New vs Used Cars

The confusion to buy new vs used cars is never-ending. Though buyers tend to go for a new car without a second thought, the changing trend over the last few years shows a significant rise in pre-owned car sales. Buyers have shown a lot of confidence and trust in buying pre-owned cars which come with all the necessary quality and performance checks.

Buy New vs Used vehicle

The confusion to buy new vs used cars is never-ending. Though buyers tend to go for a new car without a second thought, the changing trend over the last few years shows a significant rise in pre-owned car sales. Buyers have shown a lot of confidence and trust in buying pre-owned cars which come with all the necessary quality and performance checks. The pre-owned car market share is approximately double that of the new car market. Swift solutions, easy buying options, and 360-degree buying solutions by automobile e-commerce platforms are some of the factors contributing to the favor of the used car market.

According to the report published on Statista,” The pre-owned car market had a size of over 4.2 million units across India in the fiscal year 2020.” Consider the used car market as a customized and personalized set of services that allow every buyer to dictate their requirement and find the best solutions based on their precise requirement. It is more of what a buyer wants to buy than what a company is trying to sell and promote in the auto market.

Buy New vs Used vehicle

New car v/s pre-owned car: Decision points
Here is a point-by-point breakdown for you to make an informed decision between buying a new car or an old one

Factors Cost Maintenance Cost Depreciation rate Fuel efficiency Number of options
New Car Higher Low Higher Higher Based on availability
Used Car Best Price High Lower Lower Higher

Looking to buy a Used car? Well, here are the
pros and cons for you!

The Indian automobile sector has always been buzzing with new car launches. The entry of new players has fuelled uyer interest along with the new and exciting launches by renowned auto rands in India. If a buyer is looking to buy new car, they are more inclined to check the new car launches than to explore the used car market.

Buy New vs Used vehicle

Benefits of Buying Used

Buy New vs Used vehicle

Lower costs

Used cars are available for a lower selling price than their newer counterparts. Many factors bring down the cost of used cars meaning that buyers can buy the same car for a lesser price.

Buy New vs Used vehicle

Certified reports

Put aside your concerns over condition or performance, and even pricing of used cars. As a buyer, you get to check the certified reports before making the final decision. It helps you to make an informed decision and thus find the best car for your requirements.

Buy New vs Used vehicle

Lower insurance and loan amounts

As the cost for used cars is lower, you can get a loan approved at a lower interest rate and this enjoy further savings on your purchase. Besides, as the Insured Declared Value also comes down a notch, the insurance premium, as well, is not as high as otherwise, you will have to pay for the new car.

Cons of buying a pre-owned car

Buy New vs Used vehicle

Lower fuel efficiency

Compared to new cars, the used cars deliver lower mileage. If fuel efficiency is one of the major deciding factors for you to buy a car, make sure you check the future cost of ownership of the same.

Buy New vs Used vehicle

Higher maintenance cost

Check out the service car records when you go out to buy used cars. If the car has been maintained properly you won’t have to shell out the extra cost of maintenance and repairs. In case of any pending car component repairs, you can negotiate for the final selling price with the seller.

Buy New vs Used vehicle

Second-guessing

You might be second guessing your choice initially. It is only after driving for a few months that you grow confident of your purchase to enjoy peace of mind.

Higher Depreciation Rates
The price of a new car starts to depreciate the moment you take it out of the showroom. Here is the rate of depreciation vis-à-vis the age of the car.

Age of Car 0-6 months 6 months – 1 year 1 year – 2 years 2 years- 3 years 3 years- 4 years 4 years- 5 years
Rate of
Depreciation
5 15 20 30 40 50

Looking to buy a New car? Well, here are
the pros and cons for you!

Used cars have been in a lot of demand and the reason can be attributed to the emergence of automobile e-commerce platforms. All the pain points associated, if you are looking to buy used cars, have been made redundant for the benefit of the buyers. From the availability of thousands of top branded car trims of a particular model to the necessary quality and performance certification reports, buyers get to experience hassle-free, unbiased services to find the best car for their requirements.

Benefits of Buying New Car

Buy New vs Used vehicle

The Feel

There is no other feeling that comes close to getting a brand-new car for you. From the shining new color to the sound of engine revving and the new car smell. It is a precious feeling which a buyer cherishes forever.

Buy New vs Used vehicle

State-of-the-art features

Every buyer looks for exciting new features when they go out to buy a new car. With the state-of-the-art features installed in cars, you know that you are getting a unique piece of machine not in possession many.

Buy New vs Used vehicle

Fuel efficiency

The thrill and performance of a new car are unmatched. A petrol hatchback delivers 20-25 km/l with ease. When you add all these savings to your monthly travel expenses, you only end up saving a lot more than you might have anticipated.

Buy New vs Used vehicle

Maintenance cost

You do not have to pay for the car servicing in the initial years post buying a new car. Depending upon the kilometers a car has been driven or the respective period, car owners get their car serviced for free from the registered service centers. Hence, giving you peace of mind to enjoy a smooth drive with your new car.

Cons of Buying New Car

Buy New vs Used vehicle

Cost

There are times when a car you are looking to buy costs a lot more than your set budget. At such times, buying a new car feels like an uphill task.

Buy New vs Used vehicle

Additional costs

When you buy a new car, you are paying for the registration services, RTO, and others.

An ideal way to go about buying a car

The right to go about buying a car is to set your budget straight away. Once you settle on the budget, the next is to find the top 5 cars within the budget range. The decision between new v/s old becomes relatively easier once you are sure of your budget and the car you want to buy. Within the buying journey itself, you can go explore the used car market to find the best car for you.

Here is the handy guide loop to help you with the decision-making process and how at every point a buyer might be inclined to explore the user car market.