Hustle 101: Learn to Buy and Sell Used Cars for Profit

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The other day I was at my sister-in-laws house and as I drove up to their house I noticed he had a BMW sitting on the driveway. Her husband ever since I knew him had always been the type that is always looking for ways to make money.

I walked towards him while he was coming out of the garage to greet me. I asked him about the car and he told me about how he bought it and plan to sell it again for more. He told me that the car was already on Craigslist and that a person is already coming to see it.

He told me that he learned about buying and selling cars through another friend of his who is making money hand over fist. He decided to get into the opportunity and has already sold three cars before the beamer and junk car buyers Houston already had a significant amount of cash.

Being the good guy that he is we sat down and he began telling me the process. I let him talk because the opportunity looks like a money maker.

I will try to break down the process on how he explained the buying and selling cars for profit.

Start up Funding

First before you could get into this business and buy your first car to sell you will need to get some start- up capital. Usually the amount of money you will need is about $3,000 dollars. The reason for this number is that you will have a better chance finding a car to buy for that price that will be in decent condition.

Which Online Classified Ads Site to Use

Now that you have your start-up capital you will need to go to the classifieds and look for deals. From what my sister-in-laws husband was telling me that Craigslist is the place to go to shop around for a car. Craigslist is one of the easiest online classifieds ads to use. People tend to sell everything there. The Craigslist ads are constantly being updated every day so believe me you will find something decent to buy.

Whats Better a Dealer or Private Owner

Once you have found the car you want to invest in the next thing is to find out whether or not you are dealing with a dealership or private owner. Personally I would rather deal with the private owner than a car dealer. The reason being is that with a private owner you are speaking to a person who wants to sell their car and the quicker the better. Also you could be able to negotiate a price that at times could be lower than what the private owner was asking for.

The dealer on the other hand has no special interest in helping you get a good deal. Sure they can claim that they are looking out for you but in reality they have don’t care if you buy it or not as they do not have a personal stake in the deal. Try negotiating price with a dealer and it is like pulling teeth! They hardly if ever let a person walk away with a lower price. They always get you in one form or another.

Never Pay the Online Advertised Price

Now comes the part where most people have a little confusion with. You see negotiating is good when you do it right. By that I mean if you want to pay a lower price do not give out low ball figures. This will make the owner of the car become defensive right away and most likely you will not get the car for that low ball price. Believe me the owner has had many people come view his car and has tried low balling him. So do yourself a favor and do not do that.

What I suggest is that you do negotiate with the owner but be fair on the price. For example if the car is you are looking is $4,000 the owner might bite if you negotiate the price to $3,000. Try to negotiate in increments of 500.

If the price negotiation does not work out to your favor then step down shake the man or woman’s hand and decline the offer. Give them your phone number in case he she could find a willing buyer. Never ever take it personal if things do not work out in your favor. You can leave knowing that you could always start back up and do it again.

Bought the Car Now What

You found the car you wanted and the first thing you will need to do is to have washed and cleaned thoroughly. You see a clean car tends to sell better than a dirty car. Presentation is the first thing the salesman does when he wants to make a sale. You must do the same thing. Use armor all for the tires and plastic moldings outside and in, vacuum the carpets and interior as well and while you are it freshen up the air inside the car with some spray freshener.

After all of this is done you will need to take some nice pictures of the car. You will need to take at least 4 pictures of the car. Two pictures you take of the exterior of the car and the other two pictures will be of the interior of the car.

Now you will go online to Craigslist and place an ad for the car. Set up the ad and write out the features of the car as well as important information like mileage and maintenance. People like to know what they are buying especially when they are going to spend a few thousand dollars for it.

Place the pictures of the nice cleaned car in the ad as well as a phone number where they could reach you.

Make sure when you are selling the car that the price is not so high. For example do not sell a car for $8,000 dollars when it is really worth 5 grand. You will not get any calls except if it’s a Beamer or an Audi. But if it’s a late model brand be more realistic with the price.

In conclusion buying and selling cars can and will make you money if you do it right. It does not matter if you have other people doing it in your city there are enough cars that go on sale every day. So go and make some money!

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