Most people replace the automobile they drive after several years. Unfortunately, many trade in their old ride to the dealer instead of selling the used car themselves. Although a private car sale requires more effort than trading it in, it can result in thousands of extra dollars for the old used car. The trade in price will almost always be much lower than the sale price in a private market sale.

Research reputable online auto pricing websites such as Kelly Blue Book (KBB), Edmunds, and National Automobile Dealers Association (NADA) to get an idea of how much the used car is worth in a private sale. In most cases, the seller should set a price higher than the minimum acceptable price in order to make room for buyer negotiation, which almost always occurs. Haggling over the price is a time-honored tradition in car sales.

If there is a major problem with the car that reduces its value significantly, the seller should set a lower price that is lower than the market but make the price firm. This will attract buyers to a car that has problems as well as mitigate the price drop resulting from the defect.

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