Preparing and selling a car in Ontario has several steps. If you follow these steps you will get a smooth and legal transaction and the best value for your vehicle.
1. Request a Used Vehicle Information Package (UVIP)
In Ontario, the seller is required by law to give the buyer a Used Vehicle Information Package (UVIP). This document gives the history of the vehicle, with listings of previous owners, liens, accident reports, odometers, engine, and transmission numbers, etc. For about $20 you can get a UVIP at any ServiceOntario location by presenting your driver’s license and the VIN (Vehicle Identification Number) of the vehicle.
2. Prepare the Car for Sale
Clean out both your car’s interior and exterior and remove all personal items. Minor repairs are helpful to make sure that your vehicle is presentable and that a clean and well-maintained appearance makes a better impression on potential buyers. For online listings, you’ll want high-quality photos; take clear, well-lit shots from multiple angles, including any special features or modifications, and a close-up of the odometer showing mileage.
3. Find the Right Selling Price
In order to attract buyers, the key is to set a fair price. Researching similar listings on sites like Kijiji, AutoTrader, and Facebook Marketplace, that are current sites to buy a car in Ontario, would be a good starting place. Using these resources can be a good indication of how much your car would be worth at this point with age, condition, and mileage. Remember that the wholesale price in the UVIP is what a dealer thinks it’s worth, so you may be able to sell it for more in the private market.
4. Get a Safety Standards Certificate (If Necessary)
If your car is older than seven years, you’ll need an Ontario Safety Standards Certificate (SSC). It’s a certificate that shows the vehicle meets Ontario’s safety standards and is verified by a licensed mechanic. You don’t have to furnish this certificate if you’re planning to sell the car “as is,” but you should mention this condition to potential buyers.
5. Make a Clear and Honest Listing
In crafting your listing, be transparent about the car’s condition. Again, mention any damages or repairs, or modifications; and if available, any service records. AutoTrader, Kijiji, and Facebook Marketplace are online platforms that will help you get to a large audience and some even offer paid options for promoting your ad. A good description of your car can make your car stand out, and buyers will have confidence that you’re being honest, which will speed up the sale.
6. Cash for Scrap Cars as an Option
However, selling an old or non-functional vehicle can be a good alternative if you’re selling it to a scrap service. Ontario has a few licensed scrap dealers that will buy your car and take care of the paperwork for you. One example is Cash for Scrap Cars, which buys cars in any condition and takes care of the ownership transfer for you, which is nice if you don’t want to do it yourself.
7. Viewings and Test Drives Safely
You need to meet with potential buyers in safe, public places. In fact, many sellers opt to meet in high-trafficked areas, such as parking lots or coffee shops. Ask the buyer for some form of identification and bring a friend for test drives. It protects you, and both parties can be assured that the sale is legitimate.
8. Transfer Ownership and Complete the Transaction
Once you’ve agreed on a price with a buyer, finalize the sale by completing the following documents:
- Bill of Sale: The Bill of Sale is included in the UVIP. Get the buyer to complete this with you — with both your names, addresses, and agreed price.
- Application for Transfer: The transfer section of the vehicle ownership permit is where you and the buyer sign.
- Remove Your License Plates: In Ontario, the license plate moves with the seller, not the car. Make sure you collect the plates for your next vehicle or return them to ServiceOntario.
Never accept personal cheques, as they can be dangerous for safety. Most private sales prefer certified bank drafts or cash. You can also do e-transfer but make sure the payment clears before you transfer ownership.
9. Final Tips on Making It Through Sale
Be patient and professional during negotiations and you will get the best value. You have to go through some extra work if you’re selling privately, but you can generally get a higher price. If you’re not sure about your price, be prepared to adjust it if you need to, but don’t sell for less than the car is worth. Also, if you didn’t complete it together at ServiceOntario, follow up with the buyer within a week to confirm the transfer.
When you take it step by step, selling a car in Ontario can be a simple process. If you’re ready to sell your car, you can be confident to do so by preparing your vehicle, managing legal requirements, and prioritizing safety during interactions at each stage of the sale and getting a fair deal.
