If you are replacing your car, trading your car is an option. This is most easily done if you are purchasing a car from a dealer. However, you can also advertise your car for sale or trade. The advantage to trading in your car to a dealer is avoiding the hassle and risks involved in advertising, showing, and transacting private sales. You lose this advantage if you are trading your car in the open market. There may be other benefits, also. For Washington State residents, the trade-in amount is not subject to sales tax. It isn't required for your vehicle to be paid off in order to trade it; however, the value of the trade is reduced by the amount owed against it.

If you are not planning to replace the car, you can still use car dealers to dispose of your vehicle quickly and relatively risk-free. Many dealers will make cash offers for vehicles to add to their inventories. They will offer to pay you less than they intend to sell the vehicle for, but that's the point of owning a dealership. The discount may be well worth it if time is in shorter supply than money.

You may be able to negotiate a higher price by agreeing to consign the vehicle. By agreeing to take your cut out of the sale, the dealer gets to add inventory without making an investment. However, there are risks in consigning your vehicle. You should only consign your vehicle to a reputable dealer that regularly accepts and sells consigned vehicles. You need to be as careful consigning your vehicle as you would be giving it to somebody in exchange for the promise to pay you later. Generally, dealers will either take a percentage of the sale, or everything over an agreed upon amount you will receive. You can also check for auction companies that will take your car on consignment.

If you're comfortable with negotiating deals with strangers, and you have time to invest, then selling your vehicle privately will most likely get you the most money. There are free venues, like Craigslist on which you can advertise your vehicle for sale. Your local newspaper classified ads will likely work well to find a buyer, as do vehicle specific publications like Auto Trader. You really need to consider your reasons for selling your car this way. There are risks involved with inviting strangers to your home and making the transaction. You should consider this if you are at all vulnerable.

Once you've made your decision, you might want to check out how to avoid common mistakes selling your car!

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