Before selling your car, you need to follow some basic simple steps. It will help you to convert your used car into cash easily. These steps are easy to follow and it includes everything from pricing to advertising and negotiation also.
Step 1: Know the Market
Is your car going to be easy to sell? Is it a hot commodity? Or will you have to drop your price and search out additional avenues to sell it?
Your first step is to check on-line classified ads to see how much other sellers are asking for your type of car. Take note of their condition, mileage, geographic location and selling price so you can list your car at a price that will sell it quickly.
Step 2: Price Your Car Competitively
There are always some exceptions to the rules of pricing, so you should follow your intuition. And be sure to leave a little wiggle room in your asking price. Ask for slightly more money than you are actually willing to accept. If you want to get $12,000 for the car, you should list the car at $13,500. People tend to negotiate in big chunks ($500-$1,000) rather than small increments ($100-$200). That way, when a person makes you a lower offer, it will be closer to your actual price.
Step 3: Give Your Car "Curb Appeal"
When people come to look at your car, they will probably make up their minds to buy it or not within the first few seconds. This is based on their first look at the car. Before you advertise your car for sale, make sure it looks clean and attractive. This goes beyond just taking it to the car wash. So you want this first look to be positive. You want your car to have "curb appeal."
Step 4: Where to Advertise Your Car
Now that your car is looking great and running well, it's time to advertise it for sale. In the past, people advertised in expensive newspaper classified ads. But now, on-line classified ads are the preferred method, not only for convenience, but also because they have a wider geographical reach.
Step 5: Create Ads That Sell
Think about what you are telling people when you write your ad. Little words convey a lot. Besides the price, your ad should also include the year, make, model and trim level of the car you are selling along with the mileage, color, condition and popular options.
Step 6: Showing Your Car
There are many unexpected bumps in the road that can arise while selling a used car. These will be handled easily if you are dealing with a reasonable person. So, as you are contacted by prospective buyers, use your intuition to evaluate them. If they seem difficult, pushy or even shady, wait for another buyer. With the right person, selling a used car should be simple.
Step 7: Negotiate for Your Best Price
If a person comes to look at the car and it passes their approval after a test-drive, you can expect them to make an offer. Most people are uncomfortable negotiating, so their opening offer might take several forms.
In general, it's a good idea to hold to your price when your car first goes up for sale. If you don't get any buyers right away, you'll know you have to be flexible about the price.
Step 8: Handling Complications
In some cases, you might reach an agreement with a buyer that is contingent on performing repair work on the car. This can lead to misunderstandings down the line, so avoid this if you can. The best thing to do is have your car in good running order while being fully aware of any necessary repairs. If you state clearly in your ads that the car is being sold "as is," you can refer to this statement when it's time to close the deal.
Step 9: Finalize the Sale
Rules governing the sale of motor vehicles vary from state to state. Make sure you check with the department of motor vehicles (DMV) in your state, and keep in mind that much of the information is now available on DMV Web sites.
When selling your car, it's important to limit your liability. If someone drives away in the car you just sold and they get into an accident, can you be held responsible? There are two ways to deal with this concern.
Once you have the money from the sale (it's customary to request either cash or a cashier's check), record the odometer reading and sign the car's title over to the buyer. In some states, the license plates go along with the car. A new title will be issued and mailed to the new owner.
Step 10: After the Sale
In most states, the condition of a used car for sale is considered "as is" and no warranty is provided or implied. Therefore, if the car breaks down after you have sold it, you are under no obligation to refund the buyer's money or pay to have it repaired. If you have sold a car to someone who took it for inspection at a garage and the mechanic found nothing wrong with it, you have done all you can to protect yourself and the buyer.
Be open about the condition of the car before the sale as well as timely and complete in transferring DMV paperwork after the sale. Doing everything correctly when you sell your used car will give you peace of mind when you are done.