Why you’re struggling to sell your used car
There are many reasons why people choose to sell their cars.
They’re moving, downgrading, upgrading or cutting the costs of an extra car. Because owning a car doesn’t come cheap. You need to pay for fuel, services, car insurance, licensing fees and many more other expenses.
And while there are so many ways available to sell one’s car, it’s not always the easiest thing to do.
We’re going to look at the main reasons why you’re struggling to sell your used car and how, at the end of the day, it comes down to how much time you have to sell it, how desperate you are for the money and what’s the most convenient way for you to sell.
The offered trade-in value is lower than it’s worth
Cars depreciate in value as soon as you start driving them. But they still have a book value from which their worth is calculated when you take it to a dealership. Secondhand car dealers should have this book on-hand and it’s what their offer to buy your car should be based on. However, depending on the state of your car, the price they offer may be miles lower than what it’s technically worth. If you took great care of your car, it may become one of their dealership cars that are resold again. This is why they offer a low trade-in price, so that they can set the re-selling price higher (to what it is, in fact, worth) and make a profit.
And that puts a lot of car sellers in a difficult position. They know their car will be bought almost immediately, but it’s not quite as much as they were hoping to get for it. When you choose to sell your car privately, you can at least set your price. But, then again, private sales have their own issues as well.
It would be good to search for a variety of “used car dealerships near me” and see what each dealership would offer for your car. If they’re roughly around the same amount, maybe that is just what your car is currently worth and you should take the deal as it stands. But you might be surprised and find a car dealership who’s willing to offer you exactly what you want for the car… in which case you might be asking for too little (knowing your car’s book value is important).
Undesirable model and car features
People also struggle to sell their cars if it’s an undesirable model with undesirable features. Bluetooth is practically a must in cars these days for hands-free mobile use and music. Not many first-car buyers know what roll up and down windows are and expect all cars to have electric windows. The same goes for air conditioning. South Africa has some hectic weather and no one enjoys melting in their car on the way to and from work every day.
You would think that people would jump at the opportunity to buy a secondhand car at a decent price, but the market for older models is a lot smaller these days. Unless, of course, your car can be considered a collector’s item, in which case, you shouldn’t have much trouble selling at all. Just find the right buyer.
A popular car means there’s already a wide variety
But, the opposite is also true. You may have a desirable car with desirable features but it’s one of the hundreds of offers just like it on the market right now. Popular cars sold at used-car prices means there’s a wide variety for buyers to choose from. That amount of variety makes people picky and if there’s one thing they aren’t sure about on your car, they’ll move onto the next advertised car.
It also means there are more competitive prices or lower mileages that your car can’t exactly compete with. These are the types of cars that are readily bought by car dealerships because they understand the demand for it. In this case, used car dealerships might be your best bet.
Buyers readily waste your time
In private selling, buyers like to try their luck with negotiations and false interest. This is a huge waste of time for people who have a deadline within which they need to sell their car. And it can also be quite dangerous with people who pretend to have an interest, arrange to meet and then attempt to rob you or get aggressive when you don’t play along with their negotiations.
Always make sure you have someone with you when test drives and meetings happen over your car deal. And make sure you or the person with you have extensive knowledge about selling a car. This way you won’t haggle yourself out of the money your car is worth. People will try anything to get a good deal or take advantage of someone who is desperate to sell their vehicle. Unfortunately, it’s the reality and you need to take precautions against that if you choose to sell your car yourself.
When you consider all the factors of timelines and money needed, you’ll know which is the best way to go about selling your car.