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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 smarter financial decisions by offering you interactive financial calculators and tools, publishing original and objective content, by enabling you to conduct your own research and compare data for free and help you make informed financial decisions. Bankrate has agreements with issuers including, but not restricted to, American Express, Bank of America, Capital One, Chase, Citi and Discover. How We Earn Money The deals that are displayed on this website are provided by companies that compensate us. This compensation can affect the way and where products appear on this site, including for instance, the order in which they appear within the listing categories in the event that they are not permitted by law. Our mortgage home equity, mortgage and other products for home loans. This compensation, however, does not influence the information we publish, or the reviews that you see on this site. We do not include the entire universe of businesses or financial offers that may be available to you.
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5 min read published February 27, 2023
Written by Allison Martin Written by
Allison Martin's work began over 10 years ago as a digital content strategist. Since then, she's been featured in a variety of top financial media 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 passionate about helping readers to control their finances through 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 high due to a . While the shortage is diminishing and could come to an end this year, many auto producers continue to produce less cars than they typically produce. That means dealers still have smaller amounts of inventory. However, it's a good thing should you be selling a used car since you're likely to be able to find many potential buyers. Before you place an advertisement on the internet, there are some steps to take to make sure you receive the highest price for your ride. 8 steps to sell your used car When selling something as significant 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. Select the best method for selling your automobile. There are three ways to sell your vehicle: Sell it to a third party: only works if you're looking to buy a car from a dealer . It's convenient since it doesn't require you to advertise the vehicle to potential buyers. The downside is you probably will not receive as much from the vehicle as with a private sale. A private sale will typically get more for your ride when you sell it on your own. But, you'll need to research to find the right buyer and agree on a specific selling price. Dealership: Many dealerships offer a no-cost, no-obligation cash offer for your vehicle. It's simple and quick and you'll be given an agreed-upon time frame to decide whether or not to accept it. Car buying websites like Shift and AutoNation guarantee to offer you a price for your vehicle in a matter of minutes. You'll provide some required information regarding the car's model, make, model, color and mileage. Additionally, you'll need to upload pictures. These companies offer cash in a short time for your vehicle, but they often charge service fees which eat away at your profit. 2. Get the required documents aren't able to sell your vehicle to a private or dealer party unless you have the following documents The original paperwork from the purchase of your vehicle. The vehicle's title. Any service records available. If you're missing any of these documents, make sure you have them on hand to sell your car. In the event that you do not, you may face complications when trying to complete the sale. It's also recommended to have documentation from the emissions test at hand if you are in a place where these tests are mandatory. In addition, if there are warranties that still remain on vehicles, having the documentation available is essential. You may even fetch more for a vehicle which is still protected by warranty. 3. Get your car ready for auction Once you've decided how to market your vehicle and gathered the necessary paperwork, it's time to get it ready for market. In the ideal scenario, you'll want to clean up the interior and exterior of your vehicle to make it shine for potential buyers. Have your car professionally cleaned or spend time vacuuming and shampooing carpets, washing the mirrors as well as washing the exterior. applying wax, if needed, and making your tires shine. Also, take your vehicle to the shop for an oil change. If your tires or brakes are nearing the expiration date it is time to have them replaced. You should have the mechanic swap out any burned-out lights and windshield wipers that do not work correctly. Plan to fix damaged windshields, scratches or scratches. Bankrate tip
Detailing your used car and making the necessary cosmetic changes is similar to staging your house to sell. The appearance of your vehicle is important and can help you get a better price. Many people don't want to purchase a car peppered with scrapes or dents or a messy interior.
4. Set the right sales price If you intend to sell your old car to a private party , . An amount that is too high may cause buyers to be turned off, and selling at a price that is too low means you will get less than you should. You must do your research to ensure you price the car right, while leaving a little flexibility for negotiations. There are a variety of tools to calculate . Use to use the " " feature of Kelley Blue Book or refer to Edmunds to get an idea of the value of your car. Or you can use Autotrader or look up classified ads to find similar ads within your area. 5. Make sure to inform everyone in your network that you're selling your car and ask them to spread the word. You can also make a post on social media, or post ads on websites with an auction for used carsfor example, Autotrader, Kelley Blue Book or Cars.com or in your local newspaper. When you create your ad include photos that showcase various angles of the vehicle's exterior, interior, and what it's under the car's hood. The advertisement should also include the year, year of manufacture and model of the car and its condition at the time of writing, the asking price and acceptable payment options. Additionally, you should include any features that make it stick out, such as an extended warranty, fuel-efficiency rating or heated seats and the reason you wish to sell the car. 6. Prepare to negotiate. To make sure you are prepared to negotiate, no matter if you're selling privately or to a dealership, take your car to some dealers and ask for offers. Utilize this information along with what you've learned by looking up the value of your car on websites such as Kelley Blue Book or Edmunds to help you negotiate with prospective buyers. You'll want to come to an agreement with lowest price in your mind, and be ready to counteroffer. Start the conversation off by letting the potential buyer give you an amount. If the figure works for you, it's your responsibility to decide whether to ask for more or move forward with the sale. However, if you think the figure isn't enough, you can counter with a slightly higher price that is higher than the amount you're willing to pay. Be prepared to leave when you can't agree on a fair price with the other party. 7. Be smart and safe regarding the sale. Safety is of the utmost importance when arranging the sale of your vehicle by a private party. The seller may want to pay cash. S suggest that they utilize an online payment processor that is not contactless, such as PayPal, instead. A cashier's cheque is an alternative. The check is guaranteed to be cleared since the money is immediately withdrawn out of the purchaser's bank account when the check is made. If the potential buyer wants to test drive the car prior to committing to buy your car, call your insurer to ensure that you will be covered in the event in the event of an accident. Also, pick a populated area and agree to the route before it starts. You might also wish to take a companion with you to ensure your safety. 8. Make the sale official At final, you've found the perfect buyer and are eager to close the deal. However, before you can officially close the deal, you have to go to the DMV office in the area (Department of Motor Vehicles) together with the buyer to transfer the vehicle's title over to the next owner. Keep in mind that this procedure is different in each state. Certain states may need proof of a passed inspection or to call the tax assessor's office in your county. You can find the rules applicable to your state at . Next steps , whether you're trying to make more cash or trade your car for a brand new one, these suggestions will help you get top dollar for your ride. However, a private party sale is the most likely way to maximize your profits. Be sure to obtain a few valuations before listing your ride to ensure the price is right and is sold in a short amount of time.
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Written by
Allison Martin's career started over 10 years prior to that as a digital content strategist. Since then, she's been published in several leading financial 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 late 2021. They are passionate about helping readers gain the confidence to take control of their finances through providing precise, well-researched and well-researched content that break down complex subjects into bite-sized pieces.
Auto loans editor
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