How to sell an older car
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How to sell an older car
A car covered by a grey tarpaulin.
Selling an older car might seem like it’s going to be a big effort. After all, it’s not old enough to be a classic yet (if it is, then read CarGurus’ separate guide to selling your vintage or classic car), but it’s also not new enough to be worth that much money.
Still, as with selling any car, there are a few routes available when it comes to selling an older vehicle. Which you choose will ultimately depend on a trade-off between getting the best possible price and enjoying the most possible convenience.
Option 1: Get an online offer
Regardless of what sale method you ultimately choose, it’s a good idea when selling your older car to get an online offer in order to see how much it could be worth. After all, online offers are quick and easy to obtain, and some sites–including CarGurus–even allow you to see multiple offers for selling 100% online or selling to a local dealer in select markets.
To obtain an online offer, you simply enter your vehicle’s details, such as odometer reading, VIN, and condition. It’s quick, easy, and there’s no commitment if you decide not to proceed. If you accept an offer you can schedule a time for pickup (or to visit the local dealer who has made the offer), after which you can choose to receive payment via cashier’s check or direct bank deposit.
To sell your older car using the instant cash offer service, you’ll need the title, a valid ID, photos of the odometer, and your registration information. At the point of sale, you’ll have additional paperwork to sign, including a bill of sale and power of attorney, both provided by the pickup staff or dealership.
Option 2: Sell it privately
If you’ve got the time and the patience, selling your older car to a private party is one of the best ways to get the most profit.
Sites like Craigslist will promote your used car sale for little to no money, so getting your car in front of several potential buyers is easy. Before you list your vehicle for private sale, ensure you have a good understanding of your car’s condition and any mechanical issues present, and have all the paperwork in order, such as the bill of sale and the car’s title. Many states have specific laws about vehicle condition disclosures, so you must understand what you’re selling and describe it accurately. Get a vehicle history report if you need clarification on your car’s condition or how to describe it.
When thinking about pricing, use a valuation tool such as CarGurus Instant Market Value to find out how much your car is worth.
Once the car is listed, you’ll need to be comfortable fielding phone calls and emails. Once you’ve arranged a viewing or test drive, take a friend or family member with you for safety.
For more details, see the full CarGurus guide to how to sell your car privately in 10 steps.
Option 3: Trade it in
One of the easiest ways to rid yourself of an older car is to trade it in at a dealership for a new one. The dealer will assess your car’s condition, mileage, and market price and make an offer that leaves them enough room to make a profit, either by reselling the vehicle on the lot or selling it via auction. Your trade-in becomes a line item on the pricing sheet for your new car, functioning like a cash down payment to reduce the amount you owe.
The trade-in route is easy because your responsibility ends at the dealership. The dealer handles all the paperwork to sign, and you can drive off in your new car with minimal hassle.
However, all this assumes you want a new car in the first place. Also keep in mind that a dealer trade-in value will typically net you less than selling your car privately.
Option 4: Sell it to a dealer
You also have the option to sell directly to a dealer. Many dealers offer used car purchasing services, where they assess your vehicle’s value and condition and make an offer. It won’t be the most money you could receive for your car, as the dealer has to make money, but it’s about as easy as trading in your vehicle. The dealer does all the paperwork for you, it can handle a loan payoff if necessary, and there are no time-consuming meetings with multiple strangers to sell a car.
Option 5: Online auctions
Outside the “normal” avenues for selling a used vehicle, you can try popular services like online auctions, which now go far beyond eBay. Car buyers now flock to sites like Bring a Trailer and Cars & Bids to find odd, rare, and desirable vehicles of all types and from all price ranges.
If you’ve got a car of special interest to sell, like a Honda S2000, these types of auction sites are a good bet. The sites are packed with other people trying to get the best price for similarly interesting vehicles, but there’s plenty of room for everyone to sell.
The critical thing to note here is that auctioning a car on one of these sites requires some strategy. Finding the site that most closely aligns with your vehicle’s type and condition is best. If you’re selling a classic car, for example, there are sites for that. The same goes for muscle cars, and unique imported sedans.Â
FAQs
Do I need special paperwork to sell a historical or collector car?
When selling a historical or collector car, buyers may ask for the vehicle’s maintenance records or vehicle history report, so it’s vital to have those on hand. You may also need the car’s title. However, in some states, a title isn’t required for cars 25 years of age and older.
What’s considered an older car?
An older car is typically 10 years old or older. Some older cars are considered classics. Classic vehicles can be anywhere from 10 to more than 50 years old.
What is the best age of a car to sell?
According to CarGurus data, vehicle depreciation is steepest in the first year, but it doesn’t really slow down considerably until after year three. Ultimately, however, your car will continue to steadily lose value between ages five and 12, after which the depreciation curve starts to level off. Rather than trying to time the market based on your vehicle’s age, we recommend selling your car when it either fails to meet your needs, becomes too unreliable to manage, or when a new car simply becomes too enticing to resist.
Does it make sense to fix a car before selling?
Weigh the car’s value against the cost of repairs. If the cost of repairs exceeds the value of the car, fixing the vehicle before you sell isn’t a good idea. However, if the repairs cost significantly less than the car’s value, fixing the vehicle might be worth it since it could hasten the sale.
What should I keep in mind when selling a car?
It’s essential to keep all your options in mind when selling a car. There are different ways to sell a vehicle, and each has its pros and cons. For example, selling to a private party will likely bring the most significant profit, but it requires time and effort. An instant cash offer requires minimal effort and provides a bigger return than a dealer trade-in.
What paperwork is required when selling a car privately?
When selling a car privately, you’ll need a title and bill of sale. Having service records and a vehicle history report is also a good idea. And if your car has a transferable warranty that’s still in effect, it’s helpful to have proof of that coverage on hand. In addition, some states — such as California —may require smog test documentation before you hand the car over to its new owner. Check with your state’s Department of Motor Vehicles (DMV) to see what’s required in your area.
When selling an older car, how should I negotiate with buyers?
One of the critical tips for selling an older car involves honesty: Be up-front when negotiating with buyers. Don’t hide or gloss over dings, dents, leaks, or vehicle damage. And know that you may have to be flexible on price.
This story was produced by CarGurus and reviewed and distributed by Stacker Media.
