Should I buy a car from a private seller?

It pays to do a bit of research on the car you are interested in. Is the vehicle you are looking at reliable? You can check on a car’s long-term reliability with an internet search, which will unearth all the common problems. If the car you really want has too many problems, best move on to something else. You’ll have fewer issues in the long run if you buy a car with a better long term reliability record.  

While there are lots of cars for sale on Trade Me, not all used models are equal. The exterior of the car can reveal what sort of life it has had. If it’s looking a little rough, the owner won’t have looked after it. More than likely, maintenance will have been skipped too. Because you have less protection than when buying from a dealer, you need to be extra diligent with checking the car out thoroughly in person. Pay close attention to all details of the vehicle and how it handles during a comprehensive test drive. Ask the seller lots of questions relating to how they’ve used the car and any issues they’ve encountered with it.

Unless you’re a mechanic or know lots about cars, you should get a mechanical check. Use a company such as VTNZ. These typically cost around $200, but they can save you thousands in the long run if problems are detected. 

Don’t rely on the Warrant of Fitness (WoF) to reassure you that the car is roadworthy and reliable. The WoF gives no information about the car’s mechanical history. 

It’s worth getting a Vehicle Information Report (VIR) to find out the car's legal status and registered history. It’ll tell you whether the car has money owing, current mileage, if it’s stolen and more. If you buy a car with security interests against it, you don’t have the same protections buying privately as you do purchasing from a dealer.

Research, research, research. Make sure that you know exactly what you want and think about exactly why you want it. How are you going to use the car and what are your vehicle requirements? Does the car you’re considering tick all of your boxes? Have a solid budget in mind and be aware of how much you want to spend on the vehicle. 

It’s good to have an idea of the market value of a car too, to make sure you are not paying too much. Using Trade Me’s free car valuation tool will help you out there.  

Despite having less protection than buying from a dealer, you do still have some rights if things don’t work out as expected:

• If you were persuaded to buy the car under false pretences.

• If you were sold a car that the seller didn’t have the legal right to sell.

• If you were sold a vehicle from a seller who should actually be registered as a motor vehicle trader*.

* If someone sells more than 6 cars a year, they need to be registered as a trader.

Once you have bought the car, you’ll need to complete the change of ownership process.

It’s important to make sure you keep copies of any adverts the seller posted about the vehicle, all of the details listed and any promises they made about the type and condition of the car. This way you’ll have proof if it turns out they’ve misled you.

This is where Trade Me really helps you to buy with confidence, as it’s not likely that a seller will simply ‘disappear’ after the sale. If it turns out they haven’t been honest about any aspect of the car, you can report them to the site and leave an honest review. This makes it in the best interests of all sellers using Trade Me to be honest.