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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 interactive financial calculators and tools, publishing original and objective content, by enabling you to conduct your own research and compare information at no cost to help you make sound 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 offers that appear on this site are from companies that pay us. This compensation can affect the way and when products are featured on the site, such as, for example, the order in which they be listed within the categories of listing in the event that they are not permitted by law for our mortgage or home equity products, as well as other home lending products. However, this compensation will 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 accessible to you.
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5 min read published February 27, 2023
Written by Allison Martin Written by
Allison Martin’s career began more than 10 years ago as a digital media strategist. Since then, she’s been featured in a variety of top financial publications, 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 to manage their finances through providing precise, well-studied information that breaks down otherwise complex topics into manageable bites.
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The demand for used cars is high due to a . Although the shortage is decreasing and could come to an end this year, many auto producers continue to produce less vehicles than they usually would. That means dealers still have less inventory. It’s good news, however, if you happen to sell a car that is used since you’re likely to attract plenty of potential buyers. Before you place an advertisement on the internet, there are some guidelines to follow to make sure you receive the highest price for your car. 8 steps to selling your car used an asset as significant as a car you want to secure the most competitive price. Invest in cleaning your vehicle prior to putting it up for sale, take the time to find the right sales price and know how to bargain effectively. 1. Choose which way you’d like to market your vehicle.. There are three ways to sell your vehicle. Sell it to a third party: only will work if you’re planning to purchase a vehicle from a dealer . It’s convenient because it doesn’t require you to advertise the vehicle to potential buyers. However, you won’t get as much for it as you would at an auction. A private sale will usually be able to get more in the event that you decide to sell it yourself. But you’ll have to work hard to find the ideal buyer and negotiate a concrete sale price. Dealership: Many dealerships offer a no-cost and no-obligation cash deal for your vehicle. It’s quick and easy, and you’ll have an agreed-upon time frame to decide whether or not to accept it. Car buying websites: like Shift and AutoNation will make an offer on your car within minutes. You’ll have to provide the necessary information about the vehicle’s name, model, color and mileage. Additionally, you’ll need to upload pictures. These companies provide cash quickly for your vehicle, but they typically charge service charges that eat into your profits. 2. Gather the necessary documents You aren’t able to sell your vehicle to a private or dealer party unless you’ve got these documents on hand: Paperwork from the original purchase of your vehicle. The title to the vehicle. Any service records available. If you’re lacking one of these documents, ensure you have them on hand to sell your car. Otherwise, you could have issues trying to close the deal. It’s also recommended to have the documentation for emissions tests available if you live in a state where these tests are mandatory. In addition, if there are warranties that apply to vehicles, having the paperwork on hand is also important. It is possible to get more money for a car that is still protected by warranty. 3. Prepare your car for sale When you’ve made a decision on how you want to market your vehicle and gathered the necessary documents, you’re now ready to get it ready for the market. In the ideal scenario, you’ll want to spruce up the interior and exterior of the car to give it a shine potential buyers. Get your car professionally detailed or spend time vacuuming and shampooing your carpets, cleaning the mirrors and exteriors, applying wax if necessary and making your tires shine. Also, take your vehicle to the mechanic for an oil replacement. If your tires or brakes are nearing the expiration date, now is the moment to replace them. You should have the mechanic swap out any burned-out lights and windshield wipers that do not perform as they should. And plan to fix cracked windshields, scratches or dents. Bankrate tip
Cleaning your car’s exterior and making important cosmetic repairs is similar to staging your home to sell. The way your car looks is important and can help you get a better price. Most people do not want to buy cars that are splattered with scratches or dents or an unclean interior.
4. Set the right sales price If you are planning to sell your 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 could result in you receiving less than you should. So, you want to do your research to ensure you price the car right, while leaving a little some room for negotiation. There are many tools to determine . Utilize your ” ” feature from Kelley Blue Book or refer to Edmunds to determine the value of your vehicle. Also, you can utilize Autotrader or refer to classified ads to search for similar ads in your local area. 5. Make sure to inform everyone on your list that you’re selling your vehicle. Ask them to spread the word. You can also make a post on social media sites or advertise on sites with a used car marketplace — such as Autotrader, Kelley Blue Book or Cars.com or in local newspapers. When creating the ad include photos that showcase multiple angles of the car’s exterior, interior and how it appears 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 along with the asking price and acceptable payment options. Additionally, you should include any the features that stand out, like an extended warranty, a high fuel efficiency rating, heated seats, and the reasons you’d like to sell the vehicle. 6. Be prepared to negotiate. be prepared for negotiation, regardless of whether selling privately or to a dealer, take your car to a few dealers and obtain offers. Utilize this information along with what you’ve learned by in your research of the value of your car’s on sites like Kelley Blue Book or Edmunds to guide your negotiations with potential buyers. It is important to arrive at the table with the most affordable price in your mind and be prepared to counteroffer. Begin with letting the prospective buyer throw out the number. If it’s a good number for you, it’s your responsibility to decide whether you’d like to seek out more or move ahead with the purchase. However, if you think the figure isn’t enough, you can try to counter with a price point above the price you’re willing to pay. Be prepared to leave if you cannot come to a fair agreement with the other party. 7. Be cautious and secure about the sale Safety is of the utmost importance when it comes to arranging an auction for your vehicle with a private party. The seller may prefer to make payment in cash. S suggest that they utilize a contactless payment processor, such as PayPal, instead. A cashier’s cheque is an alternative. The check is guaranteed to be cleared since the money is immediately withdrawn directly from the buyers bank account when the check is issued. If the buyer is interested to test drive the car before agreeing to purchase the car, make contact with your insurance company to make sure you’ll be protected in case of an accident. Make sure you choose a safe region and agree on the route before it starts. You might also wish to bring someone else with you for extra safety. 8. Get the deal signed off at finally, you have found the perfect buyer and are eager to close the deal. However, before you can conclude the deal, you have to go to the local DMV (Department of Motor Vehicles) with the buyer to transfer the title of the car on to the buyer. Keep in mind that this procedure is different in every state. Some states might require you to provide proof of a passed inspection or to contact the tax assessor’s office in the county you reside in. The rules for your state by visiting . Next steps , whether you’re trying to make more cash or trade your vehicle for a new one, these guidelines will allow you to get the best dollar for your ride. A private sale is the most likely way to maximize your profits. Be sure to get some valuations prior to 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 began more than 10 years ago as a digital media strategist. She’s been published in several leading 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 writing and editing for Bankrate from late 2021. They are passionate about helping readers gain the confidence to take control of their finances by providing clear, well-researched information that breaks down complicated subjects into bite-sized pieces.
Auto loans editor
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