How to Sell an Automobile & Provide Financing for the Purchaser

The type of automobile you are selling affects how quickly you locate a buyer, according to Edmonds. However, the Internet makes selling an automobile, regardless of the type, an easier task for owners. Additionally, stating that you are offering owner financing draws more interested buyers. While owner financing attracts buyers with less than perfect credit, this is not an indication that she will abandon the payments. After all, even those with bad credit need a way to travel.

Instructions

1

Repair any mechanical issues the automobile has. Selling an automobile that is in good, running condition helps ensure the buyer makes payments on time.

2

Gather the title and other documents for the automobile, such as the registration. Make sure it is titled in your name. Determine the value of the automobile by checking the Kelly Blue Book or NADA (see Resources).

3

Advertise the automobile for sale. Use the local newspaper, a magazine or Internet advertising. List the information regarding the vehicle in your advertisement along with the statement "Owner Financing Available."

4

Compose a finance agreement for the automobile. Include your name, the name of the buyer, the vehicle information, such as vehicle identification number, make, model, year and mileage. List the terms in the agreement, like the down payment amount, the payment terms and the delivery of title agreement.

5

Obtain a copy of the buyer's identification before allowing him to sign the agreement. Make sure he is at least the legal age of consent according to your state's law.

6

Sign the finance agreement as the seller and have the buyer sign and date the agreement. Use a notary to witness the signatures, have her sign the agreement and attach her notary seal. Provide a copy so the new owner can purchase a tag for the automobile.