Selling a car in Singapore involves the close network of sellers, buyers, and the dealers offering multiple services for both the segments. If you are a prospective seller wishing to dispose of your used car, there are two distinct ways in which you can do it.
You can find used car dealers in your neighbourhood to help you in completing the deal. Or you may choose to sell directly to the buyer. You might get higher value for your car since you save on the dealer commission. However, there could be many legal and financial issues related to the deal.
You need to know the procedures related to insurance, ownership transfer, car loan for the buyer, and payment of taxes. The buyer may also face these issues when they approach you directly.
Car Dealer Sales – More Dependable & Safer
Selling your used car through a dealer is stated to be safe and fast. You don’t need to worry about documentation, legal issues and financing for the buyer. If you follow certain simple procedures, it is possible to simplify and streamline the entire process.
- Dealer Quote: – You need to contact at least 3 to 4 buyers and get their best quotes. The best approach is to let them inspect your car for technical and functional parameters. Ask them to prepare a detailed checklist, which includes the existing defects, car ageing factors, accessories and fixtures, and other related aspects.Then you choose the one who has given you the actual data. Before going to the dealer you can get your car examined by an independent technician and get the datasheet, which you could use for the comparison.
- Statutory Process: – Purchase agreement and final settlement forms are the primary documents you need. Pay attention to the terms and conditions specified in the deal. You need to be clear about the taxes and fees payable to the Land Transport Authority. Remember that all the payments are to be made by the buyer. The car insurance should be active at the time of selling. The minimum validity period should be equal to the next road tax payable date.
If you have already paid the road tax for the period after sales, you might be entitled to a partial refund (between the sale date and renewable date). If the foreign buyer wants to export the car to his native country, you can get the rebates on Preferential Additional Registration Fee (PARF) and Certificate of Entitlement (COE) by deregistering the car in Singapore.The dealer should be able to pass on the rebates to you after the sale deal. You can visit https://www.lta.gov.sg to know more details. If the buyer intends to use the car within Singapore, PARF and COE have to be transferred to his name through the dealer.
- Car Value: – The dealers evaluate the car value after deducting costs involved in repairs, replacements, servicing, depreciation, and other deductibles including the transfer fee. It is better to get a checklist from the dealer and compare it with an evaluation by the independent car evaluator.
- Car Loans: – If you have any outstanding loans on your used car, the dealer will take care of the deductibles on Principal and interest sum. Ensure the transfer of loan agreements and repayment conditions to the buyer through the dealer.
- Dealer Share: – The dealer share /commission for the cars might vary, depending on the brand, model, original market value, depreciation and other factors. You can get the details from the dealers mentioned in the quote explicitly.
- Transaction PIN: – This is your agreement to transfer the ownership to the dealer, along with the registration details (ESA).
- Identity Cards: – If you and/ or the buyer happened to be Singapore citizens or PR, you should submit the national registration identity card to the dealer for verification (buyer and seller). Foreigners should submit the immigration/work pass.
- Documents: – Inspection certificate, parking certificate, insurance transfer certificate, and registration transfer certificate are the other required documents.
Dealer Search – Best Price Offers
You can search for used car dealers within your region or anywhere in Singapore. The listing on the yellow pages can provide you with the dealer contact details.
- Dealer Website: – Visit the dealer website before you approach them. Read through their terms and conditions and understand them clearly.
- Dealer Reviews: – Read the reviews about the dealers from the buyers and sellers. User rating is another factor that can help you in choosing the right dealer at the right time.