It may seem a daunting task at first but the process of selling your car in the Philippines isn’t as complicated as you think. Want to know how to sell a used car? The secondhand car selling process involves many tedious steps, but it’s all worth it if you get it right. Here’s a rundown of how to sell a used car made easy.
Prepare The Necessary Documents
Selling a used car involves a lot of steps, from preparing the car, to completing all the paperwork. In the Philippines, it’s important to ensure that all the documents of your car for sale are complete and valid. This way, buyers won’t hesitate to purchase your car.
Each document is vital, so no matter how good your car’s condition is, if there’s a problem with any of the documents, you may have a hard time finding a potential buyer. So, what are the documents you need to prepare?
Document Checklist
We’ve created a helpful checklist that you can use to ensure that everything is in order.
- Original Certificate of Registration
- Original Receipt of Registration
- Absolute Deed of Sale
- Transfer of Title
Whilst this list may seem complex and daunting, you can find some simple definitions for each item on the list below.
Original Certificate Of Registration
A used car buyer will surely ask you to show the car’s Original Certificate of Registration (CR) from the Land Transportation Office (LTO). Get the LTO registration sorted out and up to date. Check the registration and confirm that the vehicle is currently registered with the LTO. Be cautious when you see the term “encumbered” on the document since it means you are not yet cleared with the financing company that paid for the car.
Original Receipt Of Registration
The Original Receipt of Registration (OR) verifies the CR. Without this, the registration would become questionable. This is because the LTO will be given after you enlist the car in the LTO. Make sure your OR is updated to assure the buyer that your car has no issues.
Absolute Deed Of Sale
One of the most important documents to prepare is an Absolute Deed of Sale. It acts as a receipt of the sale of a secondhand vehicle. The piece of paper could spell the difference between a good transaction and tons of lawsuits filed against you. It’s because a deed of sale is a legal and binding document proving that the buyer and seller have reached an agreement of sale or purchase.
The document contains details about the vehicle such as its color, plate number, body type, make, model, and engine number. Also, it should be notarized by a lawyer. But, in some cases, the buyer’s details are left blank, which happens when you’re in a car buying and selling a business. This reduces the time and effort to register the vehicle in LTO when it changes ownership.
Transfer Of Title
This is not a very important document, but it can be helpful. This will become handy in case of legal complications. For example, if you find out that the vehicle has been involved in a car accident and it’s currently in your name as the registered owner, you can be held liable. A transfer of title can help protect yourself because it’s a legal document saying that the ownership of the car has already been transferred.
Give The Car A Thorough Inspection
Ahead of selling your car, it’s vital to make sure it’s in top shape. It’s worth investing some time in preparing it for sale, like making sure both aesthetic and mechanical issues are resolved before posting the car for sale.
Why is it important to perform one last maintenance before selling your car? First, if your car is well-maintained, it is more attractive for buyers. That’s why many buyers do ask for your maintenance booklet and receipts for all the services for the car.
Focus on the interior, exterior, and performance-related aspects of the vehicle. For performance, you should check the engine, battery, transmission, and brakes, among others. For the interior aspect, make sure everything is aesthetically pleasing. Plus, check your trunk, mats, buttons, upholstery, steering wheel, and the dashboard to name a few. For exterior parts, make sure to check the car’s windows, side mirror, lights, license plates, and wheels.
Take Photos Of Everything
Today, photos are very important when selling cars. Buyers are now very keen in looking for details, the overall look of the car, and possible issues. The most important thing about advertising your car for sale is to ensure that you have good quality photos. These photos should highlight the car in every angle since you want to show off the car in its best light to potential buyers.
Make sure to take good photos of the front view, with both the hood open and closed, rear view, close-up photo of the engine, side view of all sides, all windows, tires, wheels, and the interior like the dashboard, mats, and seats. You can include a photo of the mileage meter. It may seem basic, but ensuring that each photo is high-resolution, in-focus and has adequate lighting is crucial to creating interest.
Create An Advertisement
In creating an advertisement, you want your car to look the best, especially because there are many other cars for sale on advertisement sites. You can choose various platforms on the internet – there’s OLX, Carmudi, and Facebook.
But first, make sure you provide a description of the car. You can list your car’s advantages, issues and other important things you think potential buyers should know. You should include your car’s model, male, year, trim level, asking price, the reason for selling, parts, and modifications made, mileage and the car’s overall condition.
On these sites, you post the description and photos of the vehicle. Aside from those, you need to post your contact details, too. The good news is, both OLX and Carmudi let you sell your car for free using their websites. All you need to do is register an account and start selling.
Wait For Queries
After posting your advertisement, it’s time to wait for potential buyers to ask questions and negotiate with the pricing. You will receive messages from various platforms about a potential buyer who is interested in the car. You can communicate with the buyers directly. At some point, the buyer may need to see the car in person for viewing and checking.
Sell The Car Through Meet-ups
But, it’s essential to be safe when meeting up with customers. Always meet with buyers at daytime in well-lit public areas. Never settle a meeting in a secluded place. Also, make sure you’re familiar with the location. If possible, bring someone with you, whether the person is a relative, a friend, or a trusted mechanic.
Plus, never leave your keys to the buyer unattended and the car for long periods. If the buyer wants to test drive the vehicle, you should join him or her. Make sure you’re with someone also.
Important Things To Take Note After Selling The Car
So, you have sold your car but there are things to keep in mind so you don’t want to have issues in the future. When closing the deal, don’t forget to release the car to the buyer only when the money has been received and counted. You will then draft a deed of sale and offer an official receipt.
Furthermore, discuss warranty and other issues with the buyer so there will be no future issues.
There you have it, simple steps on how to sell a used car. We hope these tips are of big help when you decide to sell your car.