How to Sell Your Car to a Dealership: A Step-by-Step Guide

Selling your car can sometimes feel like a daunting task, but selling it to a dealership can be one of the easiest ways to get the job done.

If you’re looking for a hassle-free sale and don’t want to spend weeks dealing with private buyers, a dealership may be the perfect option.

Let’s explore how to sell your car to a dealership, and make sure you get the best deal possible.

Why Selling to a Dealership Could Be the Right Choice

There are several ways to sell a car, but dealerships offer a level of convenience that private sales often can’t match.

When you sell privately, you might have to meet with multiple buyers, answer lots of questions, and handle all the paperwork yourself.

In contrast, dealerships handle most of the heavy lifting for you, including taking care of the paperwork and even inspecting the vehicle.

For those who need to sell their car quickly or simply don’t have the time to deal with the back-and-forth of private buyers, a dealership could be the ideal choice.

Whether you’re upgrading to a new model or just looking to free up some cash, dealerships often make the process smooth and efficient.

Preparing Your Car for Sale

Before heading to the dealership, it’s important to make sure your car is in good condition to get the best offer.

Here are a few steps to follow:

1. Clean and Detail Your Car

First impressions matter, even when selling to a dealership.

While dealerships will typically clean the car before resale, presenting a clean, well-maintained vehicle can positively impact their offer.

Give your car a good wash, and consider getting it professionally detailed if needed.

2. Gather Important Documents

Dealerships will need certain documents to complete the sale, so be sure to have these ready.

Key paperwork includes your V5C registration document, service history, MOT certificates, and any receipts for major work that’s been done.

Having these prepared shows the dealership that the car has been well looked after.

3. Check for Outstanding Finance

If you’re still paying off the car, you’ll need to settle the outstanding finance or check if the dealership can take over the remaining payments.

Be upfront about any remaining finance when discussing the sale with the dealer.

Researching Your Car’s Value

Before heading to a dealership, it’s essential to know the value of your car.

This knowledge will give you a better idea of what to expect during negotiations.

1. Use Online Valuation Tools

There are several online tools that can give you a rough estimate of your car’s value based on its age, mileage, and condition.

While these estimates are useful, keep in mind that dealerships may offer slightly less as they need to account for their own profit margins.

2. Consider Trade-In vs. Cash Offers

If you’re planning to purchase a new vehicle from the same dealership, you might be offered a trade-in value that’s slightly higher than a straight cash offer.

This is because dealerships are keen to make the sale on the new vehicle.

Compare the two offers and see which works best for your needs.

3. Factors Affecting Car Value

It’s important to understand the various factors that will affect the offer you receive.

These include the age of your car, mileage, condition, and even market demand.

For example, a car that’s in high demand might fetch a higher price than one that’s not as popular.

Choosing the Right Dealership

Not all dealerships are the same, and choosing the right one can make a big difference in the offer you receive.

1. Specialist vs. General Dealerships

If you have a car from a well-known brand, consider taking it to a specialist dealership for that make.

They may be willing to offer a better price, especially if they’re actively looking for cars of your type.

Check out our page on how much a dealership will come down on price on a new car in the UK to learn more about negotiating the price.

2. Look for Dealerships Offering Instant Cash Offers

Some dealerships offer instant cash offers, which means they can give you a quote on the spot.

These offers tend to be competitive, but it’s always a good idea to shop around before committing.

3. Check Reviews and Reputation

Before choosing a dealership, take a few minutes to check their reviews online.

Look for dealerships with a strong reputation for fairness and customer service.

A dealership with a lot of positive reviews is likely to give you a smoother and more transparent selling experience.

Negotiating the Best Price

Negotiation is part of the process, so don’t be afraid to ask for a better deal.

1. Understanding the Offer Process

Dealerships typically evaluate your car based on its condition, age, mileage, and market demand.

They may also factor in any repairs or reconditioning that will be required before reselling the vehicle.

Having a clean, well-maintained car with complete service records can help you secure a higher offer.

2. Don’t Settle for the First Offer

It’s always a good idea to visit multiple dealerships and get several offers.

You might find that one dealership is willing to offer a better price, especially if they’re particularly interested in your type of car.

3. The Power of Knowledge

The more you know about your car’s value, the better you can negotiate.

Don’t hesitate to mention the research you’ve done and the offers you’ve received from other dealerships to leverage a higher price.

Closing the Deal: What to Expect

Once you’ve agreed on a price, the dealership will guide you through the final steps.

1. Paperwork You’ll Need to Sign

You’ll need to sign a bill of sale, which transfers ownership to the dealership.

The dealership will also handle the paperwork for notifying the DVLA that the car has been sold.

If you’ve ever wondered, ‘what to do if a dealership sells you a faulty car?’, check out our detailed guide for your rights and steps to take.

2. What Happens to Your Number Plates?

In most cases, the number plates will stay with the car, but if you have personalised plates, you’ll need to transfer these before the sale.

3. Finalising the Payment

Dealerships will usually pay by bank transfer or cheque.

Make sure you understand when and how you’ll receive payment before leaving the dealership.

What to Do After Selling Your Car

Once the sale is complete, there are a few loose ends to tie up.

1. Inform the DVLA of Sale

It’s important to notify the DVLA that you’ve sold your car to avoid being held responsible for it.

The dealership will likely handle this, but always double-check to ensure it’s been done.

2. Cancel Your Car Insurance

Don’t forget to cancel your car insurance once the sale is finalised.

If you’ve paid upfront for the year, you may be entitled to a refund for the remaining months.

3. Tax Refunds for the Remaining Months

If you’ve paid road tax in advance, you can apply for a refund from the DVLA for any full months remaining.

FAQs about Selling a Car to a Dealership

How long does the process take?

The process can often be completed in one day, especially if you have all the necessary documents ready.

Will the dealership buy my car if it’s damaged?

Yes, most dealerships will still buy damaged cars, though they may offer a lower price to account for the repairs needed.

Can I trade in my car for a new one?

Absolutely.

Many dealerships will offer a trade-in option, allowing you to use the value of your current car towards a new one.

For more details on how dealerships handle payments, check out our page on how to pay for a car at a dealership.

Conclusion

Selling your car to a dealership can be quick and hassle-free if you follow the steps outlined above.

Whether you’re looking for convenience or need to sell fast, dealerships are well-equipped to handle everything from inspections to paperwork.

Are you looking to buy a new used car? Contact us today and we can help you!