If you are thinking about selling your used car, you will need to come up with a plan to make the best use of your time and resources, fortunately, we have done all of the hard work so you can just follow these tips.
Is your car paid off?
The first thing you need to confirm is the car loan on your used car is paid off. You should have received a letter from the lender saying the debt has been paid in full, this is sometimes referred to as a “lien release”
If you are not able to find the lien release, you can call the lender and ask them to email or fax a copy over. You should not try to sell your car until you have that release. What some people do is just sign the registration over to the buyer but the buyer has no way of knowing whether the car can be sold. This lien release will help you get the most money possible for the car so make sure you have it.
Are you planning on selling locally or via online auction?
With used car prices at unprecedented levels, people are choosing to sell their cars online with platforms like eBay auto. In theory, selling on these platforms should be fairly simple but there are additional costs and risks linked to this approach.
When you sell online, you must pay a listing fee to the marketplace, even if you are not able to sell the car. Even if you were able to get your asking price, you still need to pay fees and there is a risk the buyer could do a chargeback after receiving the car. These chargebacks happen quite often and it is not worth the hassle.
Selling locally also has risks, there are scammers out there who pretend to be legitimate buyers but they try to pay with fake checks or use other forms of deceit to get your car.
Alternative options worth your consideration
You should leave car selling to the professionals and go to a local dealership. The local dealership buys and sells cars every day, so they already have everything in place to make the transaction seamless.
When you bring your car to the dealership, they will prepare an official appraisal. Now, you may be expecting 100% of the retail value of your car but the dealership cannot pay that.
You have to keep in mind, the dealership is buying your car to resell it for a profit. If they pay 100% of the current fair market value, they would not be able to turn a profit. Since the dealership needs to stay in business, you should be willing to accept a lower amount. The amount that the dealership is offering is cash and can be paid out right away.
If you want to get the full market value for your car, then you should think about buying a new car from the dealership, this way you can get 100% of the retail value of your trade-in.
By sticking with the outline we have provided, you should be able to safely sell your used car.
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For any questions or concerns, please don’t hesitate to contact us here!