A man is wondering if he should buy a car from a dealer or not

Should You Buy a Car from a Dealer or Private Seller?

Milad Hassibi June 18, 2018

With so many options available, it can be hard to find a car that suits your needs and budget. When shopping for a new car, you can either stop by a local dealership or buy a car from a private party. In any case, each option has its own pros and cons. In the end, it will be up to you to choose which path to take.

Private Party Pros and Cons


Easier to negotiate – Private parties tend to use sites such as www.kbb.com in order to find theA man in black is negotiating a deal at the dealership value of their vehicle. Typically, you can expect to spend a few hundred dollars less in a private party sale than a dealership sale.
Less Pressure – Car dealerships are notorious for salesmen that will try and sell you on a car until you leave.

When buying a car from a private seller, there is little to no pressure since the seller is most likely just a normal person trying to sell a car.


No Warranty – When you buy a car from a private seller, there is usually a 0% chance that there will be a warranty included. You may have to buy an extended auto warranty from a service provider.
Paperwork – The convenience of quick dealership work is not included in a private sale. You will have to take the title and bill of sale to your local DMV in order to register and pay for the fees.

Dealership Pros and Cons


Financing – If you are in need of auto financing, a dealership can easily find a lender that can work with you. It also tends to be easier for people with less than ideal credit to finance from a dealership rather than a private party sale, since the dealership will ensure to verify all your information.

Warranty – If you are buying a vehicle new, the manufacturer will include a warranty that’s valid for a certain period of time or for a certain amount of miles. A warranty helps provide some extra piece of mind as well.

Inspected Vehicles – Most dealerships offer a wide variety of certified pre-owned cars, often referred to as CPO’s. A CPO is a great way to save since you are buying a low mileage vehicle at a great discount. The dealerships repair department will also give the car a complete mechanical inspection prior to the sale.


Pricing – Just as any retailer with a storefront, a dealership will have more expensive pricing. Although you can negotiate, dealership prices are usually marked up in order to provide the dealer with a quick profit.

Final Note

In the end, it really turns into your choice. Both dealerships and private buying options can be great depending on your needs. If you are looking for a car but are in need of financing, CrediReady can help. Our nationwide network of trusted dealers and verified lenders work with buyers in all credit situations. Take a moment to fill out our free no-obligation loan inquiry form today and start car shopping!

Free Credit Score

Get your free credit score now! Get a copy of your most recent credit score.
get your free score

Auto Insurance

Get your free insurance quote now! Save big on auto insurance today!
get your free quote

Vehicle Warranty

Protect your vehicle and you could save thousands on auto repairs.
get your free quote