"Drivers have been seen making risky manoeuvres, such as U-turns, in order to get a better view or to park alongside the cars for sale."
She said some car sales businesses had been using adjoining on-street parks as part of their forecourts.
The city council would consider the draft bylaw early next month, with consultation to begin after, she said. After public hearings in October, it would likely be in force by December.
The bylaw changes would also prohibit vehicles parking to advertise a service based elsewhere.
Ms Beaumont said it would be monitored by the city council's parking enforcement officers who could issue instant fines.
In Selwyn and Waimakariri, people are only allowed to park their vehicles on the side of the road for sale if they have consent from the district councils.
Other councils, including Auckland, Dunedin and Nelson, have bylaws limiting or banning it altogether.
The Regulatory Performance Committee yesterday endorsed the plan for public consultation.
One woman spoken to by The Star, who declined to be named, had parked a vehicle on Main Rd with a for sale sign in the window.
She did not believe it created a hazard, as people did risky manoeuvres and U-turns everywhere.
"That comes down to someone's driving really."
The woman said she had listed the vehicle on Trade Me as well, but thought parking it on the roadside gave it more exposure.
She said it would likely be difficult to enforce and there could be a designated space where vehicles could be parked to sell.
AA senior policy analyst Mark Stockdale said if implemented, the city council should focus its enforcement on the busy streets where there was a risk.
"Car sales businesses shouldn't be using public parks to sell cars for profit."
