Before I begin I would like to say that I’m not advocating anything unethical or illegal. I’m basically sharing through my experiences what I have seen other do.
- There saving a ton of money on overhead. You don’t have to pay for a big car lot, insurance, sales people. It’s all profit.
- They make it seem like it’s a private party transaction. If you’re doing a cash deal, it’s much easier to sell a car private party. When you buy from a dealer you have to pay tax, document preparation fee, smog fee, etc. In a private party transaction people will either write on the bill of sale that they received the car as a gift to avoid sales tax, or write that they sold the car for a much lower price to pay less sales tax.You can buy cars on craigslist and flip near your home. You can park on a major street with for sale signs in them, or you can keep the cars around your house and just sell them on the internet. There are several free websites you can advertise your cars on but craigslist is the best. Other ones are :
Search craigslist for good deals. Call or email the person selling the car. Ask them the following:
Do you have the title for the car? It’s really important that they have the title. You also want to check to see if the title is in their name. A lot of people don’t know about the importance of the title. People lose them; don’t keep them in a safe place. Sometimes people will give you a duplicate title. Verify that the vehicle is in their name before they give you a duplicate title. They could still owe payments on the vehicle. If they financed the vehicle in the past you will need a lien release along with the duplicate title. The original title will show the lien was satisfied by the lien holder.
Is the registration current?
You could go down there and the registration has been expired on the vehicle. The longer registration has been expired on the car the greater the penalty fees. You could go down there thinking you’re getting a great deal, and realize it’s going to cost $400 just to bring the registration current.
Are you the original owner?
This is where you separate private party cars from other people buying and selling cars. Buying one owner cars is a big plus. They know all the history of the vehicle, and probably have stacks of maintenance records on the vehicle. One owner cars are generally well cared for.
You can start your own virtual car lot. Start to acquire an inventory of cars. You can park them around your neighborhood. It will start to become a problem if you have cars with expired tags. Try not to park your cars in front of people’s houses. If you live them there to long they could become suspicious and get mad at you. In some places you’re not allowed to keep a car parked in any one place for more than 72 hours. If you do the vehicle may get towed.
Don’t show the vehicle in front of your house. Meet them up the street in a McDonald’s parking lot. You don’t want people knowing where you live especially if something goes wrong with the car. They could come back to where you live demanding for their money back or they could throw a brick threw your window.