out light bulbs or windshield wipers that don’t work correctly. And plan to fix cracked windshields, scratches or scratch marks. Bankrate tip
Detailing your used car and making important cosmetic repairs is similar to staging a home for sale. The way your car looks matters and will help fetch more money. Few people want to purchase an automobile that is adorned with scrapes or dents or a messy interior.
4. Determine the best price for your sale. If you intend to sell your old vehicle to a private buyer , . A figure that’s too high can turn potential buyers off and selling at a price that is too low means you will get lower than you’re worth. You must do your research to ensure you price the car right and leave a bit of flexibility for negotiations. There are a variety of tools to calculate . Use your » » feature from Kelley Blue Book or refer to Edmunds to determine the value of your car. You can also use Autotrader or look up classified ads to look for similar listings in your neighborhood. 5. Spread the word to everyone in your network that you’re selling your vehicle and ask them to spread the word. You can also post on social media, or post ads on sites with an online marketplace for used carslike 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 what it appears like underneath the under the hood. The ad should also mention the year, model and year of the car, its current condition along with the asking price and acceptable payment options. Include the features that stick out, such as an extended warranty, a high fuel efficiency rating, heated seats, and why you want to sell the car. 6. Come ready to negotiate To be prepared for negotiation, regardless of whether you’re selling privately or to a dealership you can take your car to a few dealers and obtain offers. Utilize this information along with what you’ve found when researching your car’s value through websites like Kelley Blue Book or Edmunds to guide your negotiations with potential buyers. It is important to arrive at your table with cheapest price that you can accept in the back of your mind, and be ready to counteroffer. Start the conversation off by letting the buyer give you a number. If it’s a good number, it’s up to you to decide whether to request more or go forward with the sale. However, if you think the figure isn’t sufficient, try to offer a slightly higher price point above the price you’re willing to pay. The most important thing is to be ready to walk away in the event that you are unable to reach a fair deal with the other side. 7. Be cautious and secure when selling your vehicle. Safety is of the utmost importance when you arrange an auction for your vehicle with a private party. The seller may prefer to pay in cash. S uggest that they use an online payment processor that is not contactless, like PayPal, instead. A cashier’s cheque is another option. The check will clear because the funds are immediately taken from the buyer’s bank account when the check is signed. If the buyer is interested to test drive the car prior to committing to buy the vehicle, contact your to ensure you will be protected in case that you are involved in an accident. Additionally, choose a well-populated area and agree to the route prior to it beginning. You might also wish to bring someone else with you to ensure your safety. 8. The sale is official final, you’ve found the perfect buyer and you’re eager to finalize the sale. However, before you can conclude the deal, you must visit the DMV office in the area (Department of Motor Vehicles) with the buyer to transfer the vehicle’s title to the new owner. Keep in mind that this process is different in every state. Some may require proof of a passed inspection or to contact the tax assessor’s office in the county you reside in. The rules applicable to your state at . The next steps are based on whether you want to make an extra amount of cash or swap your car out to buy a new one, these tips will help you get top dollar for your ride. However, a private party sale is likely your best option to maximize your profit. Make sure you get a few valuations before listing your ride to ensure it is priced right and sells in record time.
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Written by
Allison Martin’s work began over 10 years ago as a digital media strategist, and she’s since been published in several leading financial media outlets including The Wall Street Journal, MSN Money, MoneyTalksNews , Investopedia, Experian and Credit.com.
Edited by Rhys Subitch Edited by Auto loans editor
Rhys has been editing and writing for Bankrate since the end of 2021. They are passionate about helping readers gain the confidence to control their finances by providing concise, well-studied information that breaks down otherwise complex topics into digestible chunks.
Auto loans editor
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