The Complete Guide to Selling Your Car in New Zealand 2024

Key Takeaways:

• A private sale is the best way to get the full asking price for your car.
• Using an online car buying website is the most convenient option for selling your car.
• The best car buying websites include TradeMe.co.nz & UsedCarGuys.co.nz.

Thinking about getting a new car?

Figured out what to do with your old one yet?

One option is to offer your car as a trade-in to a dealership.

But you might make more by selling it yourself. In many cases, you can turn a profit on your old car through a few well-placed ads and a car wash.

Here’s the complete guide to selling your car so you can maximize price and minimize headache.

Avoiding Common Vehicle Scams

Most people selling a car use a combination of worth of mouth and online ads to reach as many potential buyers as possible. If you plan on advertising online, however, it’s important to watch out for scammers and time wasters.

According to New Zealand media reports, private car sellers are a favorite target of internet scam artists. In recent years, over 100 sellers were caught up in a widespread car scam in the New Zealand that left them with fraudulent checks and without their vehicles.

You can protect yourself by ensuring the buyer’s payment is the real deal before you hand over the car. If a seller wishes to pay by check, make sure you feel comfortable about engaging with them. Don’t be afraid to learn a bit more about their back story and why they need the car.

You should also refuse to accept a check written out for more than the sale price of the car, as this is a red flag that indicates a scam. When scammers do this, they mail the seller a check in an amount that exceeds the sale price, then ask the seller to mail back a check with the difference. In the meantime, the original check bounces, leaving the seller with no car and missing funds.

When you get a buyer who sounds legit, call them back and be ready to review the basics about the car: year, make, model, mileage and condition. While talking with them, you usually can get a sense of whether they are serious about buying your car.

Make Sure You Have The Required Paperwork

In New Zealand, the only legally required documents to sell a car are your title and registration. Provided these two documents are in good order, you are ready to sell the vehicle.

If the car has a finance on it, the owner will need to be paid off before you can sell the car. A dealership can purchase a vehicle with a finance owing, but a private buyer cannot. This means that if you owe money on your vehicle, you’ll have to make arrangements to have it paid off before transacting the sale.

In the event that your registration sticker is lost or damaged, you can obtain a duplicate from any post office or NZTA agents. To do this, you’ll need to call NZTA on 0800 108 809 to get a replacement Certificate of registration. You’ll need a Visa or MasterCard debit or credit card for paying the fee of $14.92 .

4 Mistakes to Avoid When Selling an Used Vehicle

You can maximize price and reduce stress by avoiding mistakes when selling your car. Here are five missteps to avoid.

1. Setting Price Above Market 

You want the highest price possible for your car, but it’s important to be realistic. Research your vehicle and compare it to similar models to make sure your price is in line with vehicles in the same condition and class.

2. Out of Focus Description

Potential buyers want to know as much as possible about a car before taking time to schedule an in-person meeting. If your ad’s description is not clear enough or incomplete, people might assume you have something to hide or that you’re not a legitimate seller.

To maximize your chances of making a speedy sale, take time to write a detailed description. You should also include plenty of photos from various angles so buyers can see your car clearly.

3. Concealing Information About the Car

Be honest about your vehicle’s condition, including the mileage, its maintenance history, and the overall condition.

For example, if the display unit isn’t operational, you should clearly state that in the ad. If the car needs new tires, be up front about it. This reduces your risk of legal troubles after the sale.

4. Dirty Condition

Give your car a deep clean.

Remove any personal belongings, clean under bonnet, and wipe down all hard surfaces. You should also wash the outside, including the tires. An hour of work and the price of a good car wash could easily get you a few extra thousand dollars in your asking price.

4 Steps to Sell Your Car Without Any Problems

To ensure a pleasant and hassle-free sale, follow these four steps.

1. Gather All Paperwork

First, gather all the important documents related to your vehicle. Having these documents handy ahead of time can put potential buyers’ minds at ease and shorten the amount of time between an inquiry and the close of the deal. Here are the documents you’ll need:

• Car Ownership – This is the legal proof that you own the car. If you still owe money on the car, you’ll have a memorandum of title instead.
• Maintenance Information – If you have kept any documentation regarding maintenance or repairs, make copies of these documents.
• Auto Finance –check if a car has money owing. You can get a car report as low as for NZD10. If it helps you make a quick sale, the cost is well worth it.

You should also contact your NZTA to determine what types of documents you need to complete a sale and make a transfer. In many cases, you can download these forms from the NZTA’s website so you can have them ready to go once you’re set to close the deal.

2. Create Eye-catching Ads

Your ads will make or break the sale process. To attract the best buyers, take time to create ads that show your vehicle in the best light. Include plenty of exterior and interior photos so buyers can see your vehicle from various angles.

3. Arrange a Test Drive

Once you’ve connected with a serious buyer, offer a test drive. Protect yourself by arranging the test drive in a public setting, such as a shopping mall parking lot or busy retail center. If you’re uncomfortable meeting a stranger alone, ask a relative, or friend to accompany you.

You should also ride along during the test drive. This ensures the buyer doesn’t drive off with your car, and it also gives you an opportunity to answer any questions the buyer might have about your vehicle.

4. Negotiate and Make the Sale

Assuming all goes well with the test drive, you can expect the buyer to make an offer. Understandably, most buyers want to get the lowest price possible, so expect potential buyers to offer a price below your asking price.

Don’t be afraid to take your time with the negotiation process. At this stage, you don’t need to feel pressured to close the deal. Instead, let the buyer make an offer. If it’s too low, let them know they need to come back with something higher.

Once you agree on a price, you can move forward with closing the deal. If you still owe money on the vehicle, you might have to sign paperwork at your bank. If you own the car outright, you can usually transfer ownership by signing off on the car’s title and filling out a bill of sale.

Best Ways To Sell Your Car in 2024: The Bottom Line