What Is Car Consignment, Can It Be Trusted, and Is It Worth It? | Exotic Car Trader

You may have wondered what a consigned car is and how buying one is different from your regular dance at the dealership or your craigslist prank. You may be wondering what is involved in selling a car on consignment and whether it is a good idea. Whether you’re buying or selling, you may have questions like these:

  • what is car consignment?
  • How is shipping different from regular buying and selling?
  • why would someone consign a car?
  • can this process be trusted?
  • even if you don’t know anything about car consignment right now, you’ll either be an expert by the end of this article or it’s free. wait, are you saying it’s already free? then I guess you have nothing to lose.

    Reading: Consign a car reviews

    what is car shipping, anyway?

    Car consignment involves the use of a consignment company as a intermediary between the seller and potential buyers. The seller pays consignment fees to the company, and in return, the company handles the entire sale on behalf of the seller. Everything from building effective listings to handling tedious negotiations, to dealing with scammers and scammers, is done without bothering the seller. nice and easy.

    but there’s more. The consignor accepts the buyer’s payment and delivers it to the seller, typically holding the money in an escrow account in between. This is generally seen as a safer alternative to accepting a check from a stranger in a Wal-Mart parking lot and hoping it doesn’t bounce.

    Some consignment companies will handle the title transfer as well as all the dmv paperwork, making sure everything is filled out correctly. some will even play a role in delivering the car and might even give you a few details along the way.

    In short, consignment allows people to sell their cars without the typical hassle and headache of doing it themselves.

    what’s so hard about selling a car yourself?

    It all comes down to trust.

    If you’re selling a car on consignment and someone tries to scam the consignment company out of your car, you probably won’t even know it. if a buyer gives up at the last second, he won’t know either.

    The goal is to take as much work off the seller’s plate as possible. car consignment:

    • saves time. posting ads, answering calls and emails, and dealing with time wasters and tire kickers… it all adds up fast.
    • relieves stress. no more rearranging your schedule hoping a potential buyer won’t be put off at the last second.
    • extends its reach. It’s hard to ship a car across the country as a private seller. not to mention, how do you know it’s not a scam?
    • When you sell through a good consignment company, their experience allows them to find the right market for your car and market it perfectly to reach the right buyer. that means you will get the best price in the shortest possible time.

      why would I pay someone else to sell my car?

      In an ideal situation, auto shipping will actually save you money. Not only does it open up your schedule for all those hours you would normally spend selling your car, but since consignment companies are experts at crafting effective listings and posting them in the right places, the resulting buyer is often willing to pay more than local buyers or craigslist low-ballers.

      The frugal among us will be happy to know that shipping rates are usually based on a percentage of the car’s final sales price. Unless you’re selling a rare, exotic, or incredibly expensive car, the fees won’t run that high, and will be largely offset by the hours you save and the higher sales price you achieve. Additional perks such as detailed services and high-quality listings with professional photography also help tip the scales of value in your favor.

      Consignment isn’t just for luxury collector car auctions, either. in fact, the cheaper the car, the less you’ll pay in consignment fees.

      See also: 2021 (Q1) Japan: Best-Selling Car Brands, Models, and Minicars – Car Sales Statistics

      Learn more about consignment car sales with our guide for consignment car dealers.

      why would i buy a consigned car? Won’t I overpay?

      It’s no secret that consignment companies want to sell high; this is how they make money and keep sellers happy. but no one in their right mind would overpay for a car in the 21st century. there is too much variety to choose from.

      What is acceptable is paying a fair amount for the right car. a car with the options and extras you are looking for. a car in the right color, with the right interior, with the right mileage, and the right maintenance records. a car that talks to you It may not be the cheapest of its kind, but it’s the one you’ve been looking for all along.

      More pragmatically, consignment companies only make money by moving cars. average shipping prices are not higher than private listing prices depending on the model; after all, it’s more about what you’re buying than who you’re buying it from.

      Learn more about consignment car buying with our buyer’s guide to car consignment.

      how do I know a consignment company is legit?

      Whether you’re buying or selling a consigned car, you need to be able to trust the company you’re working with. you trust the shipper to:

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