Many years ago, the only option for car owners when buying a new car was to sell their previous vehicle privately. Now, there are many different options for trading and selling. Therefore, it begs the question of whether it’s better to trade in or sell privately.

Trading Your Car In

Firstly, let’s discuss the option of trading your car to a dealer. Though you may not get as much money for your vehicle, one of the biggest benefits is the convenience that comes with trading in.

Essentially, all you need to do is lift up the phone and speak with a local dealer. From here, take the vehicle to the dealer, and they’ll give you a price. You’ll get less than selling privately because the dealer needs to build a profit into the arrangement. If they give you the market price, they don’t have room for manoeuvre when selling. Find a local dealer online, or visit http://www.collishawauto.com/ to learn more about the process and how you can trade up for something better.

Interestingly, this market has evolved, and you now have different options when trading in. On the one hand, you can trade in using the traditional method and get some cash in return. Alternatively, you can trade your old vehicle in and get the value discounted from a new vehicle.

If you choose the latter method, you’ll obviously need to trade your vehicle into the dealer selling the car that you want in return. For example, let’s say that you’ve found a vehicle for $20,000. You speak to the dealer, and they tell you that your current vehicle is worth $7,500. As long as the dealer offers the scheme, you can trade your vehicle in and have this amount discounted from the buying price. In this example, $20,000 minus $7,500 -- you’ll pay $12,500.

Another benefit of trading into a used car dealer is that they often take vehicles in all sorts of conditions. You’ll get less money for a damaged car, but you don’t have to worry about auto repairs or trying to sell a damaged car privately.

Selling Privately

The good news with selling privately is that the many websites online now make the process easier than ever before. As well as car marketplaces, you can even advertise on social media (it always helps if you find a seller you know).

However, the biggest drawback is that you need to prepare the vehicle, choose a price, advertise all over the internet and offline, and then wait. If the car market is laden with sellers, you might struggle to attract interest. Then, you’re left having to decrease the price, and you end up getting something similar to what you would have received from a dealer anyway.

If buying a new vehicle is dependent on selling your existing one, time could also play a significant role. Depending on the market, you might be left waiting weeks or months for a buyer. When trading into a used car dealer, it takes a matter of days.

If the market is leaning towards sellers, this is where you’ll get a reasonable price, and you’ll find a buyer in good time. This being said, you still need to go to all the effort to clean the car, put it online, and take viewings from prospective customers. If you’re not a salesperson, showing somebody a vehicle might seem intimidating.

Which is Better?

Ultimately, the method you choose all depends on your intentions and your needs. If you need convenience and a quick selling process, a used dealer will always be the best option. You also don’t have to worry about the new owner discovering problems and potentially bringing the car back!