How to Safely Sell a Used Car in Canada: 2 Minute Guide

Are you thinking about selling your used car? The demand for used cars throughout the country and around the world has never been higher. You will need to be aware of a few important things to safely sell a used car in Canada, but don’t worry, we got you covered.

Do You Really Want to Sell Your Car?

This may sound like a silly question, but if your car was sold today, would you be able to live without it?

 

There is a real shortage of cars in Canada; it may take weeks or months before you can buy a replacement for your used car.

 

Only if you are comfortable with the idea of not having the used car should you move forward.

 

Calculating the Fair Market Value (FMV) of Your Car

This step can be tricky; if you are not careful with your pricing, you could miss out on some serious offers.

 

There is no standardized pricing model, so we are going to borrow the pricing model used in real estate (don’t worry, we won’t bill by the square foot :))

 

Look on AutoTrader for cars that match yours; try to make a list of at least ten comparables.

 

When you are performing the comparison, look at where the cars are being sold.

 

For example, if you live in the GTA, you can ask for a higher price than someone who is in Thunder Bay, Ontario, because there are more prospective buyers.

 

After you have averaged out the prices being quoted, you should add a margin to your asking price for negotiations.

 

It is highly unlikely you will get someone who will offer your exact asking price, so you need some room so you can negotiate with the buyer. This way, you both get a price you can live with.

 

Keep it Local

The Internet is great for doing research and shopping online; there are people who buy houses sight unseen by just looking at advertisements online.

 

This can be convenient but insist on dealing with the buyer in person when you are selling a used car.

 

By meeting with prospective buyers in person, you can reduce the risk of being ripped off. When you meet the buyer, politely decline if they offer to pay with a check.

 

Only accept payments in the form of a bank draft from a local bank; this will protect you from getting an invalid form of payment.

 

The Safest Way to Sell Your Used Car Quickly

There is a faster and safer option, which requires virtually no effort on your part. You can bring your used car to a dealership in your community and have them make an offer.

 

The dealership will give you the most accurate pricing possible and a firm cash offer. You are under no obligation to accept the offer; if you do, the dealership is going to pay you right away.

 

There is no risk when you go through a dealership, and you will get a fair price and safely sell your used car.

 

 

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.