Selling a used car to a private buyer or buying a used car from a private seller is a concept that isn’t new to mankind. In fact, it is the oldest form of used car deals in existence. However, is it the best deal you can get?
A couple of decades ago, buying a used car was rather simple. If you knew someone who was selling their car, you would meet them, discuss and then finalise a deal, or you would walk into a used car dealership and pick the car that fits your taste and budget. However, things have changed quite drastically.
Buyers now have access to tens of thousands of used car listings right from the comfort of their homes and sellers can post a listing that can then be seen by hundreds of thousands of potential buyers. However, with this explosion of information comes an inherent risk. Are you really getting the best value when you sell to or buy from a private individual? Or are you losing out somewhere?
There are multiple factors to consider here:
Security & Safety
Is it safe to deal with the person you are buying from or selling to? The process of buying a car involves going to see the car and the process of selling a car involves someone coming to see the car and both cases involve a complete stranger driving the car in question. Can you trust a stranger with your car? Or is it safe for you to head out to a location that is unknown in most cases?
Finding an answer to those questions is nearly as hard as the situation itself, if not harder. On the other hand, if buying or selling a car is done through a dealership, it is much safer as the dealership has a standard location, well-trained executives, a reputation to maintain, etc.
Wavering Prices & Decisions
Have you ever been in a situation where you see a car you want to buy, and you and the seller then agree on a particular price, but at a later stage, the seller backs out of the deal without reason? Well, this is a common occurrence when dealing with a private seller. This is also the case with many private buyers. They give confirmation on a price but then never turn up to pick up the car.
This is something that does not happen with dealerships. Once a deal is finalised, the dealership always sticks to what was agreed upon. In most cases, this is also given in writing, so that nothing changes according to one’s whims and fancies.
The Price Factor
This is one aspect where private buyers and private sellers trump dealerships. If you sell your car to a private buyer, you can generally expect a higher price than what a dealership would give you. If you buy from a private seller, it is possible to get the car for a lower price than a dealership. However, there are some caveats to this.
If your car holds good value in the market, but there isn’t much demand for it among private buyers, it is possible to get lowballed on it by the private buyers, but a dealership would still be able to offer a decent price for your car. Some supercars are a good example of this. If you own a Ferrari or a Lamborghini and intend to sell it, in most cases, a private buyer would surely offer a lower price than a dealership.
Dealerships incur operating costs like employee salaries, rent, various bills, etc, and this will have to be offset by buying cars at a lower price and selling them at a higher price. However, the several advantages do outweigh the price factor.
Payment Methods
‘Limited’ is the word that comes to mind when we think of the payment options private buyers offer and private sellers accept. Almost everyone accepts cash payments and online transfers. However, most of them do not trust cheque payments, and that is about it.
If you head over to a dealership though, you can even opt to finance your car through a variety of schemes and you can even expect some offers or cashback schemes. In addition, most dealerships accept cheques for payments, which is very convenient.
When it comes to paying or receiving payments through cheques we suggest you should avoid using personal cheques and use banker’s cheques instead. A banker’s cheque is basically a financial instrument issued by your bank. It is like your bank has written the cheque for you. You deposit your money in the bank and they write a cheque for you. This way, no cheque bounces because of a lack of funds.
Finally, if you are going ahead with a private buyer or seller, it is always worth transferring funds or exchanging money for the car at the RTA when the transfer of papers is completed.
Transfer Of Ownership & Vehicle Papers
This is one of the most important bits of buying or selling a car. One must ensure that the paperwork and ownership are transferred legally and safely. If the papers are not transferred, ownership of the car is illegal and difficult in the UAE. One would find it hard to insure the car and get the car inspected if the papers are improper.
Furthermore, resale is impossible if there is a flaw in the transfer of papers. If you buy a car from a private seller or sell it to a private buyer, the transfer of papers and ownership will have to be handled by the buyer and/or seller. If you buy from a dealership though, the dealership will handle the transfer of papers, therefore making it more convenient.
If you are looking forward to selling your car in a convenient manner, the ‘Sell Your Car’ section at DubiCars.com is the easiest and safest way to do it. If you are looking at purchasing a used car too, DubiCars has you covered. Head over to the list of used cars in the UAE and find your dream car in a jiffy.
Also Read:
– Fuel Prices Are Increasing: Here’s How You Can Save Money On Petrol & Diesel
– This Gas Produced By Vehicles Can Kill You: Here’s How You Can Avoid/Control It– Mercedes-Benz Is Set To Discontinue Station Wagons, Coupe SUVs, and Coupes
