Sell My Ride: Used car lot or Online?

What's the best way to sell your car?

The mere thought of selling one's car can be an emotional thing.

Sometimes, it can be exciting because you've finally saved enough money to buy a new one. It can even be relieving as you're saying goodbye to years of headaches. And sometimes, it can even be heartbreaking because you're forced to let it go for reasons such as financial, emergencies, and so on and so forth.

Whichever the case, you've decided to pull the trigger. Now there's another matter at hand – how should you sell it?

Thanks to social media, letting people know you're selling a car has never been easier. All it takes is a few photos, add a few details about the car, and voila, it's posted online. Gone are the days of buying print but of course, used car dealerships and showrooms offering trade-ins are still there. Does anyone still use newspaper ads or print ads for second-hand cars?

Now, which way should you choose? There are a number of pros and cons involved in these two methods, and we're here to help you decide which suits your situation.

The Main Principle: Max Value versus Max Convenience

There are two factors we've thought of that you should consider when it comes to selling your car - value and convenience. Whether you like it or not, it's somewhat hard to strike a balance between the two. In most cases, when one variable increases, the other decreases. In mathematics, they call it an inverse correlation, and both have a significant impact on the outcome you want for your sale.

High value, minimum convenience = Post it online

If you want to maximize the residual value that you can get for your old car, then you may be better off selling it personally. When it comes to making the most out of it is a different feature story altogether. But by posting it online, you dictate the price, so you determine which price point for you is considered lugi or tubo. This can also work to your advantage if you're not in a hurry to have it sold.

However, you should prepare for a lot of hassles along the way.

Car buyers (used or brand new) will always want the best deals possible. Since you have an old car, you're likely to compete with other online sellers who have the same car as yours. Moreover, there are things you have to take care of such as on-site viewing schedules, frequent car cleaning, and presenting the car's important documents. 

You will also have to put up with spending a lot of time waiting and entertaining buyers until someone agrees to your terms. Sometimes, some buyers will even frustrate you with their lack of reading comprehension which is very common these days, plus there's that risk of being scammed or be a victim of carnapping.

Lower value, max convenience = Used car lot

Now if you don't want to deal with the things I've mentioned earlier, then that's where used car lots come in. Basically, they take care of all the inconveniences and do the selling for you. All you have to do is bring it there, and have them do an evaluation. As long as your car's documents are good, then you're likely to have it sold by the end of the day.

However, convenience will always come at a cost. Whether you opt for spot cash or sign a consignment deal, more often than not, used car dealerships tend to offer you a lower market value than usual. But that's because they still need to make a profit from selling your car. After all, that's how used car dealers operate their businesses.

And there you have it. Whichever method you choose for selling your old car will always come with its own pros and cons. But at the end of the day, it's all down to which factor is your priority. Either way, your choice should give you satisfaction as you kiss your old clunker goodbye. Happy selling!