| Our neighbor Jose doesn't speak much English, which | | | | example, I gave my brother $950 to buy an old |
| makes it tough to live here in northern Michigan. | | | | truck because he said it was worth more than twice |
| Despite that, he made a profit of over $30,000 last | | | | that. Sure enough, he sold it in a week and returned |
| year selling cars out of his front yard. It's true that | | | | my money, plus half of the $900 profit. |
| he's a mechanic, and that helps, but it isn't the key to | | | | I gave another friend $3200 to buy an old |
| his success. | | | | plastic-bodied car. He paid $2200 for it, and put a |
| The Key To Buying And Selling Cars | | | | transmission in it, along with other minor repairs. I |
| To make money selling cars you have to know the | | | | didn't know what a Corvette was, why anyone |
| value of cars. Knowing which cars people most want | | | | would want a car from 1976, or where to go to get |
| might help too, but any car will sell for some price, | | | | a transmission put in for $800. Fortunately, my friend |
| and you need to know that price. Drive around | | | | did. |
| looking at cars for sale, or cars just sitting idle in | | | | Less than two weeks later he sold the car for $4200 |
| people's yards. When you can easily look at a car and | | | | and returned my money plus my half of the profit: |
| guess how much it will sell for, the rest is easy - just | | | | $500. I've done this a number of times now with |
| offer $1000 less. You'll eventually buy a car, and sell it | | | | friends who know more about cars than I do. Are |
| for a profit. Then you can and repeat the process. | | | | you cash poor? A short term cash advance on a |
| To start learning about the used car market, you can | | | | credit card would have cost me about $50, still |
| watch the classified ads, keeping in mind that the | | | | leaving a profit of $450. |
| asking prices are not the sales prices. Take notes. | | | | Here in Michigan, the law says you need a dealer's |
| Used car pricing guides, such as the "bluebook," | | | | license if you sell more than six cars in a year. You |
| generally show inflated retail prices. Use them, but | | | | could have six titled in your name, six in your friend's |
| assume you'll sell the car for the "loan value", or | | | | name, and six in your wife's name. That gives you a |
| average wholesale price. In any case they are good | | | | good chance to see if you like the business enough |
| to show to your prospective buyers. | | | | to get a car dealers license. Check the relevant laws |
| If You Know Nothing About Cars | | | | in your state. |
| What if, like myself, you know nothing about buying | | | | The key to buying and selling cars for profit is |
| and selling cars and don't want to learn? Find a friend | | | | knowledge - but you can get that from a friend. |
| who knows cars and wants to make money. For | | | | |