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Dealer Versus Private Party Purchases

- Dealer Pros
- Private Party Pros
- Dealer Cons
- Private Party Cons
Page OverviewWhether you buy from a dealer or a private party, both require equal amounts of diligence on your behalf―running vehicle history reports, comparing prices, working out financing, weighing insurance costs, inspecting and test driving targeted vehicle. But if you're shopping similar vehicles at similar prices, consider the following tips to help decide whether to go with a dealer or a private party.Dealer Pros
- Dealers must adhere to stringent operating/selling procedures. This means you're less likely to be cheated or burdened with a lemon.
- Dealers provide warranties.
- Dealers offer financing options.
- Dealers can be easily contacted should problems arise.
- Vehicles are inspected by certified trained technicians.
- Dealers offer certified cars.
Private Party Pros
- More room for price negotiating.
- No high-pressure sales pitches.
- Lower prices.
Dealer Cons
- Higher prices.
- Must deal with professional sales teams, reliant upon commissions.
Private Party Cons
- Dealing with an unknown person, not bound to Federal Trade Commission rules.
- No warranties.
- No trade options.
- You must complete and submit most of the paperwork yourself.
- Limited to seller's time schedule for inspecting vehicle.
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