With the New Year here, many people tend to feel the need to change their cars. Some want to get something better while others want to adjust themselves financially to cater to their plans for the year. For whatever reasons you have, it is necessary to understand the procedures for sale. Are you wondering how to sell a car privately in South Africa? Stick around to find out more.
Many people still do not know the procedures and are cheated by conmen. It would be best if you are careful so as not to fall into such people's traps, especially when selling your car in person.
How to sell a car in South Africa
Before you settle on where you want to sell your car, you should first check all the possible mediums and see which one is most favourable for you. Always proceed with caution in whatever method of sale you choose. There are several ways to sell your car South Africa, including:
1. Private sale
When making a private sale, you sell a vehicle directly to a buyer; a dealership or individual. You should be cautious about the sale when you are dealing with strangers; some may have a different agenda from yours.
If the plan is to sell an old vehicle to get a new one, you should consider a trade-in. It is advisable that you separate the two transactions and deal with them separately to get the exact prices for both the sale and the buying.
3. Selling your car to a wholesaler
Here, you advertise your used vehicle and its price through online websites or newspapers. The used car wholesalers in turn contact you, and in this kind of transaction, a middleman is involved.
4. Selling through a used car auction
This route requires prior research before settling on it. You should check different auction companies and check their reviews. You should also have in mind that out of the price you get from the sale, 4% to 8% goes to the auction house.
How to sell a car privately
If you have decided on selling a car privately, get to know your car's value before accepting a final offer from a buyer. There is a growing demand for used cars because of the increasing prices of new vehicles. Do not be too quick to settle on the price. If you give a very high asking price, it might take longer to sell your car, and vice versa.
What documentation do you need to sell a car?
Aside from knowing how you sell your car and the resale value, there are several documents you should prepare. The papers will be crucial in the smooth running of the sale. These include:
Make sure you have a copy of either of your ID/passport/driver's license with you to give to your buyer. You should also get the same from the buyer.
2. Proof of ownership
This document is compulsory when making the sale. It attests that the car is fully paid and is usually accompanied by a financial institution letter stating that it is truly yours.
3. A settlement letter
If the seller has an outstanding loan from any financial institution, a settlement letter has to be given to state the information about the loan.
4. Notification of change of ownership (NCO)
You get this document from your local traffic department so that you can transfer the right of ownership. Both the seller and buyer must sign copies of this document and send a copy to the Department of Transport.
5. Application for registration of motor vehicle
After completing the sale, the buyer should fill in an Application for Registration of Motor Vehicle.
6. Vehicle registration certificate
The buyer is required to register the car, and he/she will need the original copy of the Vehicle Registration Certificate. Both parties should keep a copy of the certificate for your record.
7. Proof of sale or vehicle sales agreement
Once everything is finalised, a receipt and/or an agreement of the transaction should be made, and it usually includes the paid amount, date, car's registration, make and model of the vehicle, VIN, etc.
8. Roadworthy certificate (RWC)
This certificate is needed within 21 days of the sale and is required during the registration process. If yours has expired, you can quickly get one for the buyer. Just take your vehicle to a testing station with your Identity Document, vehicle registration, and a filled-in Application for Roadworthiness Certification.
9. Service history
Hand over the receipts you have and any documents that relate to the car's warranty.
Remember to document every step you take. It may be useful in the future to understand your rights as a seller and the Consumer Protection Act.
Frequently asked questions
It is vital to have good clarity before you indulge in any sale. In such a meaningful discussion, to ease your queries here are some FAQs.
How hard is it to sell a car privately?
Selling your car privately can be a headache, especially if you do not know your way around it. Getting your ads up, taking good pictures, dealing with uncooperative buyers, etc. can become quite stressful at some point.
How do you sell a car privately?
First, get to know the pros and cons of selling your vehicle privately. Secondly, know the value of your vehicle in the market and choose the best price for you. Thirdly, get all the documents listed above ready. If you feel that you cannot take on the processes alone, consult professional help.
What documents do you need to sell a car?
Several important documents should be presented before the sale of a car. The documents come from both the seller and the buyer, including
- Proof of Ownership
- A settlement letter (if the seller still owes money for the car)
- Notification of Change of Ownership
- Application for Registration of Motor Vehicle
- Vehicle Registration Certificate
- Proof of sale or Vehicle sales agreement
- Roadworthy Certificate (RWC)
- Service history
Knowing how to sell a car privately in South Africa is vital for every car owner, especially during these times. Remember when selling a car, time is of the essence since it will affect many things, such as the car's price, depreciation of the market's value, and insurance.
DISCLAIMER: This article is intended for general informational purposes only and does not address individual circumstances. It is not a substitute for professional advice or help and should not be relied on to make decisions of any kind. Any action you take upon the information presented in this article is strictly at your own risk and responsibility!
The current CEO of Seek Ye Bikes has a big dream, he wants to become a major manufacturer of bikes in Ghana. Read on to know his story.
Source: Briefly News