Are you planning to sell your used car? Are you worried about getting the right price?
Following a few secrets, you can get the right price for your used car. So want to learn these secrets?
This article will teach you how to price your car for sale. And obviously, with these secrets, you will get as much money from the sale as possible.
However, I will discuss the process step by step.
Hang with me until I finish the whole process.
Step by Step Process to Price Your Used Car for Sale
Decide How to Sell
Many different ways are there to sell a car. They have advantages, disadvantages.
The simplest form of selling a car is to offer it as a business offer from the dealer you are buying your new car from. You may not get the maximum $ by selling the care following this way, but the car selling tax will be saved.
You can’t avoid becoming careful when you are trading a car. Salespeople will always try to make you confused. They will try to mix the car price, trade-in value, and offer you a total price. Instead of asking the total price, always ask the separate cost of every section. And the most important thing is, don’t forget to negotiate.
However, because of many reasons, the dealer will not offer you the right price. First of all, they will save time by completing paper works for trade-in sale. Secondly, they will advertise in different media to sell the car. And both options will cost them $ to do.
Besides, you can save a lot of car selling tax by trading your vehicle at a dealership.
Instant Cash Offer
A new method is there to sell your used car, and a lot of hassle comes out of the process while giving you a reasonable price. The method is ICO (Instant Cash Offer).
In fact, you can get this offer online at the dealership or over the phone. While accepting an ICO, you will need to share a few information related to your car: VIN, mileage description, condition of the vehicle, etc.
Make sure you are providing accurate and detailed information to get the best offer.
Selling the Car Yourself
If you sell your car by yourself, the chance of getting the highest price gets increased. However, to do this, you have to have in-depth knowledge of cars and different car parts.
Also, you have to spend some quality time preparing the car for sale, gathering all papers related to the vehicle, and making conversation with the car sellers.
To get a clear idea, you can read our guide on How to Sell an Old Car.
Getting Ready to Sell Your Car
If you get an offer from a private party, be noted that you will get a higher price if you show well-prepared documents of your car’s repair and service history. Don’t forget to gather all the essential documents as much as possible, so that you can show them to possible buyers.
If your car has been repaired due to any collision, show proof of what was the collision and what repair had been done. Also, keep the initial purchase documents ready in your bag if you are the first-hand user of the car. This way, you can get some additional bucks.
However, when you are going to sell your car following trade-in or ICO, these documents will not play any vital role. But these documents will add value if someone wants to see them.
Prepare Your Vehicle for Sell
Before selling your used car, it is significantly essential to prepare your vehicle to sell.
But before you prepare your car for sale, it is crucial to know to whom you are selling the vehicle. Depending on the buyer, you will need to prepare your vehicle.
The truth is, if you are not getting much $ by selling your vehicle, you will not like to invest valuable time and money behind it. On the other hand, doing some preparation will help you to sell your car quickly with the right amount of $.
Let’s say you have a 20-year old car that already finished 200,000 miles, now if you plan to wash and wax your vehicle to get extra $, it will not help actually. On the other side, if you are planning to sell your 2-years old Sedan after re-polishing, washing and waxing everything, you will get enough price for the car. Whether your vehicle is a 20-years old junk or 2-years old Sedan, you can’t avoid fixing minor damages.
In a few states in the USA, you will need to show an updated car inspection and compliance certificate when you are going to sell a used car. In other states, you have to share a warranty saying that the car will pass all inspection tests, and there is no compliance issue in the vehicle.
If the car doesn’t show performance as per your statement, you may need to pay for the repairs or take it back.
Pick an Ideal Price
Well, this is an essential part of this guide. How will you pick an ideal price? Picking a perfect price is a combination of science and art both.
At the initial stage, the price should be high enough for you to negotiate with the client. At the same time, it has to be low enough that possible clients aren’t run away.
Check the price range of a similar car available in the market. If your asking price is below a new car price, it will grab attention from many clients. You can sell your used car within a short period. On the other hand, if you pick a high price, it will take time to get the car sold.
You will find many vehicle valuation tools from online. From there, you can get an idea of what vehicles are for in your state.
Remember, if you accurately describe your car’s mileage, equipment, and condition, you will get the best price.
If you want to get some insight into car pieces, online valuation tools are the best way to get that. Also, give a close look at similar cars in your locality. Check how much price they asked. If you find you are asking more or less price for your vehicle, be sure you have to justify why your car price is high or low. So, you need to keep the answers ready. Maybe, it is high because the brand-new seat covers or may be due to collision damage; the price is low.
Give Car Sales Ads for Saling Your Used Car
Are you thinking of placing a car sales ads for your used car in your local newspaper?
In fact, it is an idea of ancient times. Nowadays, advertising in paper for car selling is simply a waste of time.
It would be best if you put an advertisement on online sites. Many online sites are available, assisting car sellers by providing ads at a low cost such as Craigslist.
Now, when you give an advertisement, you need to design description of your used car. You need to share information like mileage, options, an image of documents, and so on.
Make sure your shared images are clear and sharp. Just be careful not to mention your home address and license plate number in the image.
Also, let your client know what payment method you accept and your visiting hours to show the car.
Moreover, it would be great if you open a separate email ID for the ad. Because after selling the car, you may not require the e-mail ID for any e-mailing purpose.
Show your willingness to negotiate the price by using different code words like “firm,” “best offer,” “best low offer.” Show your interest to the possible buyers so that they understand you will be happy to sell the car to them.
Securely Present Your Car to the Clients
When you sell your car through a trade-in or ICO process, you don’t need to present your vehicle to your clients. Once you hand over your used car keys to the dealership’s appraiser, balance all will be taken care of by them. But when you decide to sell your used car on your own, you have to sweat a lot.
Don’t assume that every possible client will respond with good intentions. So, you need to be careful while showing your car to the potential client.
Avoid showing your car at your home address. Ideally, you should choose a busy location where a lot of video surveillance is also available such as the parking lot of a shopping mall. Undoubtedly, the final client will see your home address at your vehicle papers, but it is unnecessary to reveal your home address to every possible client.
In some states, a “safe exchange zone” is available. The Police Department has introduced that. In this place, buyers and sellers meet safely. These zones are very near to police stations and under video coverage 24 hours a day.
While showing your car, you always need to be honest. Don’t talk unnecessarily and provide as much information related to the vehicle your client asks.
Get Ready for a Test Run
Generally, you have to go with a possible client when your vehicle is ready to give a test run.
At this point, you need to be careful about a few specific things for your safety. Share the below information with one of your friends.
- Your possible client license number.
- Where are you both heading to?
- Possible time to return home.
Make an appointment with your possible buyer and make sure the client comes at the exact time. Thus, you will understand how much discipline your potential client is. Be noted; a disciplined person is good in all types of exchanges. Additionally, don’t allow your possible client to go to an unfamiliar place.
Instruct your friend that you will text them once the test run is over. If not, let them call your phone just to make sure everything is Okay. Besides, if you feel uncomfortable going in the test run, don’t make an appointment to go for it.
If you find your possible client is drunk or has taken drugs or alcohol, don’t allow them to run your car. Moreover, if you find that they are trying to show their skills while driving by drinking alcohol or don’t have any experience behind the wheel, you need to stop the test run without making it late. If you allow doing so, you are putting yourself at risk for sure.
Be Ready for a Pre-Purchase Inspection
Undoubtedly, your possible client will do in-depth pre-purchase inspection with the help of a 3rd party mechanic.
Either you will have to take the vehicle to their nominated 3rd party mechanic’s workplace. Also, you can schedule a time for the mechanic and your possible client to visit your home to inspect the vehicle.
If the 3rd party mechanic finds any issues in your car, don’t pretend that it is the end of the world. In this case, your client will start negotiating more to reduce the vehicle price. It is good that if any issues are existing, you can repair the problems. This way, you can sell the vehicle without any problem in the future. You should not be forced to make any repairs or use their store by any potential buyer or mechanic.
It will be great if you can keep a copy of the 3rd party inspection report. Whether the inspection report is good or bad, you can keep the record with it to use it while showing it to the next possible client.
Price Negotiating Tips
Many sellers love to sell their car through trade-in or ICO processes because they feel intimidated to negotiate their prices. While negotiating the price, you will need to believe you are doing a business negotiation, and emotion should not come while making a decision.
The thumb rule of negotiating price is, let the possible client state his/her buying price, and you indicate your selling price. Since your client will not be able to go less than his/her offered price and you also can’t change your statement, so if you disagree with the price, simply reject it. Avoid talking further with the client regarding the price. The more you will speak, the more you will be weak.
Don’t create a deadline to sell your car because this type of deadline will increase your blood pressure. Also, this kind of poor planning will lead you to sell your car for less price.
Preparing all Necessary Papers
If you sell your car through trade-in or ICO, you don’t need to sweat your forehead preparing all the necessary documents.
And when you are selling your car, it is mandatory to check your state’s DMV so that you can understand what title and documents are required to sell the vehicle. Also, inform your client to check in his/her states if the client is from another state. An automotive bill of Sale form is also necessary, which can be downloaded from many websites. Make sure the form says, “vehicle is sold-as.” It means no warranty is provided for the car by you and the sale is ending.
Remember to take a snapshot of every document or copy before you proceed with the papers. Also, discuss with your car insurance company regarding terminating your policy.
Get the Payment
This is the last part of the topic “how to price your used car for sale.”
Your trade-in value will automatically be applied to your new vehicle when you are selling your car through trade-in.
And when you receive an ICO, either they will apply it to your new car or provide you a check that needs to be submitted to the bank.
You will have to be more careful when you are selling the car by yourself.
The safest way to get the payment is to meet with the client in their bank, take the cashier check, sign off at any papers if necessary and leave the bank. Cashier’s check has become easy to forget, so it is mandatory to inspect with the issuing bank whether the check is duplicate or original. If you receive a green signal, then only complete signing off everything.
Never get agreed with any other options except the process, as mentioned earlier, to receive the payment. Many scammers are out there who want to get a car without paying. So, keep close eyes before you finalize everything.
The truth is, the above processes are standard. But many sellers don’t receive the right price due to not showing professionalism while selling a car. Emotion takes place when they are going to make a crucial decision. But you need to keep in mind; you are doing business here.
I believe you have already understood “how to price your used car for sale.” Following the above procedures, no doubt that you will get the right price for your used car.