Should I Sell My Car to a Dealership?



Should I Sell My Car to a Dealership?

Anyone can sell their car. Even though it’s not as simple as other personal belongings, it can certainly be done. The only thing you need to do is choose how you plan to sell your car. This is primarily based on your convenience and circumstances. Let’s have a look at which method you could choose to sell your car.


Time


Most folks don’t have the time to put into selling their car privately. This requires that you advertise, speak to potential buyers and screen the ones you allow to take your car for a test drive. You’ll even have to get your car sale-worthy by having it cleaned and fixed up because without doing that, the price of your car may be lowered. Paperwork differs from state to state, so you’ll have to check with the department of licensing to get the paperwork in order. This is why selling to an authorized dealership is much simpler and much less time consuming.


Financing


If you’ve taken a loan on your car and you haven’t paid it off when you want to sell your car, it could be difficult to sell to an individual buyer. Since the paperwork involved can be quite complicated, you’ll need to know what documents are required. However, a dealership is well versed in handling such cases and is ready to file the payment to the financing company. Any remaining amount will have to be paid by you.


Age of the Car


In many ways, selling your five-year old car or older makes a lot of sense. This is when you can get a reasonably good resale value for it regardless of whether you sell privately or to a dealer. Plus, you’ll be able to use the amount you get toward paying off your new car. But if it’s more than ten years old, you’ll have a harder time selling it privately. Dealerships that deal with a single brand are also not likely to be interested in an older car, thus, your best bet is to sell to a multi-brand dealership.


Trade Offers


If you plan on buying a new car anyway, trading in is a great option. Even though many may say that selling privately fetches a better price, when you trade in your car, you’ll be able to take advantage of sales tax benefits, loyalty benefits and more. For example, if your car is valued at $5,000 and your new car costs $25,000, you’ll only have to pay sales tax on $20,000. Some car manufacturers offer loyalty bonuses or complimentary packs in terms of added accessories for those who are second time buyers of their brand. If you sell privately, the price you get will most likely not cover these benefits.


Finally, it’s up to you and your personal interests in selling to a dealership or directly to a buyer. Analyze all your options to help you make the right decision for you.



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