With the many options available there, picking the most efficient method to sell your vehicle can be challenging. From private sales and online buyers to auctions, auctions and parts exchanges and auctions, we look into the advantages and disadvantages of each one to help discover the most effective way for selling your vehicle and at the highest price.
The best method to sell your vehicle
Selling your vehicle has become more complicated in recent years, and there are many options now available to ensure the highest return on your car, however, what’s the best choice for you?
In the past, there were two easy options to trade it in for a newer model at a dealer or opt to put it on the classifieds to be sold privately.
Today, there are four traditional ways to sell a car and each comes with its own advantages and disadvantages.
The most important aspect is to ensure that you sell your car in a fair manner by getting the most value for it. The process starts by getting your vehicle and making sure it is presented in the best possible light prior to negotiating and sending it off on its way.
Private sales
Selling your vehicle privately is typically the slowest method to sell your car, but it is also the one that can possibly earn you the highest cash. There is the hassle of having the car ready to sell marketing it, and taking on time-wasting tasks, and then you have to complete the paperwork once it comes to the time that the vehicle eventually sells.
Although it’s not the best option for everyone but for those looking to get the most value for their vehicle (in the majority of instances) it’s an effective way to sell your vehicle. Be sure to be cautious and shrewd when you let people walk looking at your car be sure to never allow anyone to try it out in the absence of proof of insurance, or allow them to drive it without you being in the vehicle.
In closing the sale ensure you’ve accepted complete payment for the vehicle before you hand keys to the buyer and ensure that the method used to pay is authentic. If you’re a cash buyer ensure that all documents are genuine and add the total amount together.
Pros and pros and
Pros
Price your item
Sell your home from the comfort of your own
Sell when you’re at the point of being
Cons
No guarantees
Possible haggling
Time-consuming
How do you advertise your vehicle
Prior to selling your vehicle for sale privately, you’ll need choose the most effective method to promote your car. It is important to reach as many potential buyers as possible, so select several different methods of marketing. You can try placing advertisements in:
Car sales websites
A window of a local shop
The window of your car
Your local newspaper
Whatever you choose, under law, you have to advertise your vehicle in a precise manner. To ensure maximum coverage, you should include the following information:
Model and make of the car
Color
Condition
Mileage
Your contact details
Year of manufacture and identification number for registration (e.g. “09” or “59” for 2009)
Service History
MOT status
Efficiency of the fuel and type
Size of the engine
The CO2 emission rate (for reasons of taxation)
Transmission
Please describe any modifications
It is also important to include information about recent repairs as well as the names of previous owners, since it could increase the sales and value of your vehicle. Also, be sure to clarify the types of payment you’re prepared to pay.
Get a lot of high-resolution images of your car to use in the advertisement. The more photos are taken, the more likely you will be to sell. Take photos of the front sides, back, sides and interioras well as the engine and the boot when you are considering selling points.
Click here to sell my car today
Private sales test drives
Potential buyers may request to test drive. Check to see if they’re legally permitted to do this.
Verify that your prospective buyer is a licensed driver and insurance coverage that allows them to drive your vehicle. The buyer might be covered by Driving Other Cars (DOC) insurance, but this kind of insurance usually provides only third-party insurance coverage. If an accident occur, the damage to your vehicle will not be covered.
Inform your insurance provider about the best way to protect your car during tests. Some insurance companies are now offering temporary policies that will cover test drives.
Always be with the prospective buyer and be the owner of the keys to your car. Get the potential buyer’s name, address , and number of contact prior to letting them test drive the car.
Tips to be safe when driving for private sales
Beware of scams and frauds:
Be cautious of offers to purchase your vehicle with no inspection
Be wary of buyers who say that someone else will pay them in their place
Do not allow any potential buyers in your home.
Have someone else with you when you go to the movies
Do not hand your car keys or any other documents until the the payment has been cleared and deposited into your account.
Be aware that a check will appear on your account within some days, but it’s not going to clear for at the least five days. It may bounce
Beware of scammers who will ask you to pay them money to sell your vehicle (aka possible scams to match your vehicle)
Beware of email phishing scams. These emails may pretend to be buyers or classifieds sites
Be wary of fake overseas buyers who request you to pay for transportation (aka possible shipping frauds)
Remember, it is prohibited to market a vehicle in a non-roadworthy condition to a buyer who is not aware. If the car isn’t safe to drive legally, it is required to state this in your advertisement and then sell it as a repair and spare components’.
How do you negotiate selling your vehicle
“The most effective advice I can give anyone would be to conduct plenty of research. The internet is an excellent resource to research things such as models, variations pricing structures, prices, and prices for part exchanges. Research”Research, research, study!” – Jason Pritchard
Always begin with a figure that is more than the amount you’re willing to accept , but make sure you keep the price that is your lowest in your head also. You are free to refuse an offer, particularly in the event that you’re not given a price that is within your price range.
Do not show you are trying to sell your car quickly, regardless of whether that’s the situation. Make sure to highlight the car’s most popular selling aspects, including its model and maker as well as its mileage, or the condition.
If you can, have the buyer give you the price first, and then begin to negotiate from there. The buyer may offer more than what you originally planned to offer.
Think about offering an unrefundable deposit in the event that the buyer isn’t able to pay the purchase price immediately. PS100 is the typical amount of a deposit.
Car purchasing services
This is most likely the fastest and easiest method to sell your vehicle. Simply enter your details online and the website then gives you an estimate for the vehicle.
There are numerous automobile buying services available however, comparison websites make it easier to navigate the process by putting you in touch with the best car buying websites and dealers in a matter of minutes. Compare prices from a variety of car buyers at once to make sure you get the best deal without spending a lot of time doing research.
Pros and cons of online car buying services
Pros
Most efficient method of selling
Multiple locations
Pay quickly
Cons
The low valuations
Haggling
Unsatisfactory sale price
How do online car buyers function
Utilize a free valuation tool to discover the value of your car worth.
Compare prices of auto buyers online to find the lowest price
If you find someone to buy your car, you can sell your car in a matter of minutes in cash. A majority of buyers offer the option of home pickup with the same day payment
The benefits of buying a car online
Sell your car for cash with outstanding financing – many online car buyers are willing to purchase cars that have outstanding finance and then pay for the outstanding finance charges in your name (with the settlement fees deducted from the total amount sold)
Free service for all customers without obligation to purchase
Review prices, fees, customer reviews and levels of service to locate your perfect buyer
Sell your car quickly Most buyers pay via money transfer on the same day that allows for same-day payment. They also allow home collection too.
How do you negotiate the sale of your vehicle
Many online car buying websites offer a free valuation service, however they charge an administrative fee following the sale. Certain companies might even charge a cancellation charge should you do not decide to sell.
The value of your vehicle is typically subject to an examination, which may impact the initial quote. Be sure to provide precise, complete details at the beginning of the process and ensure that you visit the appropriate company’s website for additional information.
Auctions
Auctioning your car is fun, especially watching bids come in. But, if your vehicle does not sell, you’ll nevertheless have to pay for the entry fee for the auction. In addition most auction buyers are in the field of motor trading which could result in your car not get the price you want.
There are increasingly private buyers at auctions who might be willing to spend more than a trader. The cars that draw the attention of private buyers as well as those from the motor business are typically popular brands or models with very low mileage and a good service track record. Cars that are difficult to find for buyers can be profitable.
If you choose to sell your car through auction, you’ll have to:
Make sure the car is ready for auction.
You must pay an entry fee
Set an amount of reserve
Bring your vehicle to an auction
Keep all keys to your car and documents
If you decide to sell your vehicle and the winner bidder is chosen, they will buy it right away and you’ll need to surrender the keys and other documents and afterward. Additionally, the auction house will deduct a commission from the price of sale. The commission percentage varies so make sure you know the commission rate before you go.
There are numerous auction firms to pick from, along with local independent auctions. Conduct a thorough research on the business to determine the one that is right for you. For instance, certain auction houses will look over and prepare your vehicle in order to increase the value of your vehicle.
Online auctions
Digital, or online auction websites allow you to sell your car quickly. Just post your car on the website, and add an extensive description and photos and then watch the auction live.
The majority of businesses charge an initial introduction charge, an insertion rate that is based on the final price of sale or both fees. Be aware of the fees prior to signing up.
Remember, you must always describe your car accurately. Roadworthy vehicles are required to be declared as such by law.
Pros
Price your item
Sell when you’re at the point of being
Sell directly from your desk
Cons
Time-consuming
No guarantees
Fees
Ebay is the absolute leader in the auction market, but it also means that there are plenty of buyers looking through the website for a vehicle to purchase. It’s a great way to sell your car when it’s got minor issues that dealers might take a large amount of money for. Be aware that you’ll be dealing with time-wasters and possible auction costs also.
Part Exchange
It is the most commonly used method to sell your car by swapping the car you have for a brand-new vehicle via a Part Exchange dealer. The benefits are that it’s easy to complete, requires no trouble (other than the negotiations) and you immediately receive the cash you need to purchase your next vehicle or can be used as a way to pay for a deposit for a brand new car, too.
Selling your car for cash to a dealer is generally thought of as the best choice, however the price you pay could be less than when you sold the car privately, because the value of the vehicle (after depreciation) is taken into account. The convenience of a part-exchange could be a convincing factor, especially if the vehicle has issues such as scratches, dents or dents which could pose a problem for private buyers.
Pros
Multiple dealers
Cash back on your next car
Buy and sell in one transaction
Cons
A few dealers are rated at low prices.
Haggling
The limit is to buy specific dealer’s stock
