Thinking about replacing your current cellphone? A device that isn’t brand-new but is new to you can cut costs significantly while still delivering solid performance.
“There’s a big demand from buyers who don’t need the absolute newest model but still want a phone with modern features,” said Chase Freeman, a representative for Gazelle, an online marketplace that purchases and sells pre-owned electronics.
There are plenty of outlets to purchase a used smartphone, and a few key checks you should perform before handing over your money.
Here’s a guide to buying a pre-owned phone.
Why Is the Market Flooded With Used Phones?
Per the International Data Corporation (IDC), used smartphone shipments reached 225.4 million in 2020, up 9.2% from 2019. The pre-owned phone sector is expanding, with forecasts of 351.6 million units and a market worth $65 billion by 2024.
Trade-in offers help explain this surge. Consumers upgrading to the newest models often trade in their previous phones for discounts, creating inventory for buyers seeking savings without sacrificing quality.
“There are consumers who must have the latest device every time a manufacturer releases one, so those folks will always buy new,” Freeman explained. “Many of the phones traded in after 12 to 18 months are still essentially like new. So there’s a lot of usable life left in those devices.”
There was a period when each new phone generation brought big changes, but that pace has slowed.
Used vs. Refurbished: How Do They Differ?
Non-new phones usually fall into two categories: used and refurbished. They’re not the same.
“‘Used’ generally means a consumer used the phone and then traded it in while it was still functioning,” Freeman said. “‘Refurbished’ typically indicates some repair work was done — maybe the battery was replaced or another component was fixed because the device wasn’t working properly.”
Both options typically cost less than a new phone.
“People have realized you can buy a lightly used — or ‘newish’ — phone that’s still current and save a lot of money,” said Sara Beane, media relations specialist for Swappa, a peer-to-peer marketplace for gently used tech.
What to Check When Buying a Pre-Owned Phone
A used phone is only worthwhile if it functions and hasn’t been flagged as lost or stolen. If it has been reported, activation by someone else will be blocked by built-in safeguards.
That’s partly what led to Swappa’s creation.
“Our CEO bought a phone from Craigslist that seemed fine but couldn’t be activated once he got home,” Beane said. Businesses like Swappa, Gazelle and others run thorough tests and verifications before listing devices for sale.
Still, some unscrupulous sellers traffic in stolen phones. So the first step is to pick a reputable retailer or website.
Common places to find a used phone include:
- Cell carriers: Many carriers refurbish and resell trade-ins. Some offer programs that rotate phones for subscribers, so they often have pre-owned stock.
- Phone makers: Companies such as Apple and Samsung refurbish returned devices and sell them at reduced prices, often with a warranty.
- Amazon: Multiple third-party resellers list used phones on Amazon; some source inventory from manufacturers or carriers and sell at a discount.
- Private sellers: Marketplaces like eBay and Facebook Marketplace let individuals list phones for sale.
- Gazelle: Devices on this site are inspected to confirm proper operation and charging, and there’s a 30-day return period. The company also uses CheckMEND to verify a device hasn’t been reported lost or stolen.
- Swappa: A consumer-to-consumer marketplace where serial numbers are checked to ensure a phone isn’t lost or stolen; sellers must post photos of the powered-on device with a custom listing code.
If you explore other sellers, read reviews carefully and be cautious if listings lack detail.
Regardless of where you buy, ensure the seller accepts payment methods that offer a way to dispute a charge if the phone never arrives or isn’t as described.
Paying with cash or a direct bank transfer gives you little protection.
Credit cards, payment platforms like PayPal, or purchases through reputable companies with buyer protections are safer choices for recovering funds if something goes wrong.
How to Choose the Right Used Phone
“Used” doesn’t automatically mean old or obsolete.
Freeman noted that when a new phone launches, models that were top-tier a month earlier often go into trade-in channels. That’s good news for bargain hunters.
He recommends these steps to narrow your options:
- Know your platform: Do you prefer Android or iOS? Are you leaning toward Samsung, Apple, or another brand?
- Prioritize features: What matters most — camera quality, screen size, storage, battery life?
- Decide on condition: Are minor scratches acceptable, or do you want a device in near-perfect shape?
- Carrier compatibility: Do you need a phone originally tied to a specific carrier?
“Also ask yourself: How long do you plan to keep it?” Freeman said. “Would you pay a bit more to get extra longevity, or save more because you aren’t a heavy user?”
Additional checks Freeman and Beane advise when buying online:
- Serial number: A phone reported lost or stolen can’t be activated. Request the ESN/IMEI and run a CheckMEND report for a small fee to verify make, model, ownership history, insurance claims and more.
- Listing details: Sparse listings may be suspicious. Look for photos of the actual device (not stock images) and images showing it powered on.
- Included accessories: Confirm whether the original charger or other accessories are included.
- Ask questions: If the description doesn’t specify, ask whether the battery is new or if the device ever suffered water damage. Even if it still works after water exposure, internal parts may have diminished longevity.
- Compatibility: Ensure a phone from another country will work with your carrier in the U.S.
- Software support: Check that the manufacturer still supplies security updates. Older, unsupported phones can be vulnerable to attacks.
After you receive the phone, test these:
- Camera: Take several pictures to verify functionality.
- Speakers: Play audio to confirm speaker output.
- Call quality: Make a call and check that the other party can hear you clearly.
- Charging: Plug it in and ensure it charges properly and connections are solid. Inspect for any bulging near the battery area.
Used phone prices vary widely based on condition and storage capacity. Freeman advises knowing the new retail price as a baseline.
Price isn’t everything; make sure you’re comfortable with the seller’s return policy and verification steps. “Sellers should provide security measures so you’re getting what you paid for and something that will last more than a couple months,” Freeman said.
Riley Dawson is a Florida-based freelance journalist with more than 25 years reporting experience covering finance, health, travel and other subjects.
