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How to Safely Sell a Car on Craigslist?
If you’re looking at how to safely sell a car on Craigslist, there are several steps you need to consider.
Get An Estimate Of The Fair Market Value
The first thing for how to safely sell a car on Craigslist is that you need to get an estimate of the fair market value for your car.
After all, if you’re pricing your car too high, it’s unlikely that you will generate much interest from serious buyers. If you price your car too low, you won’t get the best price and you’re leaving money on the table.
Car valuation platforms
KBB Summary
Provides an Instant Cash Offer and purchases your car within a dayHelps to determine your car’s value if you want to sell it privatelyIt’s free to use the KBB valuation toolNo obligations – you can use the KBB valuation tool and sell your car privately
Edmunds Summary
Edmunds will buy a car directly from youFree car appraisal toolOffer is valid for 7 daysBring in your vehicle for inspection and get paid
One of the best platforms to check the value of your vehicle is the Kelley Blue Book site. The value can vary depending on the condition of your car and the condition. If your car is in good condition it’s more likely that your valuation will be pretty close to the value on KBB.
However, the demand can vary depending on where you live and local research is needed to see the asking prices of other sellers. Make sure you go with a price you’re comfortable with, without pricing yourself out of the market.
Remember that everyone on Craigslist is looking for a bargain and if they wanted to pay top dollar they would just visit their local dealer.
Another good site for valuations is Edmunds.com and comparing this with KBB should give you a more accurate selling price. It’s also a great idea to search for your make and model on Craigslist to learn a little more about your current competition for a sale.
Prep Your Car for Buyers
When you want to get the best price for your car, it makes sense to get it prepped for potential buyers.
Get your car washed, detailed and polished to show off the external bodywork and paint. The interior needs to be clean and smell fresh, so you may want to replace any old floor mats.
Take out any personal items, storage bins or other accessories that are not included in the sale. It’s a good idea to keep the interior as sparse as possible to give the potential buyer a sense of space.
Any accessories that are included need to be stored in their proper locations.
Take Great Photos
If you want to set up a clear and detailed Craigslist ad, it’s important to understand the power of great photos. As the old adage goes “a picture is worth a thousand words” and this is very applicable when it comes to selling your car online.
If you have bad photos, or even worse, no photos at all, you’re unlikely to get much attention for a sale. Make sure you take your car photos immediately after the car has been detailed for maximum effect.
Take the photos in a clean and attractive location and don’t photograph the car on your own driveway. Make sure the external shots show the entire car from different angles and internal shots can focus on key areas such as the steering wheel, odometer and others.
The goal is to show the buyer the accurate condition of the car and build some excitement for a potential sale. When you take your photos outdoors make sure you have good light to highlight the details and colors.
If there is any damage, it’s a good idea to take a photo which matches your description in the listing. Remember that you can upload a lot of photos and you may still get requests for more of certain key areas.
Set Up a Detailed Craigslist Ad
The safest way to sell a car without encountering problems later is to create an honest and accurate Craigslist ad. Always endeavor to include as much accurate information as you possibly can.
At the bare minimum, you need to include the make, model and year in the headline of your ad.
When you fill in the description details, include:
The trim
Engine size
Upholstery condition
Stereo
Tires
Spoilers
Other features.
Any current issues and damage should be described honestly. All these details need to match up with the photos that you’ve taken and you may need to answer further questions via email.
Getting extra questions is great, it shows that your listing is generating interest and it’s a great idea to answer these queries in a timely fashion.
Make Plans to Meet Your Potential Buyer
When you make a plan to meet potential buyers, it’s important to consider your options carefully. It’s advisable to choose a location where you’re comfortable and this should be a public space such as a nearby mall car park or similar area.
Remember, serious buyers are going to want a test drive and you may receive multiple potential buyers on the same day.
Screen out these people ahead of time to get rid of the tire kickers and make sure you leave enough time between each viewing meeting.
Organize Your Paperwork
When you sell your car you need to collect the necessary paperwork to comply with legal requirements in your state. Every state has differing ways of dealing with people that want to sell and purchase used cars.
Covering each state is beyond the scope of this article, but you can get more detailed information for your area when you visit DMV.org.
Let’s take a look at three general types of paperwork that you should have to successfully complete a legal sale of your car:
A clear title:
You cannot sell a car that you don’t own and you need a title to prove your ownership. The title needs to be clean (free of liens) and any outstanding loans need to be repaid in full. If there is still an active car loan in place you don’t own the car and you can’t sell it. All liens must be released and you may need to contact your bank if they have not properly released it.
Certain states will allow you to sell your car without a title, but this incurs significant work for the buyer and it can limit the selling potential significantly. If you don’t have the title and you’re selling a car in a state that allows it, you must disclose this in advance of the sale.
A bill of sale:
This is optional in many states but it’s recommended from a legal perspective. This simple form is filled out with the new car owner’s details and the sale price. Print out a couple of copies, give one to the buyer and keep the other for your records.
A damage disclosure statement:
Again, this isn’t a requirement in every state, but it may be worth your trouble. This document is signed by the seller and the buyer and it contains details about the condition of the car. This is a good way to protect yourself from claims of damage from the buyer after the sale is completed.
Negotiate
You need to be ready to negotiate before closing the deal, because most car buyers are hunting for the best bargain. Many buyers and sellers are nervous about negotiating which is understandable, but always remember that you can walk away at any time.
If you simply cannot agree on a price, it’s time to move on to the next buyer and wait for the right offer. If you do agree on a price the buyer may want to complete the deal with a check.
In this case it’s a good idea to finalize the deal at the buyer’s bank or alternatively you could ask them for a cashier’s check. This will ensure that the check is legit before you hand the buyer the keys to the car. Once you have the payment, you can transfer the car title in the new owner’s name and complete the bill of sale.
Consider The Finances For Sales on Craigslist
There are numerous ways to accept payments on Craigslist that may be helpful when you’re ready to complete a deal for your car. Again, this can vary depending on the state where you live and you may need to get the title notarized by you and the buyer.
If you attempt to transfer the title at the DMV without a proper notarization, in many states your request will be denied outright. Proper notarization between yourself and your potential buyer requires a signature from both parties on the title.
It’s important to avoid signing the title before the vehicle is sold, because the notary will deny the signature and you may need a duplicate title which will incur an extra expense.
Using a Notary
To avoid this problem, you can contact your local bank branch and ask them if they have a notary present on their staff. If they do and you hold an account there you can usually get the notary service at no charge.
If you exclusively use online banking services, you can get a notarization at your nearest UPS store for only $5.
When you get a notarization at a local bank branch, you will find it easier because you can transfer the cash at the same time. As soon as the title is notarized and the cash has changed hands, the sale is completed.
If you need to turn in your license plate, collect it now if that’s a requirement in your state. In many states, this is required to confirm that you’re no longer the legal owner of the car. This is why the bill of sale is a good idea, they will want to know where the car went and the sale may need to be verified.
After all, you don’t want to pay taxes on something you don’t own anymore and any outstanding taxes need to be paid at the DMV. Once the state has the plate, you cease to have any responsibility for the car you’ve sold.
Don’t Forget Your Insurance
Finally, you need to remember that you may have outstanding insurance on the car you sold. When a car sale is complete, you need to contact your insurance company and tell them about the sale.
You may want to drop the car insurance because you don’t want to pay for something that you’re not using anymore. Many insurance companies have a different set of requirements when it comes to dropping cover for a vehicle. For some insurance companies, you may need to turn in the tags and get a DMV confirmation via email.
It’s important to learn how to protect yourself when selling a car on Craigslist. It’s natural to feel nervous when you let people test drive your car and what happens if they don’t return.
On the other hand, most people would be uncomfortable getting into a car with a complete stranger. There are three main ways to protect yourself when you’re selling your car on Craigslist, they are:
Ask the Buyer for their Driving License: When someone wants to test drive your car, make sure you see their driving license and take a picture of it. Then send that image to a friend for safe keeping. If the potential buyer refuses this simple request, do not allow them to take the keys and test drive the car.
Bring a Friend: Don’t meet anyone for a test drive alone and this is especially relevant if you plan to ride along with them. When you bring a friend, you have someone in your corner that you can count on if something goes wrong.
Avoid Out of State Buyers: This is a recommendation on Craigslist for a very good reason. When you meet a buyer in a face to face deal, you’re less likely to encounter scammers. If you interact with a potential buyer from another state that wants to wire funds to you, you need to walk away from the deal immediately.
Alternatives to Selling a Car on Craigslist
Sell Car to Peddle
Peddle Summary
Buys used, damaged or junk car nationwideGet instant quote on (855) 925 4302Free towing within 48 hours after offerReceive payment upon car collection
There are alternatives to selling a car on Craigslist and one of the best online platforms is Peddle.com. There may be demand on this popular car buying network even if your car is damaged and not running.
It’s easy to access Peddle with the dedicated app or you can visit the website. As a buyer, you will need to input some car details to get an accurate quote based on the market value and demand.
If you choose to accept the Peddle quote, they can arrange a collection in a couple of days. The offered amount is given to you when the car is collected after a brief confirmation of the car’s condition.
Recent Peddle Offers
ModelYearMileageOfferToyota (Camry)2011150,000$2,225Volvo (S40)200137000$430Mercedes-Benz (560)199192000$1,930BMW (528)2008126,000$1,140Kia (Forte)2010145,000$635Honda (CR-V)201167000$2,930Ford (Explorer Sport Trac)2004145,000$1,170Oldsmobile (Alero)2004162,000$400Audi (A6)2006106,000$530
Sell Car to CarBrain
CarBrain Summary
Get an online offer within 2 minutesGet cash for your car in under 48 hoursCarBrain buys cars in over 7 conditionsUp to 7 days to accept CarBrain’s offer
CarBrain is a service that makes it easy for you to sell your damaged vehicle. Simply enter your car’s information into their online form to receive an instant offer or to be contacted shortly with a guaranteed offer.
Once you accept the offer, CarBrain works with a network of partners to have your car picked up and pay you within 24-48 hours. They will buy any type of vehicle, no matter the condition.
Plus, the best part is that all the services they provide are free of charge.
Sell on eBay Motors
eBay Summary
High user traffic – over 187 million usersNo listing fees for small scale sellersPromote your listing from as little as 1%Quick processing time for payouts
Selling your car on eBay Motors is an option, but you need to decide if you want a local or national listing. These two listings are very different, let’s take a look at each in a little more detail:
Type of ListingConditionsFeeLocalOnly visible within 200 miles of your location, making test drives easier to arrangeNoneNationalVisible to any potential buyer$60 to $125 for fixed price and auction style listings
In both cases, you need to remember that you will need to make the arrangements for test drives, deliveries and collections. So, distance can be a major factor and all the precautionary tips presented earlier in this article still apply.
Every good eBay Motors listing will need plenty of high quality photos and you need to be clear on how you should get paid. The best option is a PayPal deposit of 10-20% of the sale price to secure the deal.
As a seller, you should deselect the eBay “Payment by Check” payment options and go with the simple “Other” option if you want cash or a wire transfer. Remember that the buyer needs to accompany you to your bank on the day of the delivery or pickup to complete the transfer.
With an active eBay listing, you need to expect plenty of questions about your car, requests for more photos and other enquiries. This option may be a little too involved for some sellers but it’s necessary to deal with any requests in a timely manner if you want to secure the sale of your car.