Is it better to trade in my car or sell it privately?

Selling privately usually brings more money, while trading in is faster and easier. With a private sale you set the price, but you handle listings, calls, test drives with strangers, payment verification and title paperwork yourself. A trade-in wraps everything into one visit, and in many states you only pay sales tax on the difference between the new car's price and your trade-in, which can narrow the gap. Compare your best private-sale estimate against the trade offer plus any tax savings before deciding.