How to Sell a Car in Canada: A Full & Quick Guide

A growing number of Canadians are trying to cash in on the super-hot used car marketplace. Selling a used car, in theory, is simple but in practice, it is a highly nuanced process that takes years to master.

The Used Car Market is Fragmented

When selling a used car, you have two primary options, you can list your car where the professional car buyers go to buy inventory like Copart and eBay auctions.

 

There are a few challenges with the professional route. The first is you need to pay upfront listing fees plus a percentage of the final sale price of the car. Even if the car sells for less than what it is worth, you are on the hook for the fees. Professional sellers deal in volume so even if they don’t make money on one deal, the other cars they sell will offset any losses.

 

The professionals know the market very well so the odds of you getting paid more than the current market value of the car is not very high.

 

Alternative Platforms for Selling Used Cars

Instead of using professional platforms, you could use AutoTrader and Kijiji Auto to list your used car. These platforms are popular with individuals who are looking to sell the occasional car but there are serious sellers on these platforms you will compete with.

 

Social media is another popular choice with first-time used car sellers. Do not advertise your car for sale on social media. There are many scammers who are looking for people with cars for sale, so they visit your home while you are at work and steal the car.

 

You should never advertise your personal address, name, and details about your car on social media, you are just asking for trouble.

 

Calculating the Price of Your Used Car

It helps to have the right expectations when selling a used car for the first time. You can use Kelly Blue Book for some pricing insight but the prices on that site are just for insight.

 

When determining the value of your car, you must take into consideration where in Canada you are living and the condition of the vehicle. If you are living in a rural area of the country or if the car is not in pristine condition, those factors will put downward pressure on the value of the car.

 

Side-Stepping the Hassles Associated With Selling Your Used Car

While you could try to advertise and sell a used car by yourself, it would be more prudent to go to local car dealerships and find out what they are willing to pay.

 

The dealerships are constantly buying and selling cars, so they know the fair market value of your car. An added benefit of going to the local dealerships is their ability to pay cash right away.

 

Some of the lenders you come across online may not have the funds available for a few days, if you need your cash in a hurry then going to a local dealership is by far your best option so book an appointment with them now.

 

If you're ready to sell your car in Southern Ontario, we'd love to buy it! simply fill in the form below to get started.