Buying A Used Car? Here Are The Things To Keep In Mind
The average amount of time consumers holds their new cars has been declining over the past few years. However, used cars are becoming more popular for several reasons, including their reduced price, slow rate of depreciation, and cheaper insurance and registration charges.
Following are the reasons why consumers are opting for used cars:
Used cars depreciate less: The fact that used cars depreciate less quickly – is one of the primary reasons consumers explore used cars. Additionally, individuals avoid high depreciation fees and get a nice car for a lot less than they would pay for a new one. Today used cars often rival new ones in terms of quality and performance because of developments in manufacturing and technology.
Certified Cars: Buying a used car used to be a bit of a hassle for consumers because the seller was the only one who could guarantee the car’s condition. With the entry of organised used car companies in the used car space, these companies have started certifying the cars through their quality and performance checkup procedures so that customers can be assured that they are purchasing a high-quality vehicle.
Easier Finance Schemes: Earlier, buyers had to finance their purchases with personal loans or credit cards. However, there are now other options available, including Rupyy and Droom, which offer instant, paperless loan approval to customers.
Microchip Shortage: Automakers have been forced to limit new vehicle production due to a global shortage of semiconductor chips. In turn, this has sparked a boom in the demand for used vehicles over the past three years.
Things to keep in mind when buying a used car:
Personal Inspection: Perform your own inspection to ensure that the model is exactly what is promised and has no hidden damage. Even experts can fail to see issues with the car. Ensure you physically inspect the vehicle.
Monthly EMIs are not the only cost of car ownership: This error is frequently made by first-time car buyers, particularly when financing a used car. Other expenses a car owner must take into account include fuel, service and second-hand auto insurance. You should budget for all these expenses each month. Next, there is the down payment. Be sure to add 10 per cent overhead on top of all these expenses to ensure smooth sailing.
Consider the service history: Each vehicle that arrives at a manufacturer-authorised service centre for service is accurately tracked. Obtain service history from the car’s owner. You can also find out the service history of the car by providing the vehicle number and owner's name to the service centre.
Test-driving for a short time or not at all: Test-driving a used vehicle is recommended before closing a deal on a used car. Most people agree that a short test drive is an excellent starting point. Negotiate a long test drive if you like it. The distance should be in the range of 40-50 km. Experience different road and traffic conditions with the car. Taking this test drive on weekends and fueling up before or after the drive is considered courteous.
