Other Things To Consider
- You are legally responsible for your car until the DVLA is notified of its sale, either via sending part of the V5C or notifying the DVLA using their online service.
- Any future full months car tax you have paid will be refunded to the person named on the V5C. The new buyer will need to tax the car themselves.
- Settle any outstanding finance with your lender.
- The buyer should notify a warranty company, if applicable, of the change of ownership. Products such as servicing packages, if originally bought, may also be transferable.
- Remember to notify your insurer that you no longer own the car.
Selling A Car At Auction
Auctioning a car is quick and relatively hassle-free.
But theres no guarantee your car will reach its reserve price, and you might end up getting less for it than through other ways of selling. And, if it doesnt reach your reserved price, youll have to take it home and try again in another sale.
Most auction buyers are in the motor trade. If youre lucky and attract a private buyer, they might be prepared to pay more for your car than a dealer would be.
You can also look at online auction sites like eBay, but youll have to do a lot more of the work around creating the advert and answering questions. If your car sells, the winning bidder pays for it immediately and the auction company then gives you the sale price minus its commission. This can be up to 10% of the sale price.
Is Now The Time To Buy Out Your Car Lease
If you have a leased car or truck, it likely will be worth more at the leases A private-party sale could bring you a higher price than other options,
Jul 12, 2021 Thinking of selling your leased vehicle but wondering if its a good idea? your profit when you sell your leased car to a private party.
If its close to what the car is worth, you may just want to do the buyout and either keep the vehicle or sell it to a private party. But do that only if you
Method #1: Transfer Your Lease. When you transfer your lease to a private party, youre not so much selling a car as you are selling your lease. Technically,
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Work Out A Fair Asking Price
Depreciation is the driving factor when it comes to valuing your car to sell it. That means you need to focus on what someone will pay, rather than what you paid. If you’re struggling to value your wheels, start by looking at similar cars that are advertised on sites such as AutoTrader, eBay and Gumtree.
After arriving at the price you think your car is worth, start looking at where you would like to advertise the vehicle. Again if you are trading in or even scrapping it, don’t be afraid to hunt around, as offers from different dealers will vary depending on how desperate they are for stock.
What Information Do I Need To Sell My Used Vehicle
Depending on where you live and whether youre selling your used car privately or trading it in to a dealer, there are different pieces of information youll want to arm yourself with to negotiate your used car sale. Hang on to your vehicles service records so you can show potential buyers how well the cars been cared for, and make sure you buy a vehicle history report to be transparent about the vehicles history. A VHR can alert you to accident history, registration history, unfixed safety recalls, lien status and more, showing the buyer that you have nothing to hide. And even if your vehicle does have accident history, studies show that 61% of used car buyers are open to a car thats been in an accident, and being upfront and honest with this information and proving that any repairs have been done properly will go a long way in building trust with your customer. .
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After You Sell Your Car
Whether youre selling your car privately or trading it in at a dealership, youll need to alert your insurance carrier and lien holder, if you have one, of the change of ownership. Contact your agent and let them know that youve sold the vehicle, and make sure to add your replacement car to your policy. Depending on your new car and how you plan to use it, you may also need to adjust your coverages.
How Should I Accept Payment For A Private Sale
The number one rule is that you have the money before you hand over the keys and transfer over the ownership of your car. It is recommended that you get paid via bank transfer and ensure that the money is paid via instant payment so that youre not waiting for the money.
If the buyer wants to pay in cash, it is recommended that you check all of the notes are legitimate you can do this by going to a bank to have them verified. To avoid getting scammed, you may want to exchange the cash within a bank so you can see the cashier hand over the money and that it is legitimate.
Most importantly, regardless of the payment method you choose to accept you should ensure that you write a receipt for yourself and the buyer once the sale is completed. You may want to store an electronic copy if possible in case it gets lost by either party.
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Where Should I List My Car For Sale
Online listing sites like AutoTRADER, Kijiji and Used.ca are among the most popular places for Canadian used car buyers to start their search. Make sure your listing stands out from the rest by including all the information a customer might want to know including information about the vehicles accident history, lien status, registration history and more. Include good quality photographs, accurate odometer readings and any extra bits of information that will help show buyers that your car is the right one for them.
You Will Get Inquiries From People Who Arent Serious Buyers
After youve already spent a good deal of time getting your car ready to sell by thoroughly cleaning it yourself or having it professionally detailed, making any necessary repairs, crafting a great ad, taking lots of photos, and posting your ad and photos in several different places, the last thing you want is to waste any time dealing with people who arent even serious about buying your car.
Some people are just inquiring to see how quickly youll reduce the price. These are people who are trying to determine whether or not they might score a sweet deal at your expense. But theres an even darker side to this you need to know about. The worst-case scenario is that some of these people are trying find an opportunity to scam you in some way. These are the people you have to watch out for because they will do their best to make you think they are legitimate buyers when they really arent. The key is to be aware of the kinds of things scammers say so you can identify them early before getting sucked into their webs of lies. The potential for getting scammed is one of the biggest disadvantages of selling your car privately, so its important to take the right steps to limit your risk, including screening each inquiry someone makes concerning your vehicle.
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How To Negotiate The Best Price For Your Car
If a buyer has inspected your car and decided they want to go through with the purchase, they may try to negotiate the price to get a better deal. In order to ensure you and the buyer get a fair deal for the car, you should be prepared if the buyer tries to haggle by knowing the value of your car in the current market. You can use other similar listings online to prove that the buyer is getting a good deal and ensure that you dont hide any damage to the car in the ad.
Set The Asking Price For Your Car
This is probably the hardest part about getting your car ready to sell. But theres good news. CAA-Quebecs Automotive Advisory Services have expert knowledge to guide members and access to insider tools like the Canadian Black Book , the car resellers bible. You can also browse classified ads or auto magazines to compare your car with others of the same make, year, and model with similar equipment and mileage. Speaking of mileage, keep in mind that the average Quebecer drives 16,000 km a year. So a five-year-old car should have about 100,000 km on it. Thats another factor in setting the right price.
And once youve done that, remember that your future buyer will probably want to negotiate. Set your asking price accordingly and have a number that is your absolute lowest in mind.
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Serious Problems Are Rare But Can Happen
A San Diego man had a gorgeous 1973 classic Chevrolet Chevelle he advertised for sale on Craigslist. He became the target of a car thief who took the car for a test drive and just kept going. Much scarier, however, is what happened on June 30, 2017 in Lafayette. A man advertised his car for sale online and had the buyer come to his home to look at the car. Two men showed up, pulled a gun on him, robbed him, and then struck him in the head and fled the scene. You can read about this recent incident here. While serious problems like this rarely occur, you dont want to end up being one of those rare occurrences, right? There are things you can do to stay safe when selling your car privately.
Ensure Your Car Is Ready To Be Sold
Most people who have bought a car privately will probably have nightmare stories of filthy and neglected cars that they have seen. The overriding thoughts of a buyer looking at a car that’s been left dirty will be: ‘if the owner hasn’t taken the time to look after the interior of their car while they’ve owned it, what else have they neglected in terms of servicing and maintenance’? For some potential buyers, it could be enough to make them walk away without any further questions asked, as there are plenty of other vehicles on sale, and many will look like they have been maintained properly.
So the first step to selling your car, is to give it a thorough clean. This will sound incredibly obvious, but you only need to look at the classifieds yourself to see that many sellers still manage to fall at this first hurdle. Even if you just clear the car of rubbish, use a car shampoo, hoover the seats and carpets and clean the windows with glass cleaner to get the car looking tidy, it will help make a difference. Buying a car isn’t like buying a house for renovation: most buyers won’t want to look beneath the grime to see a car’s potential, they want something that’ll look good and be driveable as soon as they buy it.
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Make Your Vehicle Presentable
Your vehicles superficial appearance probably wont make or break the sale. It does not hurt to have your car look as good as it possibly can though. Wash and vacuum it and clean out any trash. You might have to go through this process more than once if it takes weeks to sell your car, according to vehicle pricing guide Edmunds.
Ensure A Safe Transaction
If the person is serious about buying the car, he or she will likely want to negotiate the price. Ideally, youve discussed forms of payment in advance, and once youve settled on a price, you can either meet them at their bank or credit union to complete the transaction or complete the transaction using a touchless payment option such as Zelle, Venmo, or PayPal.
When selling your car yourself, refuse any unusual requests, such as driving the would-be buyer to another location. Often, such a request is framed in terms of getting the money or arranging a loan to finish the sale. Instead, tell the buyer to make the arrangements on his or her own, leave a deposit and ask that the person gets in touch when ready to conclude the sale.
Due to safety reasons, be sure not to do test drives that begin and end at your home. Be sure to have the paperwork ready beforehand and keep the cars title, unsigned and out of sight until you have full payment.
Be sure the form of payment is legitimate. Stick to well-known touchless payment options, including Zelle, Venmo or PayPal. These online payment services allow the users to send and receive funds directly and securely without exchanging bank information. If the person prefers to provide a cashiers check, these payments are generally safer and less susceptible to fraud than certified checks.
Beware of fraudulent escrow services and protect yourself with secured payment
Remember these tips before you agree to use an escrow service:
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How Much Should I Ask For My Car
This is one of the hardest parts of selling a used car. Most people dont know where to start when it comes to pricing. First, check out free appraisal tools on the internet. Compare the value of your vehicle as listed on multiple sites. Be realistic when evaluating the condition of your car. Here are some sites that may help:
The bottom line is this: Know the lowest amount you will accept for your car before you start negotiating with buyers.
Don’t Sell To A Dealer
If you are considering trading-in your current car on a new one purchased at a dealer, think twice. It’s a well-established fact that you can get more money for your used vehicle by selling it privately. Car dealers need to make money on the used cars they take in trade they buy low and sell high. They’ll give you as little money as they can for your used vehicle, and since they negotiate every day, they’re probably better at it than you are. There may be exceptionsespecially if you have a relatively new car that’s coming off-lease. But the biggest thing a dealer has to offer is convenienceone-stop shopping that enables you to trade-in your old vehicle on the spot and avoid the work of selling it yourself. But that extra effort will be worth it.
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How Much Is Your Car Worth
The first step of selling your car is working out how much your car might be worth.
You can get an idea about the possible value of your car from the following websites:
Its important to remember these are only estimations and there are several other factors which might affect the value. For example, any damage, quality of the tires, service record and how long is left on the MOT.
But there are other things you need to take into consideration when valuing your car.
For example, it might take longer to get the best possible price for your car. So, if you need money quickly, you might want to consider selling at a lower price.
How To Sell Your Car Privately
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Selling your car on your own can be a nerve wracking experience. There are a number of documents you’ll need to legally transfer the ownership, but beyond that, you might need to make repairs, get an inspection, and complete a laundry list of other chores to ensure you get the best price for your vehicle. It can all be overwhelming, but armed with a little knowledge, your car can be ready to sell in no time at all.
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The Sale Contract And Down Payment
Protect your transaction. Ask for a non-refundable down payment, in case your customer changes their mind. Its best to draw up a contract. A contract is not required for private-party sales but CAA-Quebec recommends having one and even provides a model contract members can download.
Model contractPDF file 382 kB
Use it to specify the date for full payment and transfer of ownership, contact information for you and the buyer, information about the vehicle , the warranty, the requested down payment, the price, etc. If things dont work out, this will make it easier to sell to someone else.
How To Get Paid Securely
Were sure you dont want to get scammed when selling your car, so its really important to make sure you receive payment securely. Ask for the buyers phone number and vet them a little before you organise a viewing. Make sure they are actually serious about offering to buy your car.
Most classified ads sites recommend online bank transfers as the best method of payment rather than being paid in physical cash which is not legal for companies, but there are other options out there.
Third-party companies that can hold the money until the transaction has been completed. This could work, but make sure you use a legitimate company.
Always check with the Financial Conduct Authority to avoid using a fraudulent company. You could also use other payment methods like bankers draft.
Wait until you have had confirmation of payment from your bank or payment provider before you hand over the keys.
Importantly, no matter how you end up getting paid, when you have completed the sale, make sure you provide the buyer with a receipt and keep a copy for yourself.
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