Comments on: Should You Sell Your Car or Trade it In? http://cashmoneylife.com/sell-your-car-privately-or-trade-in/ Money Management, Small Business, Career Wed, 23 May 2012 21:16:10 +0000 hourly 1 http://wordpress.org/?v=3.3.2 By: Ryan http://cashmoneylife.com/sell-your-car-privately-or-trade-in/#comment-25024 Ryan Mon, 09 Aug 2010 12:35:06 +0000 http://cashmoneylife.com/?p=2371#comment-25024 Milliver, you could save even more money each month if you were to take the few grand you get after selling your car and use that to purchase a used car instead of using it as a down payment. That would likely free up several hundred more dollars per month which can be directed toward credit card and other debt. It means driving a lesser car for awhile, but it will save you interest on credit cards and interest on a car loan. Then you can buy a nicer car once you pay off your credit cards. Either choice you make will probably end up being better in the long run because you will repay your debt more quickly - which is the first step toward financial freedom! :) Milliver, you could save even more money each month if you were to take the few grand you get after selling your car and use that to purchase a used car instead of using it as a down payment. That would likely free up several hundred more dollars per month which can be directed toward credit card and other debt. It means driving a lesser car for awhile, but it will save you interest on credit cards and interest on a car loan. Then you can buy a nicer car once you pay off your credit cards. Either choice you make will probably end up being better in the long run because you will repay your debt more quickly – which is the first step toward financial freedom! :)

]]> By: Milliver's Travels http://cashmoneylife.com/sell-your-car-privately-or-trade-in/#comment-25015 Milliver's Travels Sun, 08 Aug 2010 23:54:42 +0000 http://cashmoneylife.com/?p=2371#comment-25015 My husband and I are having this exact conversation right now. I want to free up some extra money on the monthly budget to help pay down credit cards more quickly. The fastest way I can see of doing that is by getting rid of (or at least lowering) the highest of our two car payments. We ran the numbers in the blue book and compared it to what people are asking for our make and model on a popular car-selling site in our state. It looks like we could pay off our car loan plus have several thousand left over for a down payment on a vehicle with a lower monthly payment. That would really be worth the extra time it takes to sell privately. It was great to come here afterward and see our thoughts confirmed (about the reasons not to go for a trade-in deal). It was also helpful being reminded that the old car parked at corner trick is still good. Our neighbors sold their car by parking it in the front yard with the bonnet pointed at passing traffic—and we live on a fairly quite street. My husband and I are having this exact conversation right now. I want to free up some extra money on the monthly budget to help pay down credit cards more quickly. The fastest way I can see of doing that is by getting rid of (or at least lowering) the highest of our two car payments.

We ran the numbers in the blue book and compared it to what people are asking for our make and model on a popular car-selling site in our state. It looks like we could pay off our car loan plus have several thousand left over for a down payment on a vehicle with a lower monthly payment. That would really be worth the extra time it takes to sell privately.

It was great to come here afterward and see our thoughts confirmed (about the reasons not to go for a trade-in deal). It was also helpful being reminded that the old car parked at corner trick is still good. Our neighbors sold their car by parking it in the front yard with the bonnet pointed at passing traffic—and we live on a fairly quite street.

]]> By: Ryan http://cashmoneylife.com/sell-your-car-privately-or-trade-in/#comment-23612 Ryan Wed, 12 May 2010 10:48:14 +0000 http://cashmoneylife.com/?p=2371#comment-23612 We're going to have to go the Craigslist route. Unfortunately, we don't have a good place nearby we can park our car for the day. We’re going to have to go the Craigslist route. Unfortunately, we don’t have a good place nearby we can park our car for the day.

]]> By: Daddy Paul http://cashmoneylife.com/sell-your-car-privately-or-trade-in/#comment-23608 Daddy Paul Wed, 12 May 2010 01:49:24 +0000 http://cashmoneylife.com/?p=2371#comment-23608 Selling the car privately is a good deal for the buyer as well as the seller. I found putting the car up for sale down at the corner (bring it home nightly) is the best way. I get too many fruitcakes from craigslist and the local paper. Selling the car privately is a good deal for the buyer as well as the seller. I found putting the car up for sale down at the corner (bring it home nightly) is the best way. I get too many fruitcakes from craigslist and the local paper.

]]> By: Ryan http://cashmoneylife.com/sell-your-car-privately-or-trade-in/#comment-23594 Ryan Tue, 11 May 2010 10:59:34 +0000 http://cashmoneylife.com/?p=2371#comment-23594 Thanks for sharing, Kyle. I'm pretty sure this is the route we are going to go. KBB lists a $2,000 difference between trade-in and private party value and I wouldn't be surprised if the actual difference ends up being more. Thanks for sharing, Kyle. I’m pretty sure this is the route we are going to go. KBB lists a $2,000 difference between trade-in and private party value and I wouldn’t be surprised if the actual difference ends up being more.

]]> By: Kyle C. http://cashmoneylife.com/sell-your-car-privately-or-trade-in/#comment-23593 Kyle C. Tue, 11 May 2010 10:29:42 +0000 http://cashmoneylife.com/?p=2371#comment-23593 Speaking from extremely recent experience, as in Friday of last week, it was a ton better to sell my car privately. Both the dealer and CarMax were only willing to give me $4000.00 on trade. I was able to list it privately and get it sold within 3 days for $6000.00. That was $2k more than I would have got at the trade in and well worth the hassle of driving out to meet somebody for a test drive. Speaking from extremely recent experience, as in Friday of last week, it was a ton better to sell my car privately. Both the dealer and CarMax were only willing to give me $4000.00 on trade. I was able to list it privately and get it sold within 3 days for $6000.00. That was $2k more than I would have got at the trade in and well worth the hassle of driving out to meet somebody for a test drive.

]]> By: Smarter Spend http://cashmoneylife.com/sell-your-car-privately-or-trade-in/#comment-23591 Smarter Spend Tue, 11 May 2010 08:25:11 +0000 http://cashmoneylife.com/?p=2371#comment-23591 Let me tell you: never trade in your car. Dealers will do almost anything to low ball you and drive down what they are paying for. I have 2 car dealers in the family and sometimes I am amazed at how much they pay for trades: almost aways 50% of the car's value. Let me tell you: never trade in your car. Dealers will do almost anything to low ball you and drive down what they are paying for. I have 2 car dealers in the family and sometimes I am amazed at how much they pay for trades: almost aways 50% of the car’s value.

]]> By: Blair MacGregor http://cashmoneylife.com/sell-your-car-privately-or-trade-in/#comment-23584 Blair MacGregor Mon, 10 May 2010 20:06:30 +0000 http://cashmoneylife.com/?p=2371#comment-23584 Timely article Ryan. I'm actually wrestling with this decision right now; I bought myself a nicer car a few months ago but I need more cash available to put into my business so I'm thinking of selling it and going out & picking up a cheap car that I can just pay cash for. The one dynamic that's different from the other times I've bought/sold cars is that this is the first car I actually took out a loan on; I'm sure this would probably make the selling it yourself route an even bigger hassle, but I'm going to have to do some more research. -B Timely article Ryan. I’m actually wrestling with this decision right now; I bought myself a nicer car a few months ago but I need more cash available to put into my business so I’m thinking of selling it and going out & picking up a cheap car that I can just pay cash for.

The one dynamic that’s different from the other times I’ve bought/sold cars is that this is the first car I actually took out a loan on; I’m sure this would probably make the selling it yourself route an even bigger hassle, but I’m going to have to do some more research.

-B

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