When buying a used car, you’ll usually have two options: buying from a private seller or buying from a car dealership. A dealership group like Rydell Cars sells both used and new cars and operates under a defined set of rules and regulations. A private seller, on the other hand, is someone who sells their used vehicle outside of official channels.
Here’s a look at the differences between buying a car from a car dealership and buying a car from a private seller.
Cost
Purchasing a car through a private seller is often cheaper than buying from a car dealership. This is because car dealerships will often have cost margins (e.g. wages and rent) to cover, so they might increase the price of a vehicle slightly to compensate for this. But, the quality and professionalism of the customer service at a car dealership can make this cost worth it.
When you shop at a car dealer, you are treated with respect, as they want to keep you as a lifelong client. Private sellers have no such concern. They want your money and after they get it, you likely will not ever hear from them again.
Warranty
While it’s true that purchasing through a car dealership can be more expensive, cars from a dealership are less likely to break down soon after the date of purchase, and if they do, the repairs are usually covered by a statutory warranty. Also, car dealerships are responsible for resolving any encumbrances from the vehicle before their sale. This means you don’t have to worry about your vehicle being repossessed due to unpaid debt you don’t owe.
A private seller, on the other hand, won’t be including a warranty with your purchase, which means any repairs that arise are going to be your responsibility. This makes it very important to have the vehicle inspected by a mechanic you trust before the sale to make sure there was nothing accidentally or intentionally left out by the seller.
Mechanical Condition
Vehicle condition is a defining difference between private sellers and car dealerships. Buying a used car from a dealer means you can ensure that you are purchasing a high-quality vehicle. Most dealerships offer used vehicles that have been inspected, refurbished, and certified.
Buying privately can be riskier because you are buying a car as-is. It’s difficult to know what you are getting yourself into, mechanically speaking, without inspection or detailed accident history. Even if you do get the vehicle inspected by a third-party mechanic, you could end up paying a hefty amount in repairs if something goes wrong later on. Beyond the vehicle’s condition, you should also check to see if the car is listed as stolen before you hand over the cash.
Financing Options
If you choose to buy a used car from a private seller, you don’t have any options other than paying in cash upfront and in full. It often takes time to save up enough to buy a car, even a used one. And unless you have a large amount of money on hand, you will probably need to get car loan financing to buy one. It can also be difficult to get financing through a financial institution, such as a bank and credit union, for a pre-owned vehicle.
Many financial institutions won’t finance used cars through a private seller, as private sellers do not have a reputation to uphold and they may not be totally truthful or accurate about the condition of their cars. This is crucial because if you finance a car with detrimental problems, such as a faulty engine, you may abandon the auto loan — meaning the bank gets nothing but a vehicle that can’t be driven.
Dealerships, however, have a range of payment options available to you, including in-house leasing and financing. Car dealers also offer low down payment cars with a wide variety of financing plans that private sellers are unable to offer. As a “buy here, pay here” dealership, this financial flexibility comes in handy for individuals who can’t afford to pay for a car all at once. This means that you will have the opportunity to improve your bank’s credit score after making timely payments.
Vehicle Selection
When you buy from a dealership, you will have a much wider selection of used vehicles from which to choose. Whether you are in the market for a used SUV, sedan, hatchback, or minivan, a car dealership will likely have the vehicle you want. You can find vehicles from all sorts of makes and models equipped with everything from navigation to leather upholstery to heated seats.
Convenience
The extra research that goes into purchasing a vehicle from a private seller can lead you to purchase from a car dealership. A car dealership is a more convenient choice in some ways, as they provide the vehicle history upfront and ensure you are purchasing a vehicle in good working order. On the other hand, private sellers may not provide all the vehicle information you need to make a wise decision. This requires you to spend a lot of time and effort on research.
Car dealerships handle all the necessary documents for you when you purchase one of their cars. They know how to correctly handle all the title and car registration transfers, so all you need to do is sign them. When you buy a car from a private seller, however, you are both responsible for correctly completing all the associated paperwork. This typically requires that you make at least one trip to your department of motor vehicles or local tag office.
Buy a Used Car at Our Used Dealership in Grand Forks
If you are looking for a used car dealership in Grand Forks, North Dakota, look no further than Rydell Outlet Center. Our team will be more than happy to help you find a used car that matches your lifestyle and personality. We have hundreds of used cars in our inventory that are bound to catch your eye. Contact us by phone at 1-701-757-6140 or through our website, or come and visit us at our convenient location in Grand Forks, North Dakota.
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