Trading in Your Vehicle Vs. Selling it Privately

Before you purchase a vehicle, you need to decide what to do with your current vehicle. The two most common methods are to trade it in at a dealership like LeSueur Car Company, or sell it to a private individual. To help you make the right choice, we will compare the two options so you can determine which is best for you.  

How Much is Your Used Car Worth?

Before deciding what to do with your car, you should get a good idea of its value. The best place to start is to get a free Kelly Blue Book estimate. They have a great price engine that analyzes local and nationwide vehicle sales to give you a rough value based on your car’s condition. KBB also shows average prices for trade-in values, private party sales, and suggested retail vale (buying the car from a dealership).  

Private Sales

You can usually get the best price if you sell your used car to another individual as opposed to trading-it-in to a dealer. However, selling your car privately can have a lot of drawbacks. For instance, it takes time and energy to sell your car. You have to take pictures of it, write down the specs and other details, list it online and/or pay for advertisements, and answer numerous phone calls and questions. Additionally, you have to deal with test drives, low-ballers, negotiations, etc. You also need to be aware of potential scams or thieves (some people who take you car for a test drive may never return, or offer to pay with a bad check, etc). And, if you are a woman, the security of meeting people you don’t know.

Trading-In Your Used Vehicle

When you trade-in your vehicle to a dealership, they are responsible for cleaning and detailing it. They also have to make a profit off of it, so you may get offered less money than you would if you sold your car privately. Despite this, a big benefit is not having to deal possible scammers. Trading-in your vehicle could also save you an immense amount of time and stress. For instance, at LeSueur Car Company, we handle all the legal paperwork. There may also be a tax benefit for trading-in your car. In most states, when you trade-in your car when purchasing another vehicle, you are only required to pay sales tax on the difference between the trade-in value and the price of the new car.

Tips for Trading-In Your Used Vehicle

At LeSueur Car Company, we typically negotiate the trade-in price separately from the purchase price of your new(er) vehicle. Negotiating each price separately makes it easier to track. You should also thoroughly clean and detail your car before taking it to the dealership for a trade-in. A clean car may get you a better price, as the assumption is that you also serviced your car regularly.

Interested in upgrading your vehicle? Browse our inventory today! We accept trade-ins, and will give you a fair price for your vehicle!