There could easily be 100 things to think about when it comes time to sell your car. To make it easier, we wanted to narrow it down to 10 essential things that you can do to make selling a vehicle go as smoothly as possible.
If you’ve ever wanted a job well done, it’s right now. These tips will help you build confidence with your buyers and ensure you’ll get top dollar for your car without encountering any unexpected surprises along the way.
Without further ado, let’s jump right in.
1. Buy or Perform a Pre-Purchase Inspection
A prospective buyer with strong mechanical knowledge is going to pick apart your car and lower the price as a result, where an everyday buyer will often request a pre-purchase inspection be performed by a local mechanic to ensure they have all the information they need.
Be proactive by getting your own inspection done before selling the car. If there’s nothing wrong with your vehicle, you’ll have a good report to show from a qualified mechanic. If there are things wrong, have them fixed or be prepared to explain them to the buyer. Either way, the added confidence will increase your price, cover your butt, and help ensure a fast sale with minimal negotiating.
2. Clean the Car Like It’s for Your Wedding
Your car needs to be cleaner than ever before, especially in the ad photos.
Most people don’t want to take on a project. It’s been proven over and over that a clean car will sell faster and bring in more money. After all, no one wants to buy a filthy car. Do people ever purchase a dirty vehicle from a car lot? Never! That’s because dealerships understand the value of selling a shiny, clean car off the lot.
While you are cleaning and detailing, make sure you pay special attention to:
Carpets
Glass
Seats
Ashtrays
Dashboard
Steering wheel
If you smoked or had pets in the car, you will want to steam clean the interior as well.
For the exterior, make sure you get a good washing and don’t forget the wax. A little tire shine also goes a long way. While this whole process doesn’t cost you much except your time, it can dramatically improve the price you receive when you sell a vehicle and it helps show the buyer that you’re going about selling your car with purpose.
3. Set Your Price Appropriately
Check the various sites to get an estimate of what to ask. Start with KBB and NADA to see what they estimate the worth to be. You should also take a look at sites like eBay, Craigslist, Autotrader, and AutoTempest to see what others are selling the same car for. Remember to view completed and sold vehicles whenever possible instead of ones that haven’t sold yet.
Often, there’s a big difference between what people are asking for and what the value truly is. You need to price your car reasonably compared to others when selling your vehicle – or price it lower and all but guarantee you’ll drum up some interest. After all, why would someone buy your car if they can get a cheaper one someone else?
The answer might be the added value you bring to the table with your efforts. Consider adding trust to the equation by providing a basic VIN Check for the buyer to review. Combine that with a pre-purchase inspection and there should be no surprises for the buyer to discover, allowing you to ask a higher price for the vehicle based on facts.
And remember to start high! List your car for more than you want. You can always go lower, but you can’t go higher.
4. Meet in Public and Tell Others Where You Are
Once you have your car listed for sale, you’ll start to receive calls and inquiries about it. You must protect yourself at all times because meeting strangers is a dangerous endeavor. Many people have been injured, attacked or even killed when meeting someone they didn’t know. Thankfully, this sort of thing is rare, but it’s something you should be aware of.
Protect yourself when buying a car from a classified site:
Ask to meet at a public place, like a police station, during daylight
Take someone with you, and
Let a third party know where you went and who you are meeting
A busy shopping center is always a good idea. You could also check with your local police station as some of them encourage transactions to occur in their parking lots for added safety. While you are meeting with the stranger, keep your guard up at all times. If something doesn’t feel right, don’t be afraid to walk away from the deal.
Before you allow anyone to take your car for a drive, you need to do a few things to protect yourself and your property. Verify their identity by inspecting their driver’s license. You could also take a picture of the person, their car, or their driver’s license with your phone and send that in an e-mail to a friend so they also know who you are with.
5. Handle the Test Drive with Care
Go with the potential buyer on the test drive. Agree on the route ahead of time so you know where you will be going. There’s no reason for them to take you anywhere deserted. There’s also no reason to subject your car to the worst roads in town with a stranger behind the wheel.
With a properly planned route and attention to detail, you can show the buyer the capability of your vehicle without any surprises. Remember that a car can and should be exercised from time to time, so if the seller wants to press the gas down hard or try the brakes in a sudden stop, consider letting them proceed with caution unless there’s a safety concern.
6. Negotiate Like a Pro
Because you knew to start high after reading #3, you have left room for the seller to negotiate your price!
Negotiating before the sale is a common practice but it’s rarely the best way to ensure top dollar for your sale. Leave the negotiations for once the test drive is over. In the United States, you can expect a car buyer to make an offer that’s lower than your asking price. Sometimes, it might be dramatically lower. This is not meant to be offensive, it’s simply a case of trying to save as much money as possible.
There are several ways this might happen, so here are the best ways to handle each negotiation response.
“Let’s negotiate before I see the car.”
If you encounter a person trying to negotiate over e-mail, text or the phone, you have another problem to think about. If you offer them your discounted amount in writing before they’ve seen the car, they have room to ask for even less when they arrive. Instead, tell them you’ll negotiate once they have seen the car.
If you are confident you have disclosed everything to the seller and they won’t discover anything new when they see the vehicle, you could offer a price range you expect the sale to fall within. For example, “I’d like $15,000 but if you find anything that concerns you, I’ll be happy to talk about it.”
“I like your car, but…”
This buyer is usually trying to negotiate on the price, but they aren’t comfortable with doing that outright. Once they go into silence, remind them of the added value you’ve placed on the car thanks to following this guide. Ask what things they’re leery about, and perhaps ask them how much they would be comfortable paying.
“What’s your best price?”
This buyer is direct and to the point. They want you to come in at a lower price than they are already prepared to pay. Don’t become too eager to reduce your price quite yet. Start with a minimal drop and watch their reaction to it, then explain the reasons your car is worth that price.
“Would you accept…?”
This is a good negotiation. The buyer has already considered what they are willing to pay and they don’t mind making an offer. They are even polite about it. Still, they will almost always offer less than they are willing to pay. Rely on the strength of your facts: call attention to the VIN Check or pre-purchase inspection to justify your asking price.
“That’s my only offer.”
This buyer doesn’t want you to counteroffer them. Many times, they might just be bluffing – even then, they are definitely close to their final price. If you are comfortable with letting them leave, do so. They might come back tomorrow and pay what you are asking, or another buyer might come into play. Of course, you risk losing them and for many sellers that risk has monetary value.
Other negotiating tips to consider
While these are just a few of the situations you might encounter, it might be best for you to practice various scenarios ahead of time. The best rule of thumb is to stay confident. Remain close to your asking price until the buyer makes a solid argument to the contrary. With that said, you may need to become at least a little flexible with the price or selling your vehicle will turn into a lengthy and tedious endeavor.
7. Prepare a Bill of Sale Beforehand
Once you have agreed on the price, it’s time to get to business. While a bill of sale isn’t required in every state, it’s still a wise thing to have. It shows that you transferred the ownership of your vehicle willingly and it proves that the sale price was witnessed by both parties. You can also obtain a Release of Liability from your state’s DMV website to indicate that you aren’t liable for what the seller does with the vehicle after the sale.
Some states require that the bill of sale contains specific information, so make sure you check the guidelines first. A strong bill of sale should always include:
Your name and home address
The buyer’s name and home address
The car’s VIN
Year, make and model of the vehicle
Current odometer reading
Price paid for the car
Date the transaction occurred
“Sold as is” clearly marked on the document
Both signatures – buyer and seller
Copies of supporting documents (like an inspection receipt)
8. Be Leary About Offers to Make Payments
You should always be on guard with payments. For example, there have been plenty of people ripped off with fake cashier’s checks. The trouble with these is that you’ve already given them the car and title by the time you realize there’s a problem.
You can accept a cashier’s check, but you want to meet them at their financial institution where the bank can verify and cash it for you immediately. Once that occurs, you can turn over the car, keys and title.
Insisting that the buyer pays in cash is the best way to handle the transaction. It’s also a good idea to use a device called a currency authentication pen to make sure the money isn’t counterfeit.
9. After the Sale, Do All Paperwork Immediately
As you finalize your sale, you want to take the time to research your state’s requirements.
Start by recording the current odometer reading and correctly signing the car title over. The buyer is now responsible for having the title transferred into their name and getting plates for the car. Consider obtaining a Release of Liability form from your state government website and filling that out as well, to ensure that anything the buyer does with your vehicle is on them.
Along those lines, be sure to remove your license plates when selling your car!
10. Complete the After-Sale Cleanup
Once you’ve sold your car, there are still some things to keep in mind. First of all, you want to call the insurance company and cancel your coverage. Check with the DMV to find out what you need to do after selling your car. Some states also ask sellers to report the sale. This helps to reduce your liability if something happens after the car leaves your possession.
Selling a vehicle can be an exhilarating but stressful experience. These top tips will help make the process simpler while also increasing the amount of money you’ll receive during the sale. Who knows; it’s possible you might even enjoy the process of selling your car!
If you need to get a new title for your vehicle, let us do the work for you. We can obtain a new title and registration for cars, motorcycles, and almost anything with wheels. We also offer VIN Checks to offer to buyers and help strengthen your asking price. Click the links to learn more about our services.
We are not attorneys. This article is not legal advice. Cover image source
A pre-purchase inspection usually costs less than $100 and takes less than 1 hour to complete. You will learn about upcoming repairs and maintenance needs as well as the vehicle’s overall safety and condition.