Is It Time To Sell Your Vehicle?
In the current used car market prices are soaring to unimaginable heights, which is both beneficial and negatively impactful. To begin, let’s delve into why these abnormal numbers exist in the first place. Due to the Covid-19 pandemic and the consequential parts shortage, the level of new vehicles being produced has dropped dramatically. As a result, supply is low, combined with high demand, and therefore creating larger price tags. Whether it is a fitting time to sell your used car is both a yes and no depending on the individual situation.
If Your Vehicle Is Paid Off It Could Be Time To Sell
Since June of 2021, used car prices have jumped by an inflated 10.5%. In other words, many vehicles are worth more now than they were a year ago, increasing in value rather than decreasing. Consequently, if your car is paid off then, in short, it is a perfect time to sell. Take it from the owner of a 1-year-old Dodge Ram 2500. According to CNN, their vehicle value increased by $5,000 compared to when they drove it off the lot. Furthermore, the average prices of used cars have topped $22,500 since the start of May. However, since July the market seems to be slowly trending back to normalcy, meaning it’s best to snag this market opportunity while it’s still available.
Can I Still Sell My Car If It’s Not Paid Off?
If you’re looking to take advantage of the current used car market, but your car is not yet paid off, the good news is you still can. Selling to private buyers can absolutely be done without a signed title. In addition, this type of sale usually achieves you the best price, sometimes better than wholesale, and can be applied to pay off your lien. Meaning, once the lien is paid or released by your lender, the title can then be signed over.
The actual transaction can be done without a title, however, there are risks. For instance, the buyer could face repossession or stolen car suspicions by the police. Therefore it’s best to get the title cleared, as in cleared of claims, and signed over as swiftly as possible.
What OfferMORE Can Do For You
OfferMORE has been in the used car buying business for over a decade, providing the best service to surrounding Pinellas County areas. As a company they guarantee to beat any appraisal brought to them, finding every nugget of value in your car. Owned by the Kashtan family since 1983, they’ve bought and sold over 1,000 vehicles. Furthermore, they’re located minutes away from CarMax and WeBuyAnyCars making them easy access for appraisal comparison.
Will Selling My Car Make My Bad Credit Worse?
Initially selling your vehicle and applying for a new car loan will decrease your credit. However, this situation is only temporary. Meaning, if the car you sold is paid off and the monthly payments for your new vehicle are financed on time every time then your credit will increase. A new car loan adds what’s called a hard inquiry to your credit report, which is just a request for your credit to be checked. This combined with positive credit history by making on-time payments can be a benefit to your overall credit score.
Reasons To Not Sell Your Car In The Current Market
There are many reasons and added benefits to selling your used vehicle at the moment. Nonetheless, there are a few crucial factors to keep in mind. For instance, do you have the funds for a replacement? Your car may sell for a high price tag but it can be equally difficult to find another that’s on the market for the same price, let alone less. In the end, the whole procedure has the possibility of costing you money instead of ending in a profit.
Additionally, though used cars are selling at increased prices this is only beneficial for the seller, not the buyer. In other words, in today’s precarious economy it may be unwise to sell if you’re financially unstable, such as being between jobs. Furthermore, if you’re credit’s bad enough you may not want it to drop at all, even if it’s only temporary. This can worsen your situation, especially if a new car is bought and payments aren’t made on time every time.