Intending to sell you car due to the rising cost in Singapore, be it the ERP, carpark rates, COE and many more? Scratching your head on how to do it other than the traditional and conventional methods? Fret not, we have complied and evaluated your four options. Here are the different ways you can do so and how each may affect the price you will get at the end of the day.
1: Selling to a direct buyer
Advertising your car will be your first and essential step to a successful sale. There are many ways you can advertise, ranging from the free sites like the forums and classified pages, to paid sites like the used car listing sites.
You will probably be able to get a higher price when selling to a direct buyer.
Huge load of effort and patience required. Once you start to advertise, be prepared to receive numerous phone calls from used car dealers persuading you to sell off your vehicle to them instead at a lower price. If you are lucky enough to have a couple of interested direct buyer, you have to arrange and fix car viewing appointment requests, settle and complete the paperwork which includes loan settlement and vehicle transfer, as well as repairing your vehicle at your own cost to ensure the vehicle is in a good condition at point of sale. If you aren't sure of how the entire process works, it could be rather risky to sell to direct buyers all on your own. At the end of the day, it could become more than just a hassle just to obtain that few extra thousand dollars which is totally not worth it. At times the entire process may take more than two months, not forgetting that during this waiting period, the value of your car is constantly depreciating.
2: Car consignment
Overwhelmed by the administration process? But want to obtain for the highest value for your car. Getting a used car dealership to handle the sale of your vehicle and the necessary paperwork could be another possible solution. This would means that, a service fees of about 1 to 2 percent of the total vehicle selling price is payable to used car dealers
Minimize effort and maximize returns! As there is no dealer profit margin incurred and you can save yourself both the time and hassle of trying to sell off the vehicle by yourself.
Due to low profit, the used car dealers might not focus on selling your car but are more likely to push their own car sales. There is no guarantee of sale whether immediately or over a discussed duration.
At Motorist, we too provide the consignment service. Click here for more details.
When buying a new vehicle, car dealers will usually offer you an option to trade-in your current vehicle (if you have one) at an agreed price, which is based on different factors.
You could save yourself the hassle of looking for buyers to purchase your vehicle and the amount you get from the trade-in will be an offset to fund your new vehicle purchase.
You won't be getting a great price for your old vehicle and dealers may fiddle the numbers to make it look like you are getting a better deal. Most of the time, new car dealers will simply contact their used car dealer partners for an offer on your used vehicle. This simple switch of hands will allow the dealers to pocket another 1 – 2 thousand dollars, which could have been yours. In the scenario that you get a really good offer for your old vehicle, it could possibly mean that the profit margin on your new vehicle is really high.
4: Selling to a used car dealer
The most common selling method where sellers like you would probably choose because of the time and hassle that they would avoid. There are more than 5 car marts in Singapore and you will need to have the time and patience to visit every single dealership to get the best offer for your vehicle.
A relatively simple and quick process, you will get an immediate sale and save a lot of time and effort. On top of that hassle-free as all the necessary paperwork will be handled and completed by the used car dealer.
Used car dealers will always try to offer your vehicle at the lowest price possible to achieve the maximum profit margin. Therefore, it is always wise to check with 3 to 5 different companies for the most competitive offer.
At Motorist, we offer a quotations service where your car details will be sent to over 100 used car dealerships for the highest offer guaranteed. Click here for more details.
Every method has its own pros and cons. Selling to direct buyer remains the best option to obtain the highest price provided that you don't mind the hassle and is not in a hurry to sell. But if you find that the whole load of process and paperwork is too overwhelming, consignment could be another option. Lastly, if you have no time and wish to get rid of the vehicle quickly, the best option would probably be to sell it off to a used car dealership.