What to do when buying a used car privately

Buying Your Car Privately

When planning to buy a used car in Australia, you can decide to either buy it privately or from a car dealer. Buying a used car privately allows you to save more money than you would if you purchased one from car dealers. You can go through classifieds to find many privately owned cars listed for sale.

Private sellers are always more open to negotiations than dealers, making getting a friendlier car deal easier. However, you also have to know that carelessness when buying motor vehicles from private sellers can also cost you money. This is because you don't get the high level of protection that you'd otherwise get if you bought a car from dealers.

You get a better statutory warranty and other covers that you might not get from a private seller with a dealer. That said, there are some things you need to do when buying a used car privately. And here is a comprehensive guide on that.

Determine the Car to Buy

Firstly, you need to decide on the used car you want to buy. This includes deciding on the model you want to own, colour, year of manufacture, and many other factors. Knowing the kind of car you want makes it easy for you to do the search and get a sufficient deal in the process.

Find Your Preferred Car

After deciding on the used car you want to buy, it's now time to start your search. There are thousands of sites and classifieds that list used cars for sale. According to Australian consumer law, all car adverts must clarify whether the ads are from a car dealer, private seller, or a used car trader.

Therefore, if you buy your used car privately, ensure that you select ads from private car sellers. You can also get a used car by checking adverts on billboards in your area. Some sellers also stick their ads on their cars. With the rise of social media, many used car sellers are now leveraging it to advertise their vehicles. Therefore, you can also go through different social media sites to find a great used car that you can buy.

Understand the Market

Most people prefer used cars since they are more affordable than new ones. However, you should not expect a used car in perfect condition to be cheap. The only way to get a cheap used car in Australia is to find a seller who wants a quick sale to cater to some emergencies.

Other factors that might make a used car cheap include the car's age, history, or condition. Understanding the market involves having a rough idea of the value of used cars in your shopping area. You need to compare different private sellers to find the rough estimates of the vehicle you desire.

Equipping yourself with this knowledge lets you know what to expect with your budget. Since you will be paying for the condition and quality of the car you want to buy, it is better to pay a high price and be happy for many years than pay less for a vehicle that will only serve you for a short period.

Check Used Car Sale Adverts

When purchasing a used car in private, you should be keen when checking the various ads. Pay more attention to ads with comprehensive information about used cars because you know what you are getting. Avoid those with insufficient information to avoid buying a car that does not meet your expectations.

Ads with scarce information might also indicate that the seller is not committed to providing potential buyers with all the relevant information about their cars. Checking car adverts is also crucial as it will allow you to understand the market value of your preferred used car.

In addition, ads give you an idea of the condition and type of the used cars available for sale. Once you have viewed as many car ads as possible, you can then shortlist the vehicles that you want to view. Moreover, don't get tempted to purchase the first car you view that looks great. It's essential to consider potential vehicles to ensure they meet your specific requirements.

View the Car

Once you have checked the different ads, you can now choose a car or two that piques your interest and meet all the specific qualities you want. This step requires attention to detail to ensure that you don't make a mistake that could cost you. Therefore, ensure that you carefully check out all the necessary information; this means that you shouldn't just look at the outside look of the car.

This is also a great time to check how trustworthy the vendors are. In addition to this, you should also check the car's credentials and history to ensure it is, in fact, in good condition. The running gear and bodywork should be intact.

Evaluate the Private Seller

You should take the time to view your desired car in the vendor's home. If you find the car seller telling you to view the vehicle in another sketchy place other than their home or somewhere safe, you need to be careful. Ensure that you are cautious since many fraudsters purport to sell cars but are just scammers.

Since you are buying the car privately, being conned is very high. As a result, you need to be extra careful about the vendors. The vendor should have proof that the used car rightfully belongs to them. This gives you confidence in the car's identity to ensure that you are on the right side.

An honest car seller should also answer all your questions. They should be able to give all the relevant details regarding the car to show that they have a good understanding of the car they want to sell. In addition, make sure to ask if they have a car loan so that you know how to deal with it before closing the deal. The primary purpose of evaluating the seller is to avoid buying a car from a scammer and losing your money.

Inspect the Car

You should make sure that the used car you are buying privately is intact. The only way to do this is by inspecting and test driving the car. Therefore, when you meet with the seller, carry out a thorough vehicle inspection to evaluate its cosmetic condition. Doing this lets you confirm that the price quoted matches the car's condition.

This is a crucial step as an inspection allows you to recognise any mishaps with the vehicle and ensure that it is in perfect condition for you to buy. During the inspection, there are some necessary details to pay attention to. Check the body's condition to ensure that the roof and each panel are in good condition.

Check to see if there is rust, scratches, and dents. In addition, take time to check if there are any misaligned panels and ensure that the paint finish and colours are uniform on the entire body. You should also inspect all glasses to ensure there are no cracks or poked parts.

Significant issues such as cracked windscreens can cost you a lot of money to fix, so they should be repaired before closing the deal. It is also advisable to check the car's suspension to determine if the shock absorbers are in perfect shape. The vehicle should not make unnecessary noises or wobble.

You should also check the lenses and lights to ensure that all the lights are working perfectly. They should be intact with no cracks and should also not be fogged with moisture. You should also check the tyres and interior parts such as the seats, pedals, sound system, controls, and others to ensure that they are in perfect condition.

Test Drive the Car

Once you have inspected the car, take it on a test drive for a few kilometres to ensure that it is working effectively. You should drive it yourself to feel whether you are also comfortable with it or get roadside assistance to check its condition. A test drive gives you a glimpse of the experience to expect when driving the car.

Take one or two road trips to ensure that you are buying a car in perfect working condition. If you have car insurance, you should first check if you are allowed into another person's car. In case you do not have car insurance, your vendor insurance will cover you, but you need to ask the seller to confirm.

Check the Car's Paperwork

After confirming that the car is in perfect condition, you should now confirm that the seller has all the necessary documents. This helps you have proof of ownership. Some documents to check out include receipts bearing the seller's name and logbooks.

Ensure that you confirm that the number plate matches the one on the vehicle registration. You should also check the mileage on the logbook or MoT against the odometer.

Close the Deal

When you are satisfied that the used car is in perfect condition, it is time to close the deal. You need to decide on how to make the payments and handle other paperwork involved in the process. Now that you know that the seller is credible and the car is precisely what you are looking for, you should make an offer.

The seller might have already indicated the price, but you have the chance to negotiate for a price reduction. You need to be equipped with the right negotiation skills because most of the sellers usually quote higher prices since they know that buyers always negotiate for a price reduction.

Once you agree on the price, you need to make plans on how to make the payment. However, you can also have a cooling-off period if you get a better deal on another used car before you can make the payment.

Make the Payment

You should agree with your car seller on how to make the payment. Even if you don't have the cash to make the entire payment, it is advisable to at least have a certain amount to show the seller that you are a serious buyer. This also ensures that the seller doesn't sell the car to another buyer.

Agree with the seller on the timeframe you will complete making the payment. Keep in mind that if you keep the seller waiting for too long for the payment, you might lose the used car deal. It is always advised to avoid carrying cash with you for safety purposes. The most advisable way to make payment is through drafts or bank transfers.

For transparency purposes, allow your seller to call your bank. Your vendor might also fail to release the car to you. This will be until the draft gets paid and cleared into their bank. Therefore, ensure the payment is cleared in time for the transfer process to start.

Assume Ownership of the Car

After you have both agreed on the price and successfully completed the payment process, your vendor should hand over the car to you. The seller should now sign the car title for you. If they owe money on the car, you should check out the car lender to receive the car title.

On receiving the title, you should register it to your state's department of motor vehicles to confirm that you are the car's actual owner. File all the required paperwork and pay the fees and taxes. After this, you get either an electronic or paper version of the car title.

Get Car Insurance

Once you have ownership of the car, you cannot drive it until you take the right car insurance coverage. Therefore, you need to have it insured by a reputable insurance company before putting it on the road. Note that since you have bought the car from a private seller, you have to find your own insurance policy.

Carry out a thorough research and get to know what you need before settling on an insurance policy. When you obtain proof of insurance, you need to stick it on the left side of your windscreen.

Consider Using a Car Dealer

Buying a car privately is tricky since you go through the whole process alone. You also have to find out if the vendor is genuine to avoid losing your money. However, as you can well see from this article, the process is not that complicated. You just need to pay due diligence and follow each step to ensure that you get a good used car that will serve you for a long time.

If you are not comfortable buying a used car privately, you can always reach out to a trustworthy car company in Australia and work with them to get a used car in good condition. They know how to evaluate the private sellers and inspect cars to ensure that you get a vehicle that is in perfect condition.