Its time to sell your Auto, Motorcycle, or RV and you immediately begin to consider your "seller options." Search the web for keyphrase, 'Options for Selling My Car," and 99.9% of the articles written by best-known, so-called "experts" present you with only two options available: dealer trade-in or sell it yourself. However, there is also a little known selling option called dealer consignment that has grown in popularity and availability. The three options have pretty much stayed the same for decades, but the tools, time invested, and financial implications of each option have definitely changed, so it is worth taking a fresh look:
Dealer Trade-in and Instant Cash Offers
Basically the same thing, and either way, you are selling your vehicle to a dealer at a wholesale price, typically 15-35% below true retail market value, hence the old saying, "low-ball offer." Of all your options, the Instant Cash option is the fastest, least involved, but it is also the least effective way to maximize your resale dollars. Dealer Trade-in ranks a close second behind Instant Cash financially, but it will take more of your time and effort, and is selected most often when you are buying a vehicle from the same dealer.
The only real difference between Instant Cash versus a Dealer Trade-in is whether you plan to buy a replacement vehicle from the same dealer. If you are buying a replacement vehicle, depending on your state, there may be sales tax savings of 6%-8%. Beware of the trade-in dealer who tries to grab your sales tax savings by offering you a smaller trade-in "allowance" versus an Instant Cash offer from a different dealer down the street.
Private Sale - Sell It Your Self
This option has always been there and frankly there are now many online tools available to put you "in the market" and "in charge." In the past 25 years, there are literally now hundreds of competing private seller web listing sites, mobile apps and tools. Some are free and others charge for various levels of service, convenience and security. Many people use these tools to jump into the private sale option with the allure of new technology and financial gains before they have a full appreciation or understanding of all the "other" pieces that are needed to sell a vehicle. There are many things that will eat up your time and money and should be considered beyond just where and how you plan to advertise your vehicle. See our list of 20 steps to sell a vehicle for more details.
When was the last time you considered hiring a trained, licensed professional to sell your Auto, Motorcycle or RV for you? For most people the answer is "never." Yes, we are talking about an old concept, but in recent years this option has become more standardized, professionalized and is a very effective way to maximize your resale dollars, while eliminating all the hassles and hazards of a private sale. The term "Consignment Pro" is used here to mean a licensed, bonded, insured, state-approved retail dealer that offers some form of consignment service to sell your vehicle on your behalf for a fee and/or commission. Typically, the Consignment Pro will handle all aspects of selling your car, which is a rather large undertaking. The real value and benefit of choosing consignment over selling yourself is handing over all stressful and time-consuming aspects of the sale to the Consignment Pro. Retail consignment will always yield more money than trade-in or instant cash offers. Generally, retail consignment will also net you more than selling it yourself, without all the hassles and hazards. Each Consignment Pro has a slightly different approach to consignment, but generally their compensation consists of fee(s) up-front and/or commission when your vehicle sells.
Use Retail My Ride to locate a licensed retail consignment dealer near you that specializes in selling your type of vehicle, then contact them to get started. Most sellers that have used a Consignment Pro rarely go back to selling it themselves. They love the extra value, expertise, safety, and convenience that comes with retail consignment, and we think you will join them once you try it.