How to Sell Your Used Car in Ontario

Selling a used vehicle isn’t easy for everyone. However, you may decide it’s time to sell your used car since your family is growing, or maybe you want to reward yourself with a new vehicle as you just achieved a new accomplishment. Whatever the reason, here are some tips to prepare you to sell your used car for a smooth transaction in Ontario.

Preparing to sell a used car

Before you sell a used vehicle, here are three things that will help you get the best price for your car.

1. Get your car certified

In Ontario, a car should be verified to meet safety standards – Safety Standards Certificate.

Any inspection station in Ontario, licensed by MTO, can give you a certificate once your vehicle passes an inspection. Without a valid and safety certificate, car buyers have no idea if the car needs any repairs so they may not be able to drive the vehicle as soon as the purchase has been completed. It may impact the sale price since typically buyers are willing to pay a lower price in order to give themselves some buffers in the event repairs are required. 

2. Have your paperwork ready

When you sell your vehicle, you need to give the buyer:

• the Used Vehicle Information Package
• the Vehicle Identification Number (VIN) 
• a valid car title 
• a signed bill of sale with your name, the buyer’s name and address, the date and purchase price
• a completed and signed Application for Transfer 

If you want to get the best price possible when you sell, you should prepare additional paperwork such as: 

• Your service records. Provide potential buyers with as much service history as possible to show how well the car’s been cared for.
• A vehicle history report (VHR) to be transparent about the vehicle’s history that includes registration history, accident history, unfixed safety recalls, lien status and more.

All of this paperwork gives car buyers peace of mind that they are buying a good car and also shows that you have nothing to hide. In turn, potential buyers are more likely to pay a better price for it.

3. Get your car detailed

If there are any minor repairs or maintenance that are required, you should probably take care of them before putting your car on the market. Also, having a good cleaning inside and out, or paying a detailer to give it the once-over may add hundreds of dollars to your selling price.

What is the value of my car?

Determining your car’s value is a critical first step if you are selling your vehicle on your own. Setting a fair price for your used vehicle is important to a smooth transaction. Set the price too high you may result in no potential buyers, while you could undervalue and you won’t get as much as you’d like put towards your next vehicle.

It’s important to understand that there are many factors that contribute to your vehicle’s value, including its history, condition, and odometer reading. You may want to do some search and learn what similar vehicles in your area have actually sold for. You may use the average as a baseline to value your vehicle. Then list the extra features or history that can impact the value of your vehicle. 

For Canadians, a reliable resource to determine your car’s value is Canadian Black Book. You can also corroborate this information with other sources like Carfax.ca or Autotrader.ca for a good measure.

Should I sell my car privately or trade in my car to a dealer?

If you trade your car into a dealer, you might not get as much as you would by selling it privately. Trade-in value is typically less than you might see a similar vehicle listed for sale at. However, trading in your car is an easy way to go since the dealer will take care of all the paperwork and fix any dents or scratches. While selling your car privately, you can usually sell used cars for more than the trade-in value. In turn, you will need to invest your time in communicating with potential buyers, answering questions about the vehicle, and taking people for test drives. Or even need to spend money for detailing, reconditioning, listing, and marketing. It’s not an easy decision to make but you can weigh them out and decide which works the best for you.

The good news is, selling your used car has never been easier at Carnex. Get an instant vehicle estimate online today!

Learn more about the benefits of buying from Carnex. We believe that all clients deserve to know the good and bad of what they’re buying. Because we wanted to know these when we bought cars. That’s why at Carnex.ca, we will proudly display every detail every step of the way. Browse all the best cars, automobile buying tips, auto insurance, young drivers, driving techniques, auto industry trends from Carnex Blog.