June 20, 2021

Dealers who buy used cars for cash – All you need to know

Nowadays, our life is unimaginable without a vehicle. The increased number of manufacturers and automobile models led to accessibility to large masses. Hence, buying and selling vehicles became quite active activity. Mostly, there are two options while getting or selling an automobile. You can either do it by yourself or address dealers. 

If you don’t want to do it by yourself, you should know dealers who buy used cars for cash. Below you will find out how dealers manage the business, and which dealership companies are reliable. Even though making a decision can be tough. For that reason, by the end, we’ll also discuss the advantages and disadvantages of using the dealership service. Hence, after reading all the below-mentioned information, I’m sure you will make up your mind. So, let’s start clarifying all the needed information!

What dealerships buy used cars 

As you might already know, there are a plethora of dealership companies that want to buy vehicles from private owners. Making a decision in a big variety is much harder. You should know what dealerships buy used cars, and which ones to address. Let’s review the most popular dealership companies for a better understanding. 

  • Car Buyer’s Market The dealership can buy any type of automobile in any condition. Even if the car can’t move, they will buy it. You can ask for the quote either from the call or from their website. Upon received information, they calculate the value of your car and offer the quote. If you accept the offer you can schedule an appointment and provide title and possession to them. 
  • Cash4UsedCars.net – The company’s history started around 25 years ago and serves in Southern California. If the place works for you, they offer to buy your automobile within an hour. 
  • CarMax – Another reliable option who will buy used cars is CarMax. The company is the biggest used-vehicle retailer. 

Besides all of the above-mentioned, I’d advise you to address several dealers and make a decision only after combining all the information. Also, it’s a good idea to address a specific car type or manufacturer dealers of your car, in case of availability. In that case, there is more chance that you get the highest profit, as those dealerships look for the model that you own. For that reason, they can pay much more than other dealerships for which the model doesn’t make any sense. After reviewing car dealers who buy used cars, let’s review step by step how to sell a car to the dealer. 

How to sell a car to the dealer?

Since we’ve already reviewed some dealership companies, let’s move on to the practical part. Before addressing dealerships, passing the following steps will lead you to the best deal.

  • First of all, you should prepare your vehicle for sale. Do your best for getting a higher offer. If the vehicle needs a minor repair, do it before visiting the dealer. Remember, the technical side and the look of an automobile determine its value. 
  • Once the car is ready for sale, you should determine its value. Without determining the value, you might lose some money, by accepting the first offer. Review announcements for the automobile model in the same condition as yours. Combine received information and determine the average market price of the car. Only after this, you can address dealers who buy used cars.
  • Visit several dealerships. If you see that dealer offers a much lower price than the market, don’t hesitate and try to negotiate. If the dealer can’t increase the offer, you can address another dealership. 

Hopefully given information helps you to get the best deal! But, if you still hesitate whether it’s profitable or not to sell a used vehicle, review the following topic and clarify why it’s in high demand. 

Who will buy used cars instead of the new ones?

I guess that topic will be interesting for you in two cases. 1. If you plan to become a dealer and want to know, how active is the business field; 2. In case you want to sell an automobile, but still, hesitate whether it is a good idea or not. If it’s worth selling or not… In both cases, you should know who will buy used cars and how profitable is vehicle selling. 

As you might have already mentioned, nowadays there are many dealers who buy used cars for cash. The number increases day by day and the reason is clear. In the USA more than 40 million used automobiles were sold in 2019. This statistical data says a lot. 

There are many reasons why people prefer buying used cars instead of the new ones. One of the outstanding reasons is avoiding price depreciation. By buying used automobiles you save a lot of money. In case of buying a new vehicle, it loses 10% of its value once leaves the lot. The price depreciation increases and in two or three years it can hit 60%. Another reason why it’s a good idea to buy a used vehicle is its reliability. Of course, by buying a brand new car you receive a warranty, but there are many used, time-tested vehicles. 

Hence, as you can see used vehicles are in high demand and now you know what dealerships buy used cars. Below you can review the benefits of addressing dealers and make up your mind whether it’s worth becoming a dealer or sell a car to dealership companies. 

Reasons to address car dealers who buy used cars

Addressing a dealer might have many benefits and disadvantages as well. For a better understanding let’s review all of them. 

Benefits of selling a car through a dealership 

  • First of all, addressing a dealer who will buy used cars will save you time. There are many dealership websites, where you can fill out the request and get the quote in hours. 
  • You don’t have to make announcements on the websites, answer income calls for further details, make appointments, etc. Instead of this, you can simply address the dealer who will buy your car. 
  • By addressing a dealer, you avoid preparing all the paperwork and the official part. All the paperwork is done by the dealership company.
  • Besides all the above-mentioned, you save money on taxes. As you know, in most states you have to pay the sale taxes after selling a car. If you trade-in your car, then you can pay taxes only for the difference amount. For instance, if the dealer offered 15,000$ for your car and the new one costs 25,000$, you will pay sales taxes only for the 10,000$. 

Nonetheless, selling an automobile to a dealer has many benefits, it has some drawbacks as well. It’s a well-known fact that dealers always evaluate vehicles much lower, and sell higher. Actually, that’s it the main source of the benefit that they earn by buying and selling used vehicles. Hence, if you are not limited in time, you can try to sell your “best buddy” by yourself. 

Conclusion  

After discussing all the needed information about car dealers who buy used cars, hopefully, you have a better understanding of the topic. Now you know which steps you should follow before addressing dealership companies; the advantages and disadvantages of selling an automobile through dealers. I’m sure the above-mentioned information will help you to make a correct decision and get the highest profit out of the selling. Good luck!