Pricing my used vehicle for private sale

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  • ghuletghulet Member Posts: 2,564
    ...are kind of a funny beast, IMO. Since they're (and Civic coupes) are the cars-du-jour for tuners (read: mostly teenagers and dreamers), it either should be messy and rebuildable (and thus dirt cheap), fairly tricked out already, or minty fresh. Sounds like your doesn't fit in any of those categories. Still, your price sounds fairly spot on. I think this would be an easier sell in the Summer, but then we don't always have the luxury of waiting 3-6 months. Good luck!
  • tylerjb1tylerjb1 Member Posts: 39
    I have a leased 2001 Jeep Wrangler to sell. How do I go about selling this vehicle when the title actually belongs to the bank? What's the best way to handle the transaction with the buyer? Am I able to transfer the title to the buyer without having it in my name?

    Unfortunately, I cannot afford to buy the vehicle outright from the bank; I need the buyer's money to payoff the lease.

    Suggestions?

    TIA,
    Tyler
  • mirthmirth Member Posts: 1,212
    If the bank/company that you have your lease with has a local office, then take the buyer there, payoff the lease + the buyout, and they'll sign the title over right there.

    Question though, if it is a leased vehicle, I assume you are buying the car at the lease end (or paying off the lease early and then buying it), and then turning around and selling it. Usually this is not a good thing to do because the buyout price is usually larger than you could get selling it yourself. So why not just turn the vehicle in at the end of the lease and forget about it?
  • tylerjb1tylerjb1 Member Posts: 39
    Thanks for the advice, mirth. I didn't realize the bank could handle a title transfer on the spot. Good to know!

    It's actually a pretty long and complicated story. The short version is we needed a second family car that we could use to transport the kids in. Also, we thought we were approaching the end of the lease, but we just found out that the lease was 6 months longer than we originally thought. Our fault, I know. Anyway, after doing the math, we can sell the Jeep and come out pretty close to even in the end.
  • mirthmirth Member Posts: 1,212
    Good luck with it. I used this method to sell a motorcycle that I had a loan on. With the buyer there, I paid it off, the bank signed the title over to me, and I immediately signed it over to the buyer.
  • alloyalloy Member Posts: 5
    I have a 1990 Integra with about 175,000 miles on it. It's been giving me problems over the pass couple of years and I have already sunk about 700 dollars or more into trying to fix it, but I don't think I can put any more money into it. The car is overheating and burning oil. My mechanic doesn't think it will pass smog, thinks it could be the engine, but can't tell me for sure until he sees it. I'd have to pay a diagnostic fee to get him to look at it. I think the trade in value for the car is $500, private party sale is $1800, and retail value is $3400. I'd like to see if anyone has any ideas for a creative way to get rid of it. None of these options seem all that great: 1) donate it - the new tax laws are not in my favor, 2) see if the dealer wants it - if he did, I know I'd be lucky to get $100 for it if that at all, 3) sell it private party - but I don't want to smog it if I think it will fail and I'd have to sink money into fixing it before selling it. Anyone have any other suggestions? I think I need to get rid of it fast, so that I don't have to pay insurance for it anymore.
  • kyfdxkyfdx Moderator Posts: 253,576
    Ask your mechanic how much he will give you for it... You might be surprised..

    As you describe it, it is maybe a $500 car to someone that can work on it..

    regards,
    kyfdx

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  • driftracerdriftracer Member Posts: 2,448
    Where are you? What state I mean...
  • alloyalloy Member Posts: 5
    I'm in CA
  • driftracerdriftracer Member Posts: 2,448
    I need a car like that for my son - he's starting Universal Technical Institute in June and will be going over the winter - a FWD car (cheap) is perfect for what we need - he has a very nasty and very rear wheel drive Nissan 240SX drift car that won't be able to move when the ice and snow are down.
  • Kirstie_HKirstie_H Administrator Posts: 11,224
    OK, let's take this to e-mail so we don't inadvertently violate Edmunds.com's "no buying/selling in the Forums" policy.

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  • driftracerdriftracer Member Posts: 2,448
    and by the way, front-wheel drive is better than most four-wheel drives...
  • kyfdxkyfdx Moderator Posts: 253,576
    I think he mistook FWD for 4WD

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  • alloyalloy Member Posts: 5
    I have just discovered a fourth way to get ride of my Integra. The smog law in CA is making it really hard for me to sell my car private party, even if I provide full disclosure and wanted to sell it to someone who wants to fix it. I found out I can go to my department of motor vehicle and place my car in PNO status (planned non operation). Then I don't have to smog it to sell it. Can anyone confirm this? Also, can anyone tell me how I can determine the value of my car in PNO status? Is a car in PNO status hard to sell?
  • charlotte7charlotte7 Member Posts: 144
    I have an 04 plain 4-cylinderSubaru Outback with 6500 miles on it. CarMax in Austin, Texas is offering me $18,000 for it, which I didn't think was too bad (KBB is $17,800). Have any of you sold your car to CarMax before? If so, would you recommend doing so--was it overall a good experience?

    Terry, does this sound like a decent deal to you?
  • jlawrence01jlawrence01 Member Posts: 1,757
    I needed a car short term last summer. I bought a 2002 Taurus SE in May for $5500 off of a leasing company and sold it to Carmax two months later for $5600. They generally give you KBB wholesale for your car if it is in good condition.

    Here is how it works.

    1) You talk to one of the sales guys. He gives you a rough estimate of what you;ll get.

    2) You give him the keys and within 30 minutes, they give you a formal offer that is good for 7-10 days and x miles.

    3) You them shop the car around to other places, if you want to, or take their offer.

    4) If you accept, you sign the title, hand it to them and you get the equivalent of a check which you deposit into your account. In seven days, you have access to your money.

    No hassles at all. The whole process can be done in about 2 hours. Do make sure you have a ride home. I underestimated the distance and had to walk about eight miles to the local train station.
  • kscctsksccts Member Posts: 140
    "I underestimated the distance and had to walk about eight miles to the local train station."

    Now that's funny. Hope it wasn't too hard on you! :)
  • maxvenummaxvenum Member Posts: 39
    I have a unique situation. I am getting ready to sell my 97 Chevy S-10 to a friend of mine, and then I am going to buy a 2005 Toyota Tacoma. My truck is technically still in my dad's name (I am just now graduating from college), but he is giving me the truck. The new truck will be bought completely in my name (my dad may co-sign if necessary to get the best possible interest rate). I understand that if I get a Bill of Sale on the S-10, then I can get the same tax benefit as when doing a trade-in (ie, new truck costs $25k. trade-in/bill of sale for $3k. you only pay taxes on $22k). To further complicate things, the S-10 is licensed in Michigan. My friend is in Missouri, and I will be buying the new truck in Missouri.

    Is there a way I can sell the truck and get the tax benefit for the Bill of Sale without transferring the title of the S-10 to my name? Or to get this benefit, does my dad need to transfer the title to my name, and then I sell the S-10 to my friend? If we need to transfer the title to my name, is there a way we can do this without having to pay a small fortune in taxes, licensing, etc. just to transfer it to my name only to immediately sell it?

    Also, could someone tell me how the Bill of Sale works in regard to the tax benefit I mentioned earlier? Do I have to show the dealer the Bill of Sale or do I just include a copy when I pay taxes to wherever I live?

    I appreciate any and all advice people give. This is my first time selling and buying a car.
  • isellhondasisellhondas Member Posts: 20,342
    Just sell the truck to your friend and forget about trying to get a very murky and no doubt illegal tax credit. You would have to TRADE your truck to the dealer in order to do this.

    What would you save anyway? Even if your tax rate is 8% you would only save about 250.00.
  • maxvenummaxvenum Member Posts: 39
    Actually, it is very legal. I just called the Missouri Dept. of Revenue and asked about the Bill of Sale. According to them, it is perfectly legal and legit in Missouri. The main caveat is that the Bill of Sale has to be notarized. My big question still surrounds the fact that the truck is in my dad's name. Any ideas on the best way to do this?
  • suydamsuydam Member Posts: 4,929
    won't cost you much. If your Dad is giving you the car, the purchase price is 0. You pay tax on the purchase price, so you won't owe any, just the cost of transferring the title which isn't much. This is in Ohio anyway. You can't sell the car if you don't own it. Otherwise you'll have to get a Power of Attorney. Easier really to transfer the title.
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  • maxvenummaxvenum Member Posts: 39
    Me not owning the vehicle isn't that big of a deal. My dad is willing to sign the title over to me or straight to my friend (once he has given me the check, of course). But what you say is the same in Michigan. I just checked with the Secretary of State's web page. Selling/giving a vehicle to an immediate family member is tax exempt.
  • rroyce10rroyce10 Member Posts: 9,332
    ......... I think you better check a little closer ....

    "Most" states are no longer exempt, and not only are they not except, they will use a "book" value for tax purposes ... the days of "hey Billy Bob, I will show you paid $5,000 for my $15,000 vehicle" are just about over ~ with penalties ....

    Kirstie - your from the "show me state" .. whats the deal.?

    Terry.
  • maxvenummaxvenum Member Posts: 39
    According to the Michigan Secretary of State web page, selling/giving a vehicle to an ~immediate~ family member is perfectly legit, though it says you have to be ready to back up the claim with birth certificates, marriage licenses, etc. It also has to be done to an immediate family member--father, son, grandparent, etc, but not a cousin, aunts, common-law spouses, or former spouses. According to this, my dad doesn't even have to sell me the vehicle. He can just give it to me.
  • Kirstie_HKirstie_H Administrator Posts: 11,224
    Kirstie - your from the "show me state" .. whats the deal.?

    Well, now I'm confused because I see Missouri, then I see Michigan. I am totally NOT a legal expert, so I can't give sound advice. However, I know that at one point when someone wanted to "give" me a vehicle, the Dept of Revenue told us that we needed to put down a sale price of at least $10 or we were going to have to fill out a whole load of paperwork.

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  • suydamsuydam Member Posts: 4,929
    But I'm sure the laws vary state to state. In Ohio I have given cars to 2 kids, transferred titles (and one gave a car to me) and there was no need to state a price. I was told at the Bureau of Motor Vehicles you don't have to pay tax if it's a gift. Now maybe we are more laid back in Ohio than other states
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  • mirthmirth Member Posts: 1,212
    Car is owned by the father in Michigan, they want to sell it to a friend in Missouri.
  • jlawrence01jlawrence01 Member Posts: 1,757
    Do realize that the State of Ohio DOES scrutinize gifts of vehicles. They may be "pretty mellow" when you give a car to your child but don't be surprised if they start to question other "gift" transfers.

    I have seen them go after the taxes on some "sham" gifts.
  • sebring95sebring95 Member Posts: 3,241
    I do business a lot in Ohio, and compared to TN it's like a communist state up there. However, I have done transfers to family members in Ohio and the only thing is they send a sheet basically asking if any money transferred hands, etc. I transferred to a son-in-law so the names were different. I just filled out the paper and mailed it back to them. I also had this happen once in Ohio when I sold a car for what they thought wasn't a fair value. It was a '94 Lumina with 140k miles that I sold for $3,500. This was in '96 so it probably threw a red flag since it was so new.
  • kyfdxkyfdx Moderator Posts: 253,576
    My aunt wanted to give my mother a car.. To do it tax-free, she had to transfer the car to their mother... who then transferred it back to the other daughter... No siblings, in-laws, etc allowed..

    Because.. in KY, everyone is related, somehow.. lol.

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  • jlawrence01jlawrence01 Member Posts: 1,757
    All state governments, especially Ohio, are cash strapped and looking at all transactions for potential sales and use tax.
  • rroyce10rroyce10 Member Posts: 9,332
    ........ Ohio watches very closely ... now it might take them 7/10/15 months, but a Retail value is placed at the time, then state auditors check through it later on ...... my own stupid brother sold a $10 grand vehicle to a "almost maybe" relative (32 cousins removed, by marriage) for $3,500 and had to pay the tax back 10 months later ...............

    Terry.
  • jlawrence01jlawrence01 Member Posts: 1,757
    They sent a warning out to all licensed CPA in Ohio in 2003 that they would be enforcing use tax and looking at vehicle transfers very carefully. I no longer get the updates as I no longer hold a license in Ohio.

    But as usual, I still get the tax forms and letters asking for me to file 2001 and afterwards despite moving out in 2000.
  • samstersamster Member Posts: 1
    Hi,

    I have a 2004 car with about 8,000 left on the loan. I have an interested buyer but I am unsure about the title transfer process. I need advice from someone who has done this or knows how to do it.
  • mirthmirth Member Posts: 1,212
    Have the buyer get a cashier's check. Take him with you to the local branch of the bank/lender that owns your loan. Use his check to pay off the loan, and the lender will sign the title over to you. Immediately sign the title over to the buyer, and you're done.
  • jaserbjaserb Member Posts: 820
    One addition: call the bank first to find out what location they store the physical titles at, and meet the buyer at that location. If it's inconvenient (like in another state) they may be amenable to transfering the title to a closer branch. Regardless, make sure the branch you're going to has the title at that location before hauling the potential buyer out there.

    -Jason
  • kyfdxkyfdx Moderator Posts: 253,576
    Where I live, I have the title.. The bank has the county record a lien on the title..

    When we do this, we meet at the bank.. they give you a notarized "release of lien" form.. then you take that and your title to the county clerk and transfer the car..

    At least that is the method in the three states closest to here..

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  • jaserbjaserb Member Posts: 820
    Around here the owner doesn't even see the title until the thing is paid off. If you refi the old lienholder sends the title to the new lienholder directly. Probably something else for the poster to look into.

    -Jason
  • kyfdxkyfdx Moderator Posts: 253,576
    Yup.. title in hand.. Of course, it has the lien printed right on it.. and, you have to have it released by the county clerk, with a seal and signature, before you can transfer it..

    Well... I fib a little bit.. I don't have a lien on my cars presently, but trust me, that is the way it works in KY.

    It is effectively the same.... You can't transfer the title until the lien is released.

    regards,
    kyfdx

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  • stickguystickguy Member Posts: 51,842
    Except, most (many? lots? some?) people these days fiance through the captives. So, for my 'Ody, I don't have a local Honda finance branch to visit :)

    I have never sold a car that I owed money on in a private sale (I traded one once). In most cases, it seems easier, and probably more lucrative, to scrape up the money somewhere to pay off the loan and get TIH, then sell it. Makes it easier on the buyer, which should be condusive to getting a better price, and quicker sale.

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  • kyfdxkyfdx Moderator Posts: 253,576
    That is great advice... I'm constantly amazed at the number of people driving $20K cars that don't have the financial wherewithal to do that, though... :(

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  • marjoriehmarjorieh Member Posts: 1
    Hi. I bought my car in 1996 from the original owner and now I want to sell it. When I bought it, she didn't have the title. We went to the California DMV with a Power of Attorney form that was signed over to me. The DMV kept one copy and I have the Buyers and Sellers copy. May I use this to transfer the car to a new owner, or do I have to order a title? Also, does anyone know what a paperless title is?

    Marjorie
  • isellhondasisellhondas Member Posts: 20,342
    You have NO IDEA how many people are in that same boat.

    They never learn, though. They have to have it all.
  • gregphgregph Member Posts: 3
    Looking to get a '05 Camry XLE with the leather seat package....I have a 95 Ford Taurus with 98,000 miles on it, V6 3.8L (rare), in excellent condition. I am wanting to trade the Taurus in and have been told by friends that the dealer might only give me like 1000 on it even though its worth more (cause this is where they make their money). I know i could sell this for a lot more privately. But to avoid all the hassle i think i might just trade it. How easy is it to haggle the amount for the trade in with the dealer? I plan not to take less than $2000 for it.
  • kyfdxkyfdx Moderator Posts: 253,576
    Better sell it yourself then.. You may easily get that, if it has few problems.. I can't see a dealer putting more than $1000 real money in it.. Especially, a Toyota dealer...

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  • grandtotalgrandtotal Member Posts: 1,207
    Whoa, the rare 3.8L engine, that's gotta be worth an extra $50. Smile The dealer will probably give you $2000 for it, if that's what you want, but expect to pay $1000 more than you would have done for the Camry.
  • sebring95sebring95 Member Posts: 3,241
    All you can do is try, but don't hold your breath. $2,000 is big trade money on a car of that age and type.
  • jetdrivenjetdriven Member Posts: 18
    in august 2001 my wife and I were shopping for a 1 year old mustang gt. We were driving a 1998 contour SVT. It cost 25K new and we bought it for 14K in 2000. Dealer would only give 7500$ for it, after extended arguing and getting up a few times the dealer went up to 9500, but the price of the mustang was still 1,000 above market.

    We drove the mustang a week and returned it as the interest rate they promised never materialized. My wife picked up the car with a stock sticker on the windshield that showed 14,900. I later sold it for 12,500 after two days of advertising.

    bottom line, buy a good car that is pretty hot in the resale market and sell it yourself when the time comes to buy a new one. I have done this with a 93 trans am, a 89 mustang GT, and an old corolla, plus the contour. I dont think my sister on law or her dad can do that with their 2000 caravan or 99 thunderbird. they are cold cars.
  • isellhondasisellhondas Member Posts: 20,342
    gregph,

    Sorry, but you have a trade that no dealer will want. A 98,000 mile Taurus is a car they will wholesale and even the wholesalers aren't going to get excited.

    If it's extra nice you will do much better on your own but don't expect a lot. The "rare" 3.8 engine is NOT an asset nor is it that rare. It's troublesome compared to the 3.0 engine and most buyers know that.

    Yes, sell it yourself.
  • gregphgregph Member Posts: 3
    thanks! to you and the rest who replied. i guess the mechanic who told me that the engine was "rare" didn't really know what he was talking about...i just found out today that my brother totalled his '98 mitsubishi mirage, so i will probably sale it to him to help him out and to get the taurus out of my driveway. BTW, does anyone know how well the toyota RAV4 holds up after a while??? Thanks again!

    -Greg
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