Best Way to Sell Your Used Car Online in 2024: Expert Guide

More and more Americans are opting for the convenience of buying cars online, and this trend extends to selling vehicles too. For those looking to sell their used car, the internet offers a plethora of options, from established online retailers like CarMax and Carvana to marketplace platforms such as Facebook Marketplace and Craigslist. Selling your car online can be a smart move whether you’re aiming for an outright sale or exploring trade-in values from the comfort of your home and at your own pace. Many platforms even streamline the process further by offering home pickup and immediate payment.

» MORE: Determining Your Car’s Worth

Top Platforms for Selling Your Used Car Online

Navigating the online car selling landscape can be overwhelming. To simplify your choices, we’ve compiled a guide to some of the leading online platforms, each with unique strengths and focuses.

CarMax

Best for Selling Cars of Any Age and Condition

CarMax stands out as a reputable option for selling used vehicles of virtually any age, operating in over 40 states. Their process begins with an online appraisal. To initiate this, you’ll need your car’s 17-digit VIN or license plate number, along with registration details, mileage, vehicle options, and any existing loan information. You’ll also provide your ZIP code, email address, and complete a brief questionnaire about your car’s condition.

CarMax’s business model involves purchasing vehicles of all ages and conditions. They recondition many of these cars for retail sale, while others are sold at auction to wholesalers. After receiving your online appraisal, you’ll have a seven-day window to bring your vehicle to a CarMax store for a physical inspection. Assuming there are no significant undisclosed damages, you’ll receive a bank draft for the quoted amount on the spot.

Notably, CarMax accommodates vehicles that are not fully paid off and even leased vehicles, provided the leasing company permits sales to independent dealers at the time.

» Explore CarMax Reviews


Key Facts: – Offers valid for 7 days and non-negotiable. – Accepts vehicles with existing loans or negative equity. – Buys salvage titles or damaged cars. – Requires vehicle inspections at CarMax store locations. Get Your CarMax Offer via NerdWallet’s Sell Your Car platform

Peddle

Best for Selling Older, High-Mileage, or Damaged Used Cars

Peddle distinguishes itself by specializing in purchasing older, damaged, or non-running vehicles across all 50 states. While they don’t offer trade-ins like some platforms, Peddle provides a valuable service for those looking to offload cars in less-than-perfect condition. They provide online price quotes and complimentary vehicle pickup.

To get an offer from Peddle, you’ll input details such as the year, make, model, trim, and mileage of your car, along with information about the title (clean, salvage, or rebuilt). You’ll also answer questions regarding the vehicle’s condition and any damage history. Peddle typically emails an offer within minutes.

Offers are valid for seven days. If you accept, Peddle arranges a vehicle pickup time. They contract with professional tow truck drivers who conduct a brief inspection to verify your car’s condition matches your online description. Upon confirmation, the driver will issue a check or cash before towing the vehicle. It’s important to note that if the car’s condition significantly differs from your description, Peddle may adjust the offer.

» Read Peddle Reviews


Key Facts: – Specializes in older, damaged, or high-mileage vehicles. – Offers are valid for 7 days and non-negotiable. – Free vehicle pickup service. – Accepts salvage titles and scrap cars. – Does not purchase vehicles with active loans. Find Your Peddle Offer via NerdWallet’s Sell Your Car platform

Carvana

Best for Streamlined Trade-Ins and Outright Used Car Sales

Carvana has gained popularity for its user-friendly online platform and transparent process for both outright car sales and trade-ins. They emphasize offering their best price upfront, with a no-negotiation policy.

To receive an offer from Carvana, you’ll provide your car’s 17-digit VIN or license plate number, mileage, options, and condition details on their website. If you have an existing loan or lease, you’ll also need to provide relevant information. Carvana may request photos of your odometer reading and driver’s licenses of individuals listed on the title and registration. If you own the car outright, a picture of the front and back of your paper title may be required. For financed vehicles, a photo of your registration and a 10-day payoff statement from your lender might be necessary.

For sellers within Carvana’s local service areas, you can schedule either vehicle pickup or drop-off at a Carvana hub or vending machine. A fee might apply for home pickup. If you reside outside a local Carvana market, you’ll be responsible for transporting the vehicle to a Carvana location or vending machine.

» Explore Carvana Reviews


Key Facts: – Offers valid for 7 days. – Accepts leased cars and vehicles with negative equity. – No price negotiation on sales or trade-ins. – Pickup service may not be free outside local Carvana markets.

GivemetheVIN

Best for Selling Motorcycles, RVs, ATVs, and Unique Vehicles

GivemetheVIN (GMTV) caters to a broader range of vehicles beyond standard cars, including motorcycles, RVs, and ATVs. They operate by purchasing vehicles directly from individuals for resale within the wholesale marketplace. Unlike some online buyers, GMTV doesn’t sell directly to consumers, so trade-ins are not an option.

To sell to GMTV, you’ll enter your vehicle’s 17-digit VIN or license plate number, mileage, options, and any loan details online. You’ll also provide your ZIP code, email address, and complete a brief vehicle condition questionnaire.

GMTV typically emails an initial offer range within minutes. If you’re interested in proceeding, a buyer will contact you for more detailed information about your car’s condition. You’ll likely be asked to upload photos of the exterior, interior, under the hood, and any damage. The buyer will then provide a firm offer, which is negotiable but only valid for 24 hours.

Upon agreeing to a price, GMTV will send a sales contract for you to sign. They’ll arrange vehicle pickup within 10 days, or you can opt to drop it off at a GMTV office or a Manheim auction lot. Payment is typically issued via check on the spot.

» Read GivemetheVIN Reviews


Key Facts: – Offers valid for 24 hours and are negotiable. – Free vehicle pickup service. – Accepts vehicles with existing loans or negative equity. – Buys salvage titles or damaged cars. Learn More at GivemetheVIN

CarGurus

Best for Comparing Offers from Multiple Dealers Simultaneously

CarGurus offers a unique approach by leveraging a network of dealerships to provide competitive instant cash offers. They operate in 36 states and the District of Columbia. Similar to GMTV, CarGurus focuses solely on purchasing vehicles and does not offer trade-in options as they don’t sell directly to consumers.

To sell your car through CarGurus, you’ll input your car’s 17-digit VIN or license plate number, mileage, options, and loan information online. You’ll also provide your ZIP code and email address and complete a questionnaire detailing vehicle condition and any damage. CarGurus CarOffer typically emails a cash offer within minutes.

If you accept the offer, a CarGurus agent will contact you to finalize the sale details. You’ll be asked to describe any vehicle damage and upload photos of your driver’s license, odometer, and title. Once everything is agreed upon, you can schedule vehicle pickup, usually within three to 10 days. CarGurus will mail the sales contract, which you’ll sign upon pickup. The driver will conduct a visual inspection to confirm the vehicle matches your online description and then issue a check.

» Explore CarGurus Reviews


Key Facts: – Offers valid for 7 days or 250 additional miles driven. – Free vehicle pickup service. – Accepts vehicles with existing loans or negative equity. – Does not accept salvage titles or leased vehicles.

Algo

Best for Sellers Seeking Quick Sales and for Small Commercial Vehicles

Algo stands out for its relatively fast virtual inspection process and acceptance of small commercial vehicles. To initiate the selling process with Algo, you’ll provide your car’s 17-digit VIN or license plate number, mileage, options, and loan information. You’ll also need to provide your ZIP code, email address, and phone number and complete a brief vehicle condition questionnaire for an initial estimated value.

An Algo representative will contact you within hours to schedule a virtual inspection via video call, which typically takes 10 to 20 minutes. Alternatively, you can choose to answer questions over the phone and upload photos. Algo will then email or call with a decision within a couple of hours. Offers are valid for 24 hours.

If you accept the offer, you’ll need to mail your vehicle’s title to Algo for verification. Once received, Algo will schedule vehicle pickup from your home or a chosen location. Payment is provided via check upon pickup.

» Read Algo Reviews


Key Facts: – Offers valid for 24 hours and non-negotiable. – Free vehicle pickup service. – Accepts vehicles with existing loans or negative equity. – Buys salvage titles or damaged cars.

» MORE: Guide to Selling Your Car Privately

How to Navigate Selling Your Car Online: A Step-by-Step Guide

Selling your car online involves a straightforward process. Understanding each step can help you navigate the sale smoothly and effectively.

1. Determine Your Car’s Accurate Value:

The first crucial step is to understand your car’s market value. Most online car-buying platforms will require your car’s 17-digit Vehicle Identification Number (VIN) — or license plate number — to begin the valuation process. You’ll also need to confirm details such as make, model, mileage, color, and overall operating condition.

Expect to answer detailed questions about your car’s condition and history, including accident history, flood damage, aftermarket modifications, and any existing scratches or dents. It’s important to remember that offers from online retailers reflect their current willingness to pay, which may not always align perfectly with your car’s ideal market value. Factors like vehicle age, high mileage, mechanical issues, or a salvage title can lead to lower offers as these vehicles are typically harder to resell or finance.

2. Decide on Your Selling Strategy: Trade-in or Outright Sale?

Consider whether you are aiming to trade-in your vehicle towards a new purchase or simply sell it outright. Many online car buyers also operate as retailers selling directly to consumers. Generally, their trade-in prices are aligned with their purchase prices, ensuring transparency and preventing scenarios where a trade-in is undervalued only to be resold at a significantly higher price.

3. Transparently Disclose Existing Loans or Leases:

If your vehicle has an outstanding loan or lease, transparency is key. Many online car-buying companies are willing to purchase vehicles that are still being financed. Some may even facilitate lease buyouts, provided the leasing company permits it. Utilize an auto lease buyout calculator to assess the fairness of any lease buyout offers. Be prepared to cover any difference if the offer is less than what you owe on the vehicle.

4. Provide Comprehensive Vehicle Photos:

Visual assessment is crucial in online car sales. Be prepared to provide photos of your vehicle. Some companies may arrange in-person inspections, while others might inspect the vehicle upon pickup or drop-off. If the vehicle’s condition deviates significantly from your initial description, the company may revise its offer. Note that photo requests or inspection arrangements might occur after you’ve accepted an initial offer.

What to Expect After Accepting an Online Offer

Once you’ve accepted an offer, expect a representative to contact you via email or phone to schedule vehicle pickup or drop-off. Fees are generally minimal, but some companies may charge a small administrative fee, which is typically deducted from the final offer. Sellers might also incur charges if they breach a signed sale agreement.

Regarding paperwork, each company has its procedures for title and registration transfers. Expect to upload copies of your registration, title, and driver’s license to initiate the process. Sales contracts, odometer statements, and power of attorney documents may be sent for electronic signature or via mail.

Payment is usually issued when the vehicle is collected, often in the form of a check or bank draft, which may require a few days to clear. Some companies offer direct deposit or even cash payments. Before handing over your car, remember to remove your license plates and any personal belongings. Leave only standard vehicle accessories like the car manual, keys, and floor mats. If online offers don’t meet your expectations, consider exploring platforms like Facebook Marketplace or Craigslist for direct sales to consumers.

Frequently Asked Questions About Selling Cars Online

How is selling my car online done?

Selling your car online is streamlined through platforms like Carvana or CarMax. These platforms require you to input car details such as license plate number, make, model, mileage, condition, and history. Many online buyers also offer home pickup and immediate payment upon inspection.

CarMax versus Carvana: Which is better for selling?

Both CarMax and Carvana offer convenient and competitive online car selling experiences. Both accept cars with negative equity, and their offers are typically valid for seven days. However, CarMax requires in-person inspections at their locations, while Carvana allows for remote sales finalization and offers vehicle pickup services.

What is the top-rated online platform for selling my car?

Platforms like Carvana, CarMax, Peddle, and others are considered top choices for selling cars online. The “best” platform depends on your specific needs, such as vehicle condition, trade-in requirements, vehicle type, and desired convenience. For instance, Carvana is well-suited for trade-ins and general sales, while Peddle excels with older or damaged vehicles.

About the Authors

Funto Omojola

Funto Omojola is a former credit cards writer for NerdWallet with expertise in personal finance.